StanChart Profit Jumps, Books $190 Million Charge on Iran Conflict — Update

By Kosaku Narioka

Standard Chartered reported a rise in first-quarter net profit, driven by the strength of its wealth services, even as it booked precautionary credit charges related to the Middle East conflict.

The London-based bank said Thursday that higher income from investment and insurance products boosted profit at its wealth and retail banking business.

Meanwhile, the bank booked $296 million of credit impairment in the first quarter, up from $217 million in the year-earlier period. The increase was mostly due to precautionary charges of $190 million related to the Middle East conflict, it said.

StanChart has significant operations in the United Arab Emirates and many Asian countries reliant on energy from the region. It generates much of its profit in Asia.

Shares listed in Hong Kong were recently 5.0% higher following the first-quarter results, bringing year-to-date gains to about 4%. The stock nearly doubled last year, driven by easing U.S.-China trade tensions and share buybacks.

"Despite ongoing geopolitical tensions and global economic uncertainty, our advantaged market presence and disciplined risk management give us confidence in our ability to perform," Chief Executive Bill Winters said.

The bank said the $1.5 billion share buyback it announced in February is continuing. It left its guidance for 2026 unchanged, continuing to expect operating income growth around the lower end of a 5% to 7% range in constant currency terms, and broadly flat net interest income.

The bank has been navigating executive changes following the unexpected departure of its chief financial officer in February.

The lender named Peter Burrill as interim CFO after Diego De Giorgi, seen as a front-runner to succeed StanChart's longtime chief executive, stepped down to join U.S. asset-management firm Apollo Global Management.

StanChart said Thursday that net profit climbed 22% from a year earlier to $1.66 billion for the three months ended March. That beat analysts' estimate of $1.32 billion in a poll by data provider Visible Alpha.

Pretax profit from its wealth and retail banking business rose 51% to $981 million. Standard Chartered is investing $1.5 billion in wealth and digital offerings, client centers and marketing to strengthen its business of serving affluent and international clients.

Pretax profit from its corporate and investment banking business increased 3.7% to $1.73 billion, led by lending and financial solutions as well as by capital market and advisory practices.

Write to Kosaku Narioka at kosaku.narioka@wsj.com

(END) Dow Jones Newswires

April 30, 2026 02:59 ET (06:59 GMT)