HSBC and Santander post biggest losses so far among European banks
UK-based HSBC reports adjusted profit slumped 51% in the first quarter
London — HSBC Holdings and Banco Santander took the biggest hits so far among European banks struggling to contain the impact of the coronavirus on their loan books, with the UK-based lender expecting as much as $11bn of damage in 2020 because of the outbreak.
HSBC set aside $3bn to cover souring loans in the first three months and expects more than double that amount in the best case scenario for the full year, resulting in “materially lower profitability”. Santander, which already has much higher provisions than many other European banks, is holding back €1.6bn specifically for losses related to the virus...
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