The Asia-, Africa- and Middle East-focused bank reported pretax profit for the first quarter of US$2.1 billion, versus US$1.91 billion in the same period a year earlier and the US$1.905 billion average of analyst forecasts compiled by the bank.
“The subsequent imposition of trade tariffs has increased global economic and geopolitical complexity, and we remain watchful of the external environment,” chief executive Bill Winters said in an earnings release.
The lender reported credit impairment of US$219 million, up 24 percent from a year earlier, with signs of rising trade tension impacting credit quality.
A US$23 million rise in credit charge reflected “an increased probability weighting for the Global Trade and Geopolitical Trade Tensions scenario, given the heightened uncertainty around trade tariffs,” the bank said in the release. (Reuters)
