Standard Chartered profits rise in first half

Income increased by 19.6 per cent:

Standard Chartered PLC delivered another record performance for the first half year ended June 30 with operating profit before tax (OPBT) rising 31 per cent to US$2.59 billion and operating income increasing 33 per cent to US$6.99.

Normalised earnings per share increased 19.6 per cent to 120.4 cents. The Board declared an interim dividend of 25.67 cents per share, up 11 per cent.

Growth in underlying income accelerated to 28 per cent, up from 23 per cent in 2007.

The performance was a result of the disciplined investments made in its core markets over the last few years with 85 per cent of the operating income growth now coming from organic businesses.

Both Wholesale and Consumer Banking businesses showed strong income momentum delivering over $3 billion of revenue each.

Group Chief Executive, Peter Sands said: “I am very proud of what we have achieved in terms of both financial performance and strategic progress, despite the turmoil in financial markets.

The Bank is in great shape - we are strongly positioned to weather the economic uncertainties and superbly placed to capture opportunities.” Most of the key markets in the Standard Chartered network delivered strong performance.

Hong Kong, the Group’s largest market, increased pre-tax profits by 28 per cent; India, now the second largest market, by 89 per cent; Singapore by 55 per cent; Africa by 41 per cent; and UAE 65 per cent. Seven of the nine markets delivered pre-tax profit growth in excess of 25 per cent, and four at over 40 per cent.

The Group’s key markets in Asia continued to enjoy robust economic growth underpinned by resilient domestic demand and increased intra-regional trade flows. The African economies continued to leverage off Asian economic growth and commodity demand, while the Middle East region continued to benefit from the high oil price and ample liquidity.