HSBC 2006 Annual Report Download - page 49

47
Year ended 31 December 2004
Europe
Personal
Financial
Services
US$m
Commercial
Banking
US$m
Corporate,
Investment
Banking &
Markets
US$m
Private
Banking
US$m
Other
US$m
Inter-
segment
elimination
US$m
Total
US$m
Net interest income ..................... 4,644 2,305 1,403 421 325 – 9,098
Net fee income ............................ 2,110 1,593 1,261 658 358 – 5,980
Trading income ........................... – 116 735 104 42 – 997
Net investment income/
(expense) on assets backing
policyholders’ liabilities ......... 445 127 – – (1) – 571
Gains less losses from financial
investments ............................. – 1 122 33 (2) – 154
Dividend income/(expense) ........ – 36 526 5 (9) – 558
Net earned insurance premiums . 1,254 409 12 – 200 – 1,875
Other operating income .............. 26 285 770 19 255 (180) 1,175
Total operating income ............... 8,479 4,872 4,829 1,240 1,168 (180) 20,408
Net insurance claims1 .................. (1,026) (487) – – (115) – (1,628)
Net operating income before
loan impairment charges and
other credit risk provisions ..... 7,453 4,385 4,829 1,240 1,053 (180) 18,780
Loan impairment (charges)/
recoveries and other credit
risk provisions ........................ (939) (306) 207 4 1 – (1,033)
Net operating income ................. 6,514 4,079 5,036 1,244 1,054 (180) 17,747
Total operating expenses ............ (4,898) (2,422) (3,380) (806) (702) 180 (12,028)
Operating profit .......................... 1,616 1,657 1,656 438 352 – 5,719
Share of profit in associates
and joint ventures ................... 5 6 12 – 14 – 37
Profit before tax .......................... 1,621 1,663 1,668 438 366 – 5,756
% % % % % %
Share of HSBC’s profit
before tax ................................ 8.6 8.8 8.8 2.3 1.9 30.4
Cost efficiency ratio ................... 65.7 55.2 70.0 65.0 66.7 64.0
US$m US$m US$m US$m US$m US$m
Selected balance sheet data2
Loans and advances to
customers (net) ....................... 118,796 67,458 75,628 15,676 2 277,560
Total assets ................................. 143,515 83,289 273,906 40,140 4,707 545,557
Customer accounts ...................... 121,599 57,798 78,031 35,140 – 292,568
The following assets and
liabilities were significant
to Corporate, Investment
Banking and Markets:
– loans and advances to
banks (net) .......................... 47,802
– trading assets, financial
instruments designated at
fair value, and financial
investments ......................... 116,492
– deposits by banks ............... 53,646
1 Net insurance claims incurred and movement in policyholders’ liabilities.
2 Third party only.