HSBC Holdings plc · HSBC · FY2026 Q1 · Calendar Q2 2026

HSBC raises NII outlook as wealth fees strengthen; costs and credit remain in focus

HSBC's Q1 showed resilient profitability and stronger banking NII and wealth-fee momentum, supporting the growth case. The counterweight is execution: cost growth exceeded the 1% target, credit risks remain, and the benefits from Hang Seng integration and simplification still need to be realized.

Reported Before market openNYSEFinancial Services $312.44B market cap
100quality score

Earnings scorecard

Reported versus consensus
Reported EPS $2.00 Consensus $2.18
EPS surprise -8.3% Reported versus consensus
Reported revenue $19.12B Consensus $18.60B
Revenue surprise +2.8% Reported versus consensus

Market reaction

prior-close to event-session close
Stock move -3.0% Event window
SPY move +0.8% Same window
Abnormal move -3.8% Stock minus SPY
Volume 1.9× Versus trailing sessions
Subsequent drift +7.1% Up to 20 sessions
HSBCSPY benchmark

Ask FN2 about HSBC FY2026 Q1

Transcript, numbers and history already loaded
Why did HSBC fall 3.0% after missing EPS estimates in FY2026 Q1?What changed in HSBC's guidance and outlook in FY2026 Q1?Give me the bull and bear case for HSBC after FY2026 Q1 earnings.

Free account. Your question opens in FN2 with this report's transcript and numbers attached.

Transcript intelligence

What changed

Compared with the prior-quarter analysis, HSBC's current-quarter update showed higher banking NII guidance, lower expected ECL guidance, progress on simplification savings, and continued strength in wealth fees. The discussion also added a $0.4bn fraud-related charge, while cost growth and Middle East-related credit risk became more prominent concerns.

Guidance delta

Management raised full-year banking NII guidance to about $46bn and lowered expected ECL charge guidance to 45bps.

Key takeaways

  • Q1 2026 annualized RoTE was 18.7%, with profit before tax of $10.1bn.
  • Wealth fee and other income rose 15%, supported by new-to-bank customer additions in Hong Kong.
  • Simplification actions have delivered $0.2bn of savings and remain aimed at $1.5bn in total savings.
  • CET1 remained within the 14%-14.5% operating range despite one-offs.

Management priorities

  • Complete simplification actions and pursue the $1.5bn savings target.
  • Accelerate AI deployment for customer experience and operational efficiency.
  • Realize Hang Seng-related synergies while continuing investment in Hong Kong growth.

Follow HSBC with an agent that reads every filing, transcript, and price print. Free to start.

Try FN2 free

Company context

Snapshot as of publication

HSBC Holdings plc functions as a prominent global entity, delivering a full spectrum of banking and financial services around the world. Its operations are structured into three key divisions: Wealth and Personal Banking, Commercial Banking, and Global Banking and Markets. The Wealth and Personal Banking unit is dedicated to individual customers, supplying a broad array of retail banking offerings. This includes essential services like current and savings accounts, various lending products such as mortgages and personal loans, a selection of credit and debit cards, and convenient local and international payment facilities. Furthermore, this segment provides in-depth wealth management solutions, encompassing insurance and investment products, worldwide asset management expertise, and tailored private wealth strategies for both general banking clients and affluent individuals. The Commercial Banking division targets businesses across the size spectrum.…

Historical context

All HSBC earnings
—FY2026 Q3 · Calendar Q4 2026-1.7%FY2026 Q2 · Calendar Q3 2026+7.2%FY2025 Q4 · Calendar Q1 2026

Financial Services peers this season

Latest reports in the same sector
CompanyQuarterEPS surpriseMarket moveHeadline
FCNCA First Citizens BancShares, Inc. FY2026 Q3 · Calendar Q4 2026 +19.9% +8.2% First Citizens posts strong Q3, raises Q4 outlook as loans and deposits grow
FCNCN First Citizens BancShares, Inc. Depositary Shares, each representing a 1/40th interest in a share of 6.625% Non-Cumulative Perpetual Preferred Stock, Series E FY2026 Q3 · Calendar Q4 2026 +19.9% +0.2% First Citizens raises 2026 outlook after strong Q3 growth
FCNCO First Citizens BancShares, Inc. FY2026 Q3 · Calendar Q4 2026 +19.9% +1.0% First Citizens raises guidance after strong Q3 loan and deposit growth
FCNCP First Citizens BancShares, Inc. FY2026 Q3 · Calendar Q4 2026 +19.9% +1.0% First Citizens reports strong Q3 and raises 2026 guidance
AXP American Express Company FY2026 Q3 · Calendar Q4 2026 +4.0% -3.7% American Express raises EPS outlook as premium growth and AI expand
BBD Banco Bradesco S.A. FY2026 Q3 · Calendar Q4 2026 -7.7% +3.0% Bradesco: Loan growth and capital strength offset credit risks

Latest beats and misses

Who reports next

Beat on EPS

Missed on EPS

Get the HSBC recap when the next report posts

One email per quarter with the scorecard, the market reaction and what changed on the call. No account needed.

Sources

  1. Earnings call transcript and parsed analysis · 2026-05-11T10:29:34.698584+00:00
  2. FN2 earnings calendar · 2026-07-26T00:37:12.209961+00:00
  3. Polygon adjusted daily market bars · 2026-10-27T13:30:46.932582+00:00
  4. Financial Modeling Prep analyst price-target consensus and quote snapshot · 2026-10-27T13:30:46.929856+00:00

Methodology

Reported and consensus figures come from FN2's earnings event records. Market reaction and volume are calculated from daily adjusted bars around the event; abnormal move subtracts the SPY move over the same window.

Transcript intelligence is a structured synthesis of the current and prior earnings-call analyses. Missing values stay missing and are never estimated.

By FN2 Research · Updated · As of 2026-10-27. For educational purposes only; not investment advice.