Standard Chartered increases 2013 interim dividend by 6%

DividendMax Ltd.

Standard Chartered increases 2013 interim dividend by 6%

Reported results

·  Profit before goodwill impairment and own credit adjustment is up 4 per cent at $4,088 million, from $3,936 million in H1 2012 (H2 2012: $2,915 million)

·  Reported profit before taxation after goodwill impairment charge of $1,000 million relating to Korea is $3,325 million. Reported profit attributable to ordinary shareholders is $2,131 million

·  Operating income excluding own credit adjustment is $9,751 million, up 4 per cent from $9,371 million in H1 2012 (H2 2012: $9,412 million) and up 5 per cent on a normalised basis

·  Customer advances up 3 per cent to $292 billion from $285 billion in H2 2012 and customer deposits marginally lower at $381 billion from $385 billion in H2 2012

Performance metrics

·  Interim dividend per share increased 6 per cent to 28.80 cents per share

·  Normalised earnings per share up 5 per cent at 121.9 cents from 116.6 cents in H1 2012 (H2 2012: 108.7 cents)

·  Normalised return on ordinary shareholders' equity of 13.3 per cent (H1 2012: 13.8 per cent, H2 2012: 12.4 per cent)

Capital and liquidity metrics

·  Tangible net asset value per share increased 9 per cent to 1,537.9 cents (H1 2012: 1,414.1 cents, H2 2012: 1,519.9 cents)

·  Core Tier 1 capital ratio at 11.4 per cent (H1 2012: 11.6 per cent, H2 2012: 11.7 per cent)

·  Advances-to-deposits ratio of 76.6 per cent (H1 2012: 77.6 per cent, H2 2012: 73.9 per cent)

·  Liquid asset ratio of 28.3 per cent (H1 2012: 28.3 per cent, H2 2012: 30.5 per cent)

Significant highlights

·  Delivered broad based performance across multiple markets, including excellent performances from Hong Kong, India and Africa

·  Profit before taxation in Hong Kong was over $1 billion for the first time in a six-month period

·  Income of over $50 million in 25 markets and 17 markets delivered double digit growth

·  Strong volume growth with market share gains in key products, including trade finance volumes up 18 per cent and cash FX volumes up 30 per cent

·  The Group remains highly liquid and well capitalised

·  Re-opened in Myanmar and announced the acquisition of a custody business in South Africa

Commenting on these results, the Chairman of Standard Chartered PLC, Sir John Peace, said:

"These results demonstrate the diversity and resilience of our business. Despite a difficult external environment, we continue to support our clients' growth aspirations. We have a strong balance sheet and ample liquidity. Income in both businesses accelerated in the second quarter and we have entered the second half of the year with good momentum. The Board remains confident for the long term."


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