WIXLIB

HSBC Holdings plc 1Q21 ResultsPresentation to Investors and Analysts

1Q21 resultsAppendixOur purpose, values and ambition support the execution of our strategyOur purposeOpening up a world of opportunityOur ambitionTo be the preferred international financial partner for our clientsOur values Our strategyWe value differenceFocus on our strengths We succeed togetherDigitise at scale We take responsibilityEnergise for growth We get it doneTransition to net zero1

1Q21 resultsAppendix1Q21 highlightsReported PBT of 5.8bn up 79% vs. 1Q20; adjusted PBT of 6.4bn up 109% vs. 1Q201 due to net ECL releases, offset by lower adjusted NII (down 1.3bn)2 Good performance supported by 0.4bn net release of ECL; modest Stage 3 charges of 0.3bn incurred in the quarter, offset by Stage 1 – 2 releases of 0.7bnOn-track with cost and RWA reduction programmes; achieved 0.4bn of cost saves,3 cumulative RWA saves of 61bn1 (FY20: 52bn)Strong capital, liquidity and funding; CET1 ratio2 of 15.9%, customer deposit surplus of4 610bn increased by 5bn (1%) vs. 4Q20, 1Q21 adjusted lending growth of 6bn (1%)A reconciliation of reported results to adjusted results can be found on slide 15, the remainder of the presentation unless otherwise stated, is presented on an adjusted basis2

1Q21 resultsAppendixBusiness highlightsWPBWholesaleGeographies Hong Kong card spend up 12% vs. 1Q20; HongKong mortgage drawdowns up 37% vs. 1Q20; UKmortgage drawdowns up 60% vs. 1Q20; UKmortgage market shares: 7.4% stock, 8.6% gross3 Strong CMB pipeline of lending in place aswe support clients in positioning themselves foreconomic recovery; 1Q21 approved lendingvolumes up 49% vs. 4Q20 Good performance across all regions Total Wealth balances of 1,633bn up 23%vs. 1Q20. Good quarter in NNM accumulation inPrivate Banking and Asset Management 1Q21 Capital Markets gross revenue of 451m4(up 6% vs. 1Q20)Asia Led more than 567bn of financing in 1Q21(stable vs. 1Q20) for clients in the capitalmarkets globally across DCM, ECM & Syndicatedloans5, including c. 40bn raised through Socialand Covid-19 response bonds5EuropeCard spend and mortgage drawdowns, bnHong .510.38.36.46.29.8CardsUKMortgagesPBT by region, bnGlobal CMB value of lending approved but notyet drawn down, bn25.4Private Bank and Asset Management NNM, bn20.214.55.32020 monthly average: 11.5bn13.1(0.0)9.24.113.1 11.2(3.1)1Q202Q203Q204Q20PBAMG11Q21234567202089 10 11 12 12202131Q201Q213.73.8(0.7)1.50.41.1(0.8)0.9North America(0.0)0.5of which: US(0.1)0.3MENA0.00.3LATAM0.00.2Total3.16.4of which: UK RFBof which: NRFB3

1Q21 resultsAppendixDelivery against our strategyFocus on our strengthsEnergise for growth Transformation continues at pace with cumulative gross RWA reductionsof 61bn and 1.5bn of cumulative cost saves to date New ways of working being piloted across the Group, increasing flexibilityfor all of our people, while being mindful of our customers’ evolving needs Strong start to our Asia Wealth strategy with Asia Wealth balances up18% vs. 1Q20; over 600 Asia Wealth FTE recruited in 1Q21, including c.100client facing wealth planners in China We are rationalising our office presence and reducing our global officefootprint by 3.6 million sqft (c.20%) in 2021; reflecting new ways ofworking c. 3bn net lending growth in trade finance in Asia over 1Q21, primarily inmainland China and Hong Kong Relocating key business heads from London to Hong Kong to bettersupport clients and the business Voted as world’s top trade finance bank, and best trade bank in 13markets in Asia6 6bn growth investment plan firmly on trackDigitise at scaleTransition to net zero Partnering with Global Payments in Hong Kong to integrate PayMe intomerchant checkouts Climate resolution to be tabled at May 2021 AGM HSBC Reward credit card rewards app in Hong Kong reached milestone of1 million downloads c.90% of 621bn of Global Asset Management AUM classed asResponsible Investments8 HSBCnet mobile downloads up 73% vs. 1Q20; volume of payments up320% over same period HSBC Kinetic, our mobile-only UK SME banking proposition, now has c.6kusers Launched first direct ‘Straight Through Banking’ in the UK; new customerscan open an account on mobile, with a selfie, in minutes HSBC is a founding signatory of the Net Zero Banking Alliance7 Launched UK pilot of new sustainability assessment tool to help SMEsunderstand their current ESG performance and help them take action Record quarter for global GSSS bond issuance, with 1Q21 issuance reachingc.50% of FY20 levels9; HSBC raised 68bn of GSSS financing for clients in1Q219 Awarded Environmental Finance Bond Awards in seven categories in2021104

1Q21 resultsAppendix1Q21 results summary mNII1Q211Q20Δ6,4967,817(17)%6,7775,89615 %13,27313,713(3)%435(3,117) 100%(8,203)(7,983)(3)%88545097 %6,3903,063 100%(611)166 (100)%5,7793,22979 %4,5682,50882 %3,8801,785 100%0.190.09 0.10(0.03)0.01 (0.04) bn1Q214Q20ΔCustomer loans1,0401,0341%Customer deposits1,6501,6381%Reported RWAs847858(1)%CET1 ratio, %15.915.90.0pptTNAV per share, 7.787.75 0.03RoTE11, %10.21.98.3pptNon interest incomeRevenueECLCostsAssociatesAdjusted PBTSignificant items and FX translationReported PBTReported profit after taxProfit attributable to ordinary shareholdersReported EPS, Impact of sig items on reported EPS, Adjusted PBT of 6.4bn up 3.3bn (109%) vs. 1Q20,primarily due to favourable ECL performance Revenue of 13.3bn down 0.4bn (3%) vs. 1Q20 dueto the impact of lower interest rates, partially offset byfavourable movements in volatile items. Good performancein Global Debt Markets, Equities and Wealth Net ECL release of 0.4bn, vs. 3.1bn charge in 1Q20,reflecting improvements in the forward economic outlookand non-repeat of a significant charge relating to acorporate exposure in Singapore in 1Q20 Low 1Q21 Stage 3 charges of 0.3bn, release of Stage1 – 2 reserves of 0.7bn Costs of 8.2bn, up 0.2bn (3%) vs. 1Q20, primarilydue to increased technology spend ( 0.1bn) andperformance related pay ( 0.5bn), partially offset byprogramme saves ( 0.4bn) Associate income increased 435m (97%) vs. 1Q20; ofwhich BoCom: 198m; of which a UK Associate: 236m 1Q21 effective tax rate of 21%, down 1.3ppt vs. 1Q20 TNAV per share up to 7.78 due to increases in retainedprofits, offset by adverse reserve movements in OCI5

1Q21 resultsAppendix1Q21 adjusted revenue performance1Q21 revenueWPBCMBGBM 5,694m 3,331m 4,292mCorp. Centre (44)mGroup 13,273m(1)%(14)%10%1Q21 vs. 1Q20Wealth 2,382mPersonal Banking 3,051mOther 261mGTRF 455mCredit and LendingGLCMo/w insurance marketimpacts: 790m13.70.2(890)(122)3.9MSS 2,492mBanking 1,630m(155) 444m(171) 173mOther (3)m12.03.6(495) 546mPrincipal Investments13.34.332Otherof which: 0.2)0.04Q201Q21o/w XVAs and bid-offeradjustment: 725m413(231)(3)%934 1,468m 862mRevenue by global business, bno/w valuationdifferences: (287)m1,306WPBGBMCMBCorporate CentreTotals may not cast due to rounding6Positive impact of volatile items

1Q21 resultsAppendixNet interest incomeReported NIM progression, bps122(3)4Q20Asset yields121(1)2Liabilitycosts1Q21Change in mix 1Q21 reported NII of 6.5bn down 1.1bn(14%) vs. 1Q20 from lower global interestrates, partially offset by increased AIEAs; 1Q21NII down modestly ( 0.1bn, 2%) vs. 4Q20 1Q21 NIM of 1.21% down 1bp vs. 4Q20;mainly due to a further shift in the asset mixtowards lower-yielding assets and falling ratescausing further compression between assetand liability pricing in some entities FY21 NII expectations unchangedTotals may not cast due to roundingReported NIM trendDiscrete quarterlyreported NIMReported NII, m154bpsof which:significant ,6196,514Average interestearning assets, 92,1797

1Q21 resultsAppendixNon interest incomeWPB, m1,294Net feesOther uranceOtherWealthPersonalbankingOtherWPB1Q21 WPB non-NII up 894m (69%) vs. 1Q20, primarily frompositive movement in market impacts in Insurance( 0.8bn total), and also supported by strong equity andmutual fund sales in Wealth in 1Q21 Lower fees in Personal Banking due primarily to a changein charging structure on UK overdraftsCMB, FOtherBankingOtherGBM Net fees decreased 46m (5%), reflecting the continuedimpact of Covid-19 on trade and payment volumes1Q21GBM, m2,625791 CMB non-NII modestly down ( 22m, 2%) vs. 1Q201Q21 GBM non-NII up 642m (24%) vs. 1Q20, primarily fromthe absence of MTM impacts and increased volatility Fees increased by 158m (20%), notably in SecuritiesServices and Banking due to higher volumes 1Q21 Group non-NII was 6.8bn, up 0.9bn (15%) vs.1Q20; up 1.5bn (28%) vs.4Q20 1Q20 non-NII negativelyimpacted by volatile itemstotalling 1.2bn, primarilymarket impacts in Insuranceand XVAs and bid-offeradjustments in GBM Corporate Centre down 0.6bnvs. 1Q20 mainly due tovaluation differences on longterm debt and associatedswaps Trading and other income increased by 484m (26%).Strong performance in Global Debt Markets and Equitiesreflecting robust client activity, partially offset by GlobalFX, lower against an exceptionally strong 1Q208

1Q21 resultsAppendixCredit performanceAdjusted ECL charge/(release) (168)(288)HongKongAsiaUK RFBex. HKNRFBMexico(435) 1Q21 net ECL release of 0.4bn; Stage3 charge of 0.3bn, with Stage 1 – 2releases of 0.7bn Benign quarter with respect to Stage 3charges (Wholesale: 0.2bn; Personal: 0.1bn) Stage 3 loans and advances to customersas a % of total loans was 1.8%, stable vs.31 December 2020 Group credit quality indicators stable 1Q21 Stage 1 – 2 ECL allowance was 6.9bn, 1.0bn lower vs. 4Q20 Based on current economic trajectory,expect FY21 ECL charge to be belowmedium-term12 planning range of 3040bpsECL, mFY ECL as a %of averagegross loans andadvances1Q21ECL charge/(release) by stage, bnECL charge/(release) by geography, m21885Net releaseECL as a % ofaverage grossloans and advances(annualised)1Q21Stage 1-2Stage otal(0.7)0.3(0.4)Other9

1Q21 resultsAppendixAdjusted costsOperating expenses trend, 58021,4508,2037,0036,6301,573 1Q21 costs of 8.2bn up 0.2bn (3%) vs. 1Q20. Cost saves were offsetprimarily by increased performance-related pay (PRP) ( 0.5bn, of which 0.4bn is due to a change in the quarterly phasing of the 2021 PRP pool) 1Q21 costs down 0.3bn (3%) vs. 4Q20 (ex. levy) primarily from the nonrecurrence of certain charges in 4Q20 and cost saves made in the quarter,partly offset by higher technology spend Benefit of cost saves in 1Q21 of 0.4bn; CTA of 0.3bn, still expect 3.5bnof CTA spend for FY211Q202Q20UK bank levy3Q204Q20Technology131Q21Other Group costs1Q21 vs. 4Q20 (ex. levy), m Expect FY21 costs (ex. levy) to be broadly stable vs. FY20, but reserve theoption to adjust our performance-related pay accrual to reflect the performanceof the Group1Q21 vs. 1Q20, vesDiscretionaryspendTechspend14*Other discretionary spend includes Marketing, Travel and retionary spend14spend*Otheritems1Q2110

1Q21 resultsAppendixCapital adequacyCET1 ratio, %(0.0)0.14Q20CET1, bn136.1RWAs, ein RWAs3.5(6.0)FX tion*1Q21(0.8)134.5(4.7) CET1 ratio of 15.9% was stable vs. 4Q20,with retained profits offset by fair valuemovements and other deductions Reported RWAs decreased by 10.7bn (1%),of which 4.7bn was due to FX movements.Reductions, primarily from GBM managementactions, were partially offset by lending growthin CMB and WPB846.8Capital progression1Q202Q203Q204Q201Q21Common equity tier 1 capital, bn125.2128.4133.4136.1134.5Reported risk-weighted assets, 1 ratio, %Leverage ratio exposure, bnLeverage ratio2, % 1Q21 cumulative RWA saves of 61bn(FY20: 52bn)**; on track to deliver 100bnsaves by end-2022*Foreseeable dividend deduction of 3.75 per share, 25% of FY20 dividend of 0.15. Please see page 28 of the HSBC Holdings plc 1Q21 Earnings Release for further detail**Cumulative RWA saves under our transformation programme as measured from 1 January 2020 to 31 March 2021. In addition, we made 9.6bn of accelerated RWA saves over 4Q1911