Hang Seng Bank's profit tumbles 43%

[HONG KONG] Hang Seng Bank Ltd, the Hong Kong lender controlled by HSBC Holdings Plc, reported a 43 per cent drop in 2014 profit.

Net income was HK$15.1 billion (US$1.95 billion), or HK$7.91 a share, from HK$26.7 billion, or HK$13.95, in 2013, the bank told Hong Kong's stock exchange on Monday. The earnings compared with the HK$15.5 billion average of seven estimates compiled by Bloomberg.

Monday's result comes after a record 2013 profit that included an accounting gain of HK$9.52 billion related to the lender's stake in China's Industrial Bank Co, a shareholding that Hang Seng is now selling down.

Shares of Hang Seng Bank fell 1.4 per cent to HK$142.70 on Monday, before the result. The benchmark Hang Seng Index was little changed.

BLOOMBERG