HSBC 2006 Annual Report Download - page 295

HSBC HOLDINGS PLC
Financial Statements
293
Page
Financial Statements
Consolidated income statement ..................... 294
Consolidated balance sheet ........................... 295
Consolidated statement of recognised
income and expenses ................................. 296
Consolidated cash flow statement ................. 297
HSBC Holdings balance sheet ...................... 298
HSBC Holdings statement of changes in
total equity ................................................. 299
HSBC Holdings cash flow statement ............ 300
Notes on the Financial Statements
1 Basis of preparation ............................... 301
2 Summary of significant accounting
policies ............................................... 304
3 Net income from financial instruments
designated at fair value ....................... 317
4 Net earned insurance premiums ............. 318
5 Net insurance claims incurred and
movement in policyholders’
liabilities ............................................. 318
6 Net operating income ............................. 319
7 Employee compensation and benefits .... 320
8 Auditors’ remuneration .......................... 331
9 Share-based payments ........................... 332
10 Tax expense ........................................... 338
11 Dividends ............................................... 339
12 Earnings per share .................................. 339
13 Segment analysis ................................... 340
By geographical region ...................... 340
By customer group ............................. 344
14 Analysis of financial assets and
financial liabilities by
measurement value ............................. 346
15 Trading assets ........................................ 350
16 Financial assets designated at fair
value ................................................... 351
17 Derivatives ............................................. 352
18 Financial investments ............................ 356
19 Securitisations and other structured
transactions ......................................... 359
20 Interests in associates and joint
ventures .............................................. 360
21 Goodwill and intangible assets .............. 362
22 Impairment of assets other than
financial instruments .......................... 364
23 Property, plant and equipment ............... 366
24 Investments in subsidiaries .................... 368
25 Other assets ............................................ 371
26 Trading liabilities ................................... 371
27 Financial liabilities designated at fair
value ................................................... 372
28 Debt securities in issue .......................... 372
29 Other liabilities ...................................... 373
30 Liabilities under insurance contracts ..... 374
31 Provisions .............................................. 377
Page
32 Subordinated liabilities .......................... 378
33 Fair value of financial instruments ........ 382
34 Maturity analysis of assets and
liabilities ............................................. 383
35 Foreign exchange exposures .................. 385
36 Assets charged as security for
liabilities and collateral accepted as
security for assets ............................... 386
37 Minority interests ................................... 387
38 Called up share capital ........................... 387
39 Equity .................................................... 392
40 Notes on the cash flow statement .......... 395
41 Contingent liabilities, contractual
commitments and financial
guarantee contracts ............................. 396
42 Lease commitments ............................... 398
43 Litigation ............................................... 399
44 Related party transactions ...................... 399
45 Events after the balance sheet date ........ 402
46 UK and Hong Kong accounting
requirements ....................................... 403
47 Differences between IFRSs and US
GAAP ................................................ 403