HSBC 2015 Annual Report Download - page 363

HSBC HOLDINGS PLC
361
Strategic Report Financial Review Corporate Governance Financial Statements Shareholder Information
5 Operating profit
Operating profit is stated after the following items of income, expense, gains and losses, and loan impairment charges and
other credit risk provisions:
2015 2014 2013
$m $m $m
Income
Interest recognised on impaired financial assets 934 1,137 1,261
Fees earned on financial assets or liabilities not held for trading nor designated at
fair value, other than fees included in effective interest rate calculations on these
types of assets and liabilities 8,736 9,438 9,799
Fees earned on trust and other fiduciary activities where HSBC holds or invests assets
on behalf of its customers 3,052 3,253 3,176
Income from listed investments 5,760 6,726 5,432
Income from unlisted investments 5,581 5,874 6,860
Expense
Interest on financial instruments, excluding interest on financial liabilities held
for trading or designated at fair value (13,680) (15,322) (14,610)
Fees payable on financial assets or liabilities not held for trading nor designated at
fair value, other than fees included in effective interest rate calculations on these
types of assets and liabilities (1,251) (1,427) (1,396)
Fees payable relating to trust and other fiduciary activities where HSBC holds or
invests assets on behalf of its customers (166) (185) (171)
Payments under lease and sublease agreements (1,190) (1,548) (1,425)
–
minimum lease payments (1,058) (1,199) (1,098)
–
contingent rents and sublease payments (132) (349) (327)
UK bank levy (1,421) (1,066) (916)
Restructuring provisions (430) (147) (179)
Gains/(losses)
Impairment of available-for-sale equity securities (111) (373) (175)
Gains/(losses) recognised on assets held for sale (244) 220 (729)
Gains on the partial sale of shareholding in Industrial Bank 1,372
–
–
Gains/(losses) arising from dilution of interest in Industrial Bank and other associates and
joint ventures – (32) 1,051
Gains on disposal of HSBC Bank (Panama) S.A.
–
–
1,107
Loan impairment charges and other credit risk provisions (3,721) (3,851) (5,849)
–
net impairment charge on loans and advances (3,592) (4,055) (6,048)
–
release of available-for-sale debt securities 17 319 211
–
impairment in respect of other credit risk provisions (146) (115) (12)
6 Employee compensation and benefits
2015 2014 2013
$m $m $m
Wages and salaries 17,245 17,477 16,879
Social security costs 1,600 1,666 1,594
Post-employment benefits 1,055 1,223 723
Year ended 31 December 19,900 20,366 19,196
Average number of persons employed by HSBC during the year
2015 2014 2013
Europe 73,868 74,024 75,334
Asia 121,438 116,492 114,216
Middle East and North Africa 9,007 8,616 9,181
North America 21,506 21,983 22,568
Latin America 42,614 43,652 47,496
Year ended 31 December 268,433 264,767 268,795