May 28, 2024

Noel Quinn

Photo: Bloomberg/Contributor (Getty Images)

HSBC Group CEO Noel Quinn is retiring after what he called “an intense five years” in the role, the bank announced Tuesday.

“After an intense five years, it is now the right time for me to get a better balance between my personal and business life,” Quinn said in a statement. “I intend to pursue a portfolio career going forward.”

HSBC’s board of directors is embarking on a formal process to find Quinn’s successor, and will consider both internal and external candidates, the London-based bank said. Noel will continue as CEO until a replacement is found to ensure a “smooth and orderly transition,” HSBC said.

Mark Tucker, HSBC’s chairman, paid tribute to Quinn’s 37-year service to the bank, which he said is “in a strong position as it enters the next phase of development and growth.”

“He has driven both our transformation strategy and created a simpler, more focused business that delivers higher returns,” Tucker said of Quinn. “The bank is in a strong position as it enters the next phase of development and growth.”

Strong Q1 earnings

The announcement coincided with HSBC’s first-quarter earnings report. The bank saw $12.7 billion in profits in the first three months of 2024, down $200 million from a year earlier. The bank also completed the sale of its Canada business and agreed to a sale of its Argentina business, both of which HSBC said will allow it to focus on markets with “higher value international opportunities.”

Despite the year-over-year drop in profits, net income beat analyst estimates compiled by FactSet of $8.6 billion. Revenue grew by 3% to $20.8 billion for the quarter, blowing past estimates of $16.5 billion, according to FactSet data.

HSBC stock was up more than 4% in pre-market trading Wednesday.

The bank reaffirmed the outlook for 2024 it set in February, projecting at least $41 billion in Net Interest Income, depending on interest rates globally.

This is a developing story and will be updated.

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