HSBC 2007 Annual Report Download - page 92

HSBC HOLDINGS PLC
Report of the Directors: Business Review (continued)
Rest of Asia-Pacific > Profit before tax by customer group / North America
90
Profit before tax and balance sheet data by customer group and global business (continued)
Year ended 31 December 2005
Rest of Asia-Pacific (including
the Middle East)
Personal
Financial
Services
US$m
Commercial
Banking
US$m
Global
Banking &
Markets
US$m
Private
Banking
US$m
Other
US$m
Inter-
segment
elimination14
US$m
Total
US$m
Net interest income ..................... 1,208 631 614 30 54 (125) 2,412
Net fee income ............................ 419 307 498 43 73 – 1,340
Trading income/(expense)
excluding net interest income 37 70 579 74 (7) – 753
Net interest income/(expense)
on trading activities ................ 1 (1) (21) – 3 125 107
Net trading income/(expense)5 ... 38 69 558 74 (4) 125 860
Net income from financial
instruments designated at
fair value ................................. 44 1 4 – 9 – 58
Gains less losses from
financial investments .............. – 4 12 2 – – 18
Dividend income ......................... – – 1 – 4 – 5
Net earned insurance premiums . 134 21 – – – – 155
Other operating income .............. 37 9 82 4 287 (84) 335
Total operating income ............... 1,880 1,042 1,769 153 423 (84) 5,183
Net insurance claims6 .................. (157) (9) – – – – (166)
Net operating income4 ................ 1,723 1,033 1,769 153 423 (84) 5,017
Loan impairment (charges)/
recoveries and other
credit risk provisions .............. (236) 67 35 2 (2) – (134)
Net operating income ................. 1,487 1,100 1,804 155 421 (84) 4,883
Total operating expenses ............ (1,245) (452) (733) (77) (339) 84 (2,762)
Operating profit .......................... 242 648 1,071 78 82 – 2,121
Share of profit in associates
and joint ventures ................... 135 170 136 – 12 – 453
Profit before tax .......................... 377 818 1,207 78 94 – 2,574
% % % % % %
Share of HSBC’s profit
before tax ................................ 1.8 3.9 5.8 0.4 0.4 12.3
Cost efficiency ratio ................... 72.3 43.8 41.4 50.3 80.1 55.1
US$m US$m US$m US$m US$m US$m
Balance sheet data7
Loans and advances to
customers (net) ....................... 27,433 18,694 21,431 2,347 111 70,016
Total assets ................................. 32,224 22,570 76,026 5,359 5,835 142,014
Customer accounts ...................... 31,250 18,612 32,102 7,092 62 89,118
The following assets and
liabilities were significant to
Global Banking and Markets:
– loans and advances to
banks (net) .......................... 15,352
– trading assets, financial
instruments designated at
fair value, and financial
investments ......................... 26,113
– deposits by banks ............... 7,041
For footnotes, see page 130.