Shares of British multinational bank Standard Chartered were gaining more than 5% on the London Stock Exchange after the lending major reported Thursday higher profit in its first quarter, despite weak net interest income.
The company further maintained its fiscal 2024 guidance.
Standard Chartered reported first quarter profit before tax of $1.91 billion compared to $1.81 billion, prior year.
Earnings per ordinary share, in cents, was 45.4 compared to 39.8.
Underlying operating income was $5.15 billion, up 17%. Underlying earnings per share, in cents, was 51.7 compared to 36.8.
First quarter net interest income declined to $1.57 billion from $2.01 billion, previous year.
Underlying net interest income was up 5% at constant currency to $2.4 billion.
Bill Winters, Group Chief Executive, said, "We delivered a strong set of results in the first quarter of 2024, with double-digit growth in income and positive operational leverage. Business performance was strong and broad-based across our segments, products and markets in what continues to be an uncertain environment."
"We remain confident in the delivery of our financial targets and are maintaining our full year 2024 guidance," he said.
The company said the start to the year has been strong and the momentum seeing across its businesses gives confidence in meeting targets.
For fiscal 2024, the company continues to expect operating income to increase around the top of 5% to 7% range in 2024, on an adjusted basis.
Net interest income for 2024 is still expected to be $10 billion to $10.25 billion, at constant currency basis.
For the first quarter, profit before tax was $1.91 billion, up 6% from $1.81 billion in the prior year.
Profit attributable to ordinary shareholders grew 5% to $1.22 billion from prior year's $1.16 billion. Earnings per ordinary share grew 5.6% to 45.4 US cents from last year's 39.8 US cents.
Underlying profit before taxation was $2.13 billion, compared to last year's $1.71 billion. Underlying profit attributable to ordinary shareholders was $1.39 billion, compared to last year's $1.08 billion.
Underlying earnings per share, in cents, were 51.7, compared to 36.8 a year ago.
Operating income increased 13% to $5.13 billion from last year's $4.56 billion.
Underlying operating income was $5.15 billion, up 17% from last year's $4.40 billion.
First quarter net interest income declined 22% to $1.57 billion from $2.01 billion in the previous year. Non net interest income was $3.56 billion, down 39% the previous year.
Underlying net interest income was $2.42 billion, up 3% from last year's $2.34 billion. Underlying non net interest income was $2.73 billion, up 33% from $2.06 billion a year ago.
In London, Standard Chartered shares were trading at 732.40 pence, up 5.38%.