Operating expenses increased 5% while net interest income fell 1%
Full-year underlying pretax profit rose 18% to $7.9 billion
The bank proposed a 65% increase in full-year dividend to 61 cents per share
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Standard Chartered (HK:2888) (LON:STAN) on Tuesday reported fourth-quarter profit that fell short of analyst expectations, as muted revenue growth and higher expenses weighed on performance despite gains in its wealth and corporate franchises across Asia, Africa, and the Middle East. The Asia-focused lender posted underlying pretax profit of $1.24 billion for the three months ended Dec. 31, 2025, below the $1.38 billion consensus compiled by Bloomberg, though up 18% from $1.05 billion a year earlier. Operating income remained broadly flat at $4.85 billion versus $4.83 billion in the same quarter of 2024, as growth in wealth solutions and global banking was offset by weaker episodic trading income in markets. Net interest income fell 1% year-on-year to approximately $2.95 billion from $2.98 billion, reflecting margin pressure from lower interest rates, while operating expenses increased 5% to $3.43 billion from $3.28 billion, driven by continued investment and transformation spending. Credit impairment charges rose to $145 million from $130 million a year earlier, primarily from retail provisions. Chief Executive Bill Winters highlighted that the bank continued to benefit from structural growth trends across its key regions and had made a solid start to 2026. For the full year, underlying pretax profit rose 18% to $7.9 billion from $6.8 billion, with return on tangible equity improving to 14.7% from 11.7%. The lender proposed a final dividend of 49 cents per share, bringing the full-year payout to 61 cents, up 65% from the prior year, alongside announcing a new $1.5 billion share buyback program.
Standard Chartered PLC is a British multinational bank with operations in wealth management, corporate and investment banking, and treasury services. Despite being headquartered in the United Kingdom, it does not conduct retail banking in the UK, and around 90% of its profits come from Asia, Africa,...
Investment management and financial planning service
Wealth management (WM) or wealth management advisory (WMA) is an investment advisory service that provides financial management and wealth advisory services to a wide array of clients ranging from affluent to high-net-worth (HNW) and ultra-high-net-worth (UHNW) individuals and families.
It is a disc...
Offering of services by financial institutions to large institutional customers
Wholesale banking is the provision of services by banks to larger customers or organizations such as mortgage brokers, large corporate clients, mid-sized companies, real estate developers and investors, international trade finance businesses, institutional customers (such as pension funds and govern...
Standard Chartered's weaker-than-expected Q4 profit highlights ongoing challenges for global banks, including pressure on trading income and rising operational costs. As a major Asia-focused lender, its performance is a key indicator of economic health and banking sector stability in emerging markets.
Context & Background
Standard Chartered is a major British bank with a significant focus on Asia, Africa, and the Middle East
The bank reported an 18% year-on-year increase in underlying pretax profit for Q4, but this was below analyst forecasts
Results were impacted by flat operating income, a 5% rise in expenses, and weaker episodic trading income
What Happens Next
The bank has announced a final dividend and a new $1.5 billion share buyback program, signaling confidence in its capital position. Investors will monitor whether the bank's investments in transformation and its wealth management division can drive stronger growth in 2026.
Frequently Asked Questions
Why did Standard Chartered's profit miss estimates?
Profit missed estimates due to weaker episodic trading income, a slight drop in net interest income, and a 5% increase in operating expenses.
What were the positive aspects of the earnings report?
Positive aspects included an 18% rise in annual pretax profit, strong growth in wealth solutions and global banking, and an increased dividend and share buyback.
How did the bank perform for the full year 2025?
For the full year, underlying pretax profit was $7.9 billion, up 18% from the prior year, with return on tangible equity improving to 14.7%.
Original Source
try{ var _=i o; . if(!_||_&&typeof _==="object"&&_.expiry Asia stocks rise as China reopens on a strong note; Hong Kong hit by tech losses Wall Street slides on Trump tariff turmoil, AI disruption research report Dystopian AI report sinks payment and software stocks Gold prices rise as Trump tariff turmoil boosts safe haven demand (South Africa Philippines Nigeria) StanChart Q4 profit misses estimates on weaker trading income, higher costs By Ayushman Ojha Author Ayushman Ojha Stock Markets Published 02/23/2026, 11:26 PM StanChart Q4 profit misses estimates on weaker trading income, higher costs 0 STAN 0.75% Investing.com-- Standard Chartered (HK:2888) (LON:STAN) on Tuesday reported fourth-quarter profit that fell short of analyst expectations, as muted revenue growth and higher expenses weighed on performance despite gains in its wealth and corporate franchises. The Asia-focused lender posted underlying pretax profit of $1.24 billion for the three months ended Dec. 31, below the $1.38 billion consensus compiled by Bloomberg, though up 18% from $1.05 billion a year earlier. Get real-time earnings updates, result previews on InvestingPro Operating income was broadly flat at $4.85 billion versus $4.83 billion in the same quarter last year, as growth in wealth solutions and global banking offset weaker episodic trading income in markets. Net interest income fell 1% year-on-year to about $2.95 billion from $2.98 billion, reflecting margin pressure from lower rates. Operating expenses increased 5% to $3.43 billion from $3.28 billion, driven by continued investment and transformation spending. Credit impairment charges rose to $145 million from $130 million a year earlier, mainly from retail provisions. Chief Executive Bill Winters said the bank continued to benefit from structural growth trends across its Asia, Africa, and Middle East footprint and had made a solid start to 2026. For the full year, underlying pretax profit rose 18% to $7.9 billion from $6.8 billion, with...
