VANCOUVER – HSBC’s Canadian subsidiary says its second-quarter profit was down 6.2 per cent from the same period of 2014 to C$227 million.
The bank said the decline for the three month period ending June 30 was mainly due to margin compression, lower gains on financial investments and higher costs.
Profit attributable to the common shareholder was C$161 million for the second quarter, down 6.4 per cent compared with the same period a year earlier.
Return on average common equity was 14.0 per cent, compared with 15.6 per cent for the second quarter of last year.
Commenting on the results, HSBC Bank Canada president and CEO Sandra Stuart said “We are focused on growing our business in Canada, however, we do expect current challenges to continue including pressure on the oil sector and related industries and prevailing low interest rates.”
Parent company, HSBC Holdings, Britain’s largest bank by market value, announced earlier this year that it would cut between 22,000 and 25,000 jobs around the world in an attempt to reduce costs and shift its centre of gravity back toward fast-growing Asian economies.