Standard Chartered raises 2026 targets after third-quarter profit beats forecasts

Standard Chartered raised its 2026 income growth and profitability targets on October 28 after reporting stronger third-quarter results, according to Reuters. The bank, which earns most of its revenue in Asia and Africa, reported pretax profit above analysts’ expectations for the July-to-September quarter.

Reuters reported that Standard Chartered now expects full-year income growth above 7%, up from a previous target in the middle of a 5% to 7% range. It also raised its target for return on tangible equity, a measure of profitability, to above 14%, from a previous goal of more than 12%. The revisions give investors a higher benchmark against which to judge the bank’s performance this year.

Third-quarter profit and wealth income

The wealth division posted its third consecutive record quarter, with income up 26%, Reuters reported. Fee-based revenue rose 19% from a year earlier to US$2.81 billion, above an average estimate of US$2.68 billion. Fee income is less sensitive to changes in interest rates, making that growth relevant to the bank’s broader earnings outlook.

The South China Morning Post, citing a filing to the Hong Kong stock exchange, reported a separate net-profit figure of US$1.5 billion for the quarter ended September 30. That was up from US$1.03 billion a year earlier and ahead of analysts’ US$1.2 billion forecast. The net-profit and pretax-profit figures measure different stages of earnings and should not be read as conflicting results.

Wealth expansion and pressures on results

The South China Morning Post described wealth management and cross-border trade loans as supports for the quarter’s results, while reporting provisions linked to geopolitical tensions. Those pressures matter alongside the stronger earnings: the raised targets set out what the bank expects to achieve over the full year, while the quarterly figures show the performance behind its decision.

Standard Chartered has also brought forward a wealth expansion goal. Reuters reported that it aims to attract US$200 billion in net new money between 2025 and 2028, moving the target from its original 2029 deadline. That plan places further weight on wealth management after the division’s latest record quarter.