Standard Chartered Plc (STAN), Britain’s second-largest lender by market value, posted its 10th consecutive year of record profit as increased corporate-banking revenue mitigated a $667 million settlement for sanction failures.
Pretax profit rose to $6.88 billion from $6.78 billion a year earlier, beating the $6.84 billion estimate of 23 analysts surveyed by Bloomberg. Revenue rose to $19.1 billion from $17.64 billion, the London-based lender said in a statement today.
Chief Executive Officer Peter Sands, 51, is trying to attain revenue growth of at least 10 percent, while keeping expenses under control as it hires and adds branches in China and Africa. The bank, which gets most of its profit from Asia, last year settled with U.S. regulators after they alleged it violated U.S. sanctions with Iran.
“We have started the year with very good momentum and an exceptionally strong balance sheet,” Sands said in the statement. “We remain confident and committed to consistent financial delivery.”
The lender, which made its final settlements with U.S. regulators in December, was in August accused by Benjamin Lawsky, head of the New York Department of Financial Services, of helping Iran launder about $250 billion in violation of federal laws, keeping false records and handling lucrative wire transfers for Iranian clients.
Standard Chartered has gained 13 percent this year, valuing the bank at about 43 billion pounds ($65 billion) at yesterday’s close in London. That compares with 10 percent increase for the six-member FTSE 350 Banks Index. (F3BANKS)
-- Editors: Jon Menon, Edward Evans
To contact the reporter on this story: Howard Mustoe in London at email@example.com Gavin Finch in London at firstname.lastname@example.org
To contact the editor responsible for this story: Edward Evans at email@example.com