v3.25.2
Consolidated statement of changes in equity - USD ($)
$ in Millions
Total
Total share-holders’ equity
Called up share capital and share premium
Other equity instruments
Financial assets at FVOCI reserve
Cash flow hedging reserve
Foreign exchange reserve
Merger and other 
reserves
Insurance finance reserve
 [1]
Retained earnings
Non- controlling interests
Equity beginning of period at Dec. 31, 2023 $ 192,610 $ 185,329 $ 24,369 $ 17,719 $ (3,507) $ (1,033) $ (33,753) $ 28,601 $ 785 $ 152,148 $ 7,281
Profit for the period 17,665 17,112               17,112 553
Other comprehensive income/(expense) for the period, net of tax (2,482) (2,455)     (164) (691) (2,551) 5 (10) 956 (27)
– debt instruments at fair value through other comprehensive income (303) (313)     (313)           10
– equity instruments designated at fair value through other comprehensive income 41 35     35           6
– cash flow hedges (972) (970)       (970)         (2)
– changes in fair value of financial liabilities designated at fair value upon initial recognition arising from changes in own credit risk (283) (283)               (283)  
– property revaluation 5 5           5      
– remeasurement of defined benefit asset/(liability) 146 136               136 10
– share of other comprehensive income of associates and joint ventures 211 211               211  
– effects of hyperinflation 892 892               892  
– foreign exchange losses reclassified to income statement on disposal or dilution of a foreign operation 648 648         648        
– other reserves reclassified to income statement on disposal or dilution of a foreign operation 352 352     90 262          
– insurance finance income recognised in other comprehensive income 17 17             17    
– other exchange differences (3,236) (3,185)     24 17 (3,199)   (27)   (51)
Total comprehensive income for the period 15,183 14,657     (164) (691) (2,551) 5 (10) 18,068 526
Shares issued under employee remuneration and share plans 0 0 75             (75)  
Capital securities issued 1,106 1,106   1,106              
Dividends to shareholders (12,685) (12,217)               (12,217) (468)
Cost of share-based payment arrangements 274 274               274  
Transfers 0 0           (2,945)   2,945  
Share buy-backs (5,019) (5,019)               (5,019)  
Cancellation of shares 0 0 (326)         326      
Other movements (1,055) (837)     4     3   (844) (218)
Equity end of period at Jun. 30, 2024 190,414 183,293 24,118 18,825 (3,667) (1,724) (36,304) 25,990 775 155,280 7,121
Profit for the period 7,334 6,867               6,867 467
Other comprehensive income/(expense) for the period, net of tax 4,422 4,371     423 645 3,414 0 (173) 62 51
– debt instruments at fair value through other comprehensive income 381 375     375           6
– equity instruments designated at fair value through other comprehensive income 58 40     40           18
– cash flow hedges 658 658       658          
– changes in fair value of financial liabilities designated at fair value upon initial recognition arising from changes in own credit risk (156) (156)               (156)  
– property revaluation 0 0                  
– remeasurement of defined benefit asset/(liability) (374) (380)               (380) 6
– share of other comprehensive income of associates and joint ventures 251 251               251  
– effects of hyperinflation 347 347               347  
– foreign exchange losses reclassified to income statement on disposal or dilution of a foreign operation 5,168 5,168         5,168        
– other reserves reclassified to income statement on disposal or dilution of a foreign operation (5) (5)     (5)            
– insurance finance income recognised in other comprehensive income (159) (159)             (159)    
– other exchange differences (1,747) (1,768)     13 (13) (1,754)   (14)   21
Total comprehensive income for the period 11,756 11,238     423 645 3,414 0 (173) 6,929 518
Shares issued under employee remuneration and share plans 0 0 2             (2)  
Capital securities issued 2,495 2,495   2,495              
Dividends to shareholders (4,415) (4,193)               (4,193) (222)
Redemption of securities (2,250) (2,250)   (2,250)              
Cost of share-based payment arrangements 255 255               255  
Share buy-backs (6,024) (6,024)               (6,024)  
Cancellation of shares 0 0 (337)         337      
Other movements 42 159     (2)   3 1   157 (117)
Equity end of period at Dec. 31, 2024 192,273 184,973 23,783 19,070 (3,246) [2] (1,079) (32,887) 26,328 602 152,402 7,300
Profit for the period 12,441 12,057               12,057 384
Other comprehensive income/(expense) for the period, net of tax 8,540 8,407     6 [2] 1,734 6,630 14 102 (79) 133
– debt instruments at fair value through other comprehensive income 205 177     177 [2]           28
– equity instruments designated at fair value through other comprehensive income 93 57     57 [2]           36
– cash flow hedges 1,891 1,794       1,794         97
– changes in fair value of financial liabilities designated at fair value upon initial recognition arising from changes in own credit risk 242 242               242  
– property revaluation 14 14           14      
– remeasurement of defined benefit asset/(liability) (347) (343)               (343) (4)
– share of other comprehensive income of associates and joint ventures (3) (3)               (3)  
– effects of hyperinflation 81 81               81  
– foreign exchange losses reclassified to income statement on disposal or dilution of a foreign operation [3] 224 224         224        
– other reserves reclassified to income statement on disposal or dilution of a foreign operation [3] (56) (56)               (56)  
– insurance finance income recognised in other comprehensive income 16 16             16    
– other exchange differences 6,180 6,204     (228) [2] (60) 6,406   86   (24)
Total comprehensive income for the period 20,981 20,464     6 [2] 1,734 6,630 14 102 11,978 517
Shares issued under employee remuneration and share plans 0 0 113             (113)  
Capital securities issued [4] 4,096 4,096   4,096              
Dividends to shareholders (9,171) (8,694)               (8,694) (477)
Redemption of securities [5] (2,450) (2,450)   (2,450)              
Cost of share-based payment arrangements 316 316               316  
Share buy-backs [6] (5,023) (5,023)               (5,023)  
Cancellation of shares 0 0 (239)         239      
Other movements (1,153) (1,128)     1 [2]         (1,129) (25)
Equity end of period at Jun. 30, 2025 $ 199,869 $ 192,554 $ 23,657 $ 20,716 $ (3,239) [2] $ 655 $ (26,257) $ 26,581 $ 704 $ 149,737 $ 7,315
[1] The insurance finance reserve reflects the impact of adoption of the other comprehensive income option for our insurance business in France. Underlying assets
supporting these contracts are measured at fair value through other comprehensive income. Under this option, only the amount that matches income or
expenses recognised in profit or loss on underlying items is included in finance income or expenses, resulting in the elimination of income statement accounting
mismatches. The remaining amount of finance income or expenses for these insurance contracts is recognised in other comprehensive income (‘OCI’).
[2] Amount in 1H25 includes $1.4bn of pre-tax cumulative unrealised loss in other comprehensive income, including foreign exchange movements shown in ‘Other
exchange differences’, on a retained portfolio of home and certain other loans associated with the sale of our retail banking operations in France. The loss arose
largely upon reclassification from hold-to-collect to a hold-to-collect-and-sell business model on 1 January 2025, resulting in its remeasurement from amortised
cost to fair value through other comprehensive income.
[3] Amount in 1H25 includes the recycling of a $197m foreign currency translation reserves loss and $56m other reserves gain as a result of the dilution of the
shareholding in BoCom.
[4] HSBC Holdings issued $1,500m 6.950% contingent convertible securities in February 2025, and a further SGD800m 5.000% and $2,000m 7.050% contingent
convertible securities in March and June 2025, respectively. All instruments were recorded net of issuance costs.
[5] In March 2025, HSBC Holdings redeemed its $2,450m 6.375% contingent convertible securities.
[6] HSBC Holdings announced the following share buy-backs during 1H25: a share buy-back of up to $2.0bn in February 2025, which was completed in April 2025;
and a share buy-back of up to $3.0bn in May 2025, which was completed in July 2025.