HSBC reported a 32% increase in third-quarter pretax profit on Tuesday, supported by higher interest rates and the absence of legal provisions recorded in the same period a year earlier, Reuters reported. However, the bank's Hong Kong-listed shares fell more than 3% following the results.Europe's largest bank also announced a share buyback of up to $1 billion, matching the amount announced in the previous quarter.Pretax profit for the July-September quarter reached $9.6 billion, in line with estimates compiled by HSBC, according to Reuters.Read more: Who are the biggest investors backing Anthropic?

A look at key stakeholdersThe bank's expected credit losses fell 17% year on year to $800 million, reflecting lower charges linked to Hong Kong's real estate sector and its wealth businesses in the United Kingdom and Mexico, Reuters reported.Higher interest rates supported HSBC's net interest income, while the absence of legal provisions booked in the same quarter last year contributed to the higher profitability.HSBC also announced an interim dividend of $0.10 per share, unchanged from the previous quarter.

The latest share buyback programme of up to $1 billion maintains the bank's focus on returning capital to shareholders.Read more: Global Market: South Korean shares jump over 4% as AI chip rally lifts Samsung, SK HynixDespite the higher quarterly profit and the latest shareholder payout measures, HSBC's Hong Kong-listed shares fell more than 3% after the results, Reuters reported.(Disclaimer: This article is based on inputs from agencies. These do not represent the views of The Economic Times)