Standard Chartered on Thursday reported a doubling in full year pre-tax profit, although below analysts’ forecasts, as the emerging markets-focused lender benefited from a recovery in pandemic-hit markets.
Statutory pre-tax profit for the bank, which earns most of its revenue in Asia, surged to $3.3 billion in 2021 from $1.6 billion in 2020. That compared with the $3.8 billion average estimate of 16 analysts, as compiled by the lender.
StanChart announced a $750 million share buyback, as expected by some analysts.
The bank said the improved outlook led it to raise its target of delivering a return on tangible equity of at least 7% by 2023, with its longer-term goal being a double-digit return.
It now aims for a 10% return by 2024, with income to be boosted by investment in its businesses and rising interest rates.
The lender reported credit impairment charges of $263 million, versus $2.3 billion a year earlier.
Reporting by Anshuman Daga in Singapore and Lawrence White in London; Editing by Carmel Crimmins, Sam Holmes and Jane Wardell.
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