XML 171 R8.htm IDEA: XBRL DOCUMENT v3.8.0.1
Consolidated statement of changes in equity (Parenthetical)
1 Months Ended 12 Months Ended
Nov. 30, 2017
USD ($)
Apr. 30, 2017
USD ($)
Dec. 31, 2017
USD ($)
$ / shares
shares
Dec. 31, 2016
USD ($)
$ / shares
shares
Dec. 31, 2015
USD ($)
$ / shares
shares
Jul. 31, 2017
USD ($)
Feb. 28, 2017
USD ($)
Dec. 31, 2009
USD ($)
Dec. 31, 2003
USD ($)
Dec. 31, 2000
USD ($)
Dividends paid on ordinary shares per share (in usd per share) | $ / shares     $ 0.51 $ 0.51 $ 0.50          
Reduction of issued capital $ 2,000,000,000.0 $ 1,000,000,000.0                
Total equity     $ 197,871,000,000 $ 182,578,000,000 $ 197,518,000,000          
Cumulative goodwill     5,138,000,000              
Gain (loss) on acquisition related costs     149,000,000              
Gain (loss) on contingent forward contract     (121,000,000)              
Gains (losses) on hedging instrument     $ 621,000,000 $ (439,000,000) $ 40,000,000          
HSBC Holdings                    
Dividends paid on ordinary shares per share (in usd per share) | $ / shares     $ 0.51 $ 0.51 $ 0.50          
Reduction of issued capital     $ 3,000,000,000              
Total equity     $ 103,787,000,000 $ 104,858,000,000 $ 107,414,000,000          
Number of shares repurchased | shares     328,200,000              
Gains (losses) on hedging instrument     $ (57,000,000) (909,000,000) (4,000,000)          
Currency Risk, Rights Issue                    
Gains (losses) on hedging instrument     (344,000,000)              
Contingent Convertible Securities | HSBC Holdings                    
Payments for debt issue costs     14,000,000 6,000,000 12,000,000          
Intercompany debt issue costs     37,000,000   25,000,000          
Tax effect of issuance of contingent convertible securities     $ 10,000,000 $ 4,000,000 $ 19,000,000          
Treasury shares                    
Number of shares outstanding | shares     360,590,019 353,356,251 81,580,180          
Treasury shares | HSBC Holdings                    
Number of shares outstanding | shares     326,843,840 325,499,152 67,881          
Total equity     $ 2,542,000,000 $ 2,499,000,000 $ 1,000,000          
Merger reserve                    
Total equity [1],[2]     27,308,000,000 27,308,000,000 27,308,000,000          
Cumulative goodwill     3,469,000,000              
Cumulative acquisition value               $ 15,796,000,000    
Cumulative acquisition costs     614,000,000              
Merger reserve | HSBC Holdings                    
Total equity     35,127,000,000 35,127,000,000 35,127,000,000          
Merger reserve | HSBC France                    
Cumulative acquisition value                   $ 8,290,000,000
Merger reserve | HSBC Finance Corporation                    
Cumulative acquisition value                 $ 12,768,000,000  
Retained earnings                    
Total equity [3],[4],[5]     139,999,000,000 136,795,000,000 143,976,000,000          
Cumulative goodwill     1,669,000,000              
Accumulated increase (decrease) in fair value of financial liability, attributable to changes in credit risk of liability       1,672,000,000            
Retained earnings | HSBC Holdings                    
Total equity [6]     23,903,000,000 27,656,000,000 32,224,000,000          
Available- for-sale fair value reserve                    
Total equity [1]     (350,000,000) (477,000,000) (189,000,000)          
Cumulative assets held for sale     176,000,000              
Available- for-sale fair value reserve | HSBC Holdings                    
Total equity     59,000,000 112,000,000 183,000,000          
Cash flow hedging reserve                    
Total equity [1]     (222,000,000) (27,000,000) 34,000,000          
Cumulative assets held for sale     34,000,000              
Foreign exchange reserve                    
Total equity [1]     (19,072,000,000) (28,038,000,000) (20,044,000,000)          
Cumulative assets held for sale     2,600,000,000              
$3,000m 6.000% Perpetual Subordinated Contingent Convertible Securities                    
Notional amount     3,000,000,000              
$3,000m 6.000% Perpetual Subordinated Contingent Convertible Securities | Contingent Convertible Securities                    
Notional amount     3,000,000,000              
$3,000m 6.000% Perpetual Subordinated Contingent Convertible Securities | Contingent Convertible Securities | HSBC Holdings                    
Notional amount     3,000,000,000              
$2,000m 6.875% Perpetual Subordinated Contingent Convertible Securities                    
Notional amount     2,000,000,000              
$2,000m 6.875% Perpetual Subordinated Contingent Convertible Securities | Contingent Convertible Securities                    
Notional amount     2,000,000,000              
$2,000m 6.875% Perpetual Subordinated Contingent Convertible Securities | Contingent Convertible Securities | HSBC Holdings                    
Notional amount       2,000,000,000            
$2,450m 6.375% Perpetual Subordinated Contingent Convertible Securities                    
Notional amount     2,450,000,000              
$2,450m 6.375% Perpetual Subordinated Contingent Convertible Securities | Contingent Convertible Securities                    
Notional amount     2,450,000,000              
$2,450m 6.375% Perpetual Subordinated Contingent Convertible Securities | Contingent Convertible Securities | HSBC Holdings                    
Notional amount         $ 2,450,000,000          
February 2017 Share Buy-Back Program                    
Authorized amount for share buy-back program             $ 1,000,000,000.0      
July 2017 Share Buy-Back Program                    
Authorized amount for share buy-back program           $ 2,000,000,000.0        
Pension Plan | Principal plan                    
Re-measurement effects recognised in other comprehensive income     3,140,000,000 (437,000,000)            
Pension Plan | Present value of defined benefit obligations | Principal plan                    
Re-measurement effects recognised in other comprehensive income     $ 1,730,000,000 $ (6,886,000,000)            
[1] At 31 December 2015, our operations in Brazil were classified as held for sale. The cumulative amount of other reserves attributable to these operations were as follows: available-for-sale fair value reserve debit of $176m, cash flow hedging reserve credit of $34m and foreign exchange reserve debit of $2.6bn.
[2] Statutory share premium relief under Section 131 of the Companies Act 1985 (the ‘Act’) was taken in respect of the acquisition of HSBC Bank plc in 1992, HSBC France in 2000 and HSBC Finance Corporation in 2003, and the shares issued were recorded at their nominal value only. In HSBC’s consolidated financial statements the fair value differences of $8,290m in respect of HSBC France and $12,768m in respect of HSBC Finance Corporation were recognised in the merger reserve. The merger reserve created on the acquisition of HSBC Finance Corporation subsequently became attached to HSBC Overseas Holdings (UK) Limited (‘HOHU’), following a number of intra-group reorganisations. During 2009, pursuant to Section 131 of the Companies Act 1985, statutory share premium relief was taken in respect of the rights issue and $15,796m was recognised in the merger reserve. The merger reserve includes a deduction of $614m in respect of costs relating to the rights issue, of which $149m was subsequently transferred to the income statement. Of this $149m, $121m was a loss arising from accounting for the agreement with the underwriters as a contingent forward contract. The merger reserve excludes the loss of $344m on a forward foreign exchange contract associated with hedging the proceeds of the rights issue.
[3] At 1 January 2017, the cumulative changes in fair value attributable to changes in own credit risk of financial liabilities designated at fair value was a loss of $1,672m.
[4] At 31 December 2017, retained earnings included 360,590,019 treasury shares (2016: 353,356,251; 2015: 81,580,180). In addition, treasury shares are also held within HSBC’s Insurance business retirement funds for the benefit of policyholders or beneficiaries within employee trusts for the settlement of shares expected to be delivered under employee share schemes or bonus plans, and the market-making activities in Markets.
[5] Cumulative goodwill amounting to $5,138m has been charged against reserves in respect of acquisitions of subsidiaries prior to 1 January 1998, including $3,469m charged against the merger reserve arising on the acquisition of HSBC Bank plc. The balance of $1,669m has been charged against retained earnings.
[6] At 31 December 2017, retained earnings included 326,843,840 ($2,542m) of treasury shares (2016: 325,499,152 ($2,499m); 2015: 67,881 ($1m)). The increase principally reflects the share buy-back initiative, with the purchase of 328.2m ordinary shares ($3,000m) all of which were cancelled during the year and used to reduce outstanding ordinary shares. In addition, treasury shares are held to fund employee share plans.