By Selena Li and Scott Murdoch
HONG KONG (Reuters) -Standard Chartered on Friday reported a 10% rise in quarterly profit as strong wealth, markets and global banking businesses boosted revenue, though it also said increased tariffs would likely weigh on credit quality.
The Asia-, Africa- and Middle East-focused bank reported pretax profit for the first quarter of $2.1 billion, versus $1.91 billion in the same period a year earlier and the $1.905 billion average of analyst forecasts compiled by the bank.
“The subsequent imposition of trade tariffs has increased global economic and geopolitical complexity, and we remain watchful of the external environment,” CEO Bill Winters said in an earnings release.
The lender reported credit impairment of $219 million in the quarter, up 24% from a year earlier, with signs of rising trade tension impacting credit quality.
A $23 million rise in credit charge reflected “an increased probability weighting for the Global Trade and Geopolitical Trade Tensions scenario, given the heightened uncertainty around trade tariffs,” the bank said in the release.
StanChart did not announce a new share buyback on Friday.
(Reporting by Selena Li and Scott Murdoch; Editing by Christopher Cushing)
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