Europe’s largest lender HSBC on Wednesday missed second-quarter revenue expectations, totally on account of impairment expenses, in keeping with the financial institution. The financial institution additionally introduced a share buyback of $3 billion.

It reported revenue earlier than tax for the three months led to June of $6.3 billion, down 29% from a yr in the past.

Listed here are HSBC’s second-quarter 2025 outcomes in contrast with consensus estimates compiled by the financial institution.

• Revenue earlier than tax: $6.3 billion vs. $6.99 billion
• Income: $16.5 billion vs. $16.67 billion

Working bills rose by 10% in comparison with the identical interval a yr in the past, and had been largely owed to restructuring and different associated prices in addition to from elevated spending and funding in expertise, the financial institution mentioned.

The financial institution’s CEO Georges Elhedery flagged “structural challenges” to the worldwide economic system which have brought on uncertainty and market volatility, citing “broad-based tariffs” and “fiscal vulnerabilities.”

“This is complicating the inflation and interest rate outlook creating greater uncertainty. Even before tariffs take effect, trade disruptions are reshaping the economic landscape,” Elhedery mentioned.

HSBC is planning to terminate a number of staff in its equities workforce in its Germany workplace,  as a part of a broader effort to reduce its funding banking operations exterior of Asia and the Center East, Bloomberg reported final week. 

The transfer aligns with Elhedery’s push to revamp the funding financial institution. Final October, HSBC introduced a restructuring plan to separate its operations into 4 divisions, creating separate “Eastern markets” and “Western markets” sectors. HSBC has mentioned the reorganization will reduce prices by about $300 million this yr.

In January, the lender introduced that it’s going to shut down its M&A and components of its equities operations in Europe and the Americas.