Hang Seng Bank posts net profit of HK$12 bln
click rate:2915 issue time:2007-03-10 08:12

Mar. 7, 2007 (China Knowledge) – Hang Seng Bank <11><HSNGY>, a subsidiary of HSBC Holdings <5><HSBA><HBC>, announced Monday that net profit for the fiscal 2006 rose by 6.1% to HK$12.03 billion, thanks to the buoyant economy that helped its wealth management and commercial banking to boost profits.

Wealth management income leaped 22.7% to HK$4.28 billion in the wake of a buoyant equity market in 2006, which also contributed to the bank’s brokerage service earnings.

Net operating income increased 11.4% to HK$18.08 billion, with net interest income rising 8.3% to HK$11.69 billion, which was attributable to a 7.2% growth in lending to customers and a wider spread between prime rates and Hong Kong interbank offered rates.

Operating expenses rose 15.3% to HK$5.24 billion as a result of continued expansion in Hong Kong and the Mainland. With 619 employers being added to the bank's workforce by the end of the fiscal 2006, Hang Seng Bank currently has 8,464 employees.