Key facts
- Barclays reported a significant surge in second-quarter profit.
- Barclays' equity trading division performed strongly, fueled by market volatility.
- Barclays announced a £1 billion share buyback.
- Barclays increased its dividend.
- Barclays increased its banker bonus pool by nearly 30% to £1.3 billion for the first half of the year.
- Barclays' second-quarter pre-tax profits rose by 31%.
- Barclays' investment banking division anticipates a 15% year-on-year increase in M&A volumes in 2025.
- Calls for a UK bank tax intensified due to Barclays' profits.
- Standard Chartered reported a 9% rise in first-half pretax profit to $4.78 billion.
- Standard Chartered lifted its full-year income growth target to the middle of a 5-7% range.
- Standard Chartered's growth was driven by wealth management and global banking.
Barclays has announced a significant surge in second-quarter profit, exceeding market expectations due to robust performance in its equity trading division, which was fueled by market volatility. The bank's investment banking division is also anticipating strong M&A volumes in 2025, projecting a 15% year-on-year increase. In response to these strong profits, Barclays increased its banker bonus pool by nearly 30% to £1.3 billion for the first half of the year, following a 31% rise in second-quarter pre-tax profits. The bank also revealed plans for a £1 billion share buyback and an £800 million dividend distribution. These profit increases and bonus payouts have intensified calls for a UK bank tax.
Standard Chartered also reported positive financial results, with a 9% rise in first-half pretax profit to $4.78 billion, surpassing analyst estimates. The bank has subsequently lifted its full-year income growth target to the middle of a 5-7% range. This growth was primarily driven by strong performances in its wealth management and global banking segments.
The strong performance in Barclays' investment banking division, particularly in equity trading and dealmaking, has led to a significant increase in its stock value. The bank's equity trading division benefited from increased market volatility, while its dealmaking activities are expected to continue growing. Barclays PLC's stock saw a notable surge following these announcements, reflecting investor confidence in the bank's strategic direction and financial health.
Looking ahead, Barclays' investment banking division anticipates robust M&A volumes in 2025, with projections indicating a 15% year-on-year increase. Standard Chartered has raised its full-year income growth target to the mid-5% to 7% range, signaling optimism for continued revenue expansion.