HSBC sees profits fall despite expectations

HSBC has revealed pre-tax profits fell by six per cent to $20.6bn for the full year ended December (results). Profits were expected to rise to $22.7bn from $21.9bn in 2011.

HSBC was fined a record $1.9 billion in December for anti-money laundering lapses in the United States and Mexico which Gulliver called "shameful".

Gulliver wants to cut annual costs by $3.5 billion by the end of this year, and analysts said he looks set to exceed that and could increase the target at a strategy update in May.

(Reuters)

The banking and financial services company saw its stock value rise over 30 per cent to 728.1p per share in the year to date.

(Source: Yahoo! Finance)

HSBC shares dropped immediately by around one per cent on the news.