New business volume at HSBC Equipment Finance
increased thanks to a higher incidence of bigger ticket
transactions in the company’s portfolio in 2010. New business was
up 15 percent to £1bn, with medium and large ticket transactions
accounting for 40 percent of that figure.

HSBC head of equipment finance Richard Carter
said: “Our customer base has been buying more than we had seen in
the previous three years, and especially medium and large ticket
transactions contributed to the growth. The focus on this type of
deals is very much in line with our company strategy.”

Go deeper with GlobalData

Data Insights

The gold standard of business intelligence.

Find out more

HSBC Equipment Finance’s big ticket business
is mainly made of large transactions in traditional sectors, from
commercial vehicles to print equipment. Rail, aircraft and marine
assets are not included.

Carter said that the company had a good
performance over the whole year and across all types of assets. New
deals were signed with customers in the utility sector, and for
commercial vehicle fleets and buses.

SMEs are not split out as a specific sector.
Carter said: “We are still in the SME market, although we focus on
larger SMEs and our deals tend to have a minimum asset size. We
continued to meet SME market demand last year, and the level of
acceptance for transactions that came through us was very
high.”

Carter echoed the importance of playing a role
in supporting the bank’s customers as part of HSBC Group’s
strategy. “We are very much aligned to the vision of bringing added
value to the bank’s customers, and this is reflected in the good
results we had in 2010.”

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

Commercial banking, the HSBC branch which
includes equipment finance, performed strongly, particularly in
Asia, with global profits up 48 percent to $6.1bn. The bank has
however warned that the new Basel III regulations could impact
future lending. Group chairman Douglas Flint said: “HSBC agrees
with the industry consensus that the revised requirements in these
areas are overly conservative. It will be a near impossibility for
the industry to expand business lending at the same time as
increasing the amount of deposits deployed in government
bonds.”