HSBC posted an annual profit on Wednesday that beat estimates, helped by increased revenue in its wealth and markets businesses.

It reported profit before tax for 2024 of US$32.3 billion, a rise of around six percent, as income withstood the impact of falling interest rates.

That compared with US$30.3 billion a year earlier and the US$31.7 billion average of analyst estimates compiled by the bank.

The Asia-focused lender also announced a new US$2 billion share buyback which it plans to complete before next earnings.

The figures come against the backdrop of CEO Georges Elhedery embarking on costly restructuring just as the business outlook is muddied by divergence in central bank interest rate policies, with the euro zone having room to cut rates, the US holding steady and Japan expected to raise.

Elhedery, who took the helm in September last year, has been taking steps to boost returns and tighten the London-headquartered bank's focus on Asia, where it earns the bulk of its profit.

The bank said it aimed to generate about US$300 million of cost reductions in 2025, with a commitment to an annualised reduction of US$1.5 billion in cost base expected by the end of 2026.

"We have renewed vigour in finding the efficiencies that will optimise our resource allocation, be that geographical, business line or balance sheet," Elhedery said in the bank's earnings statement.

"This will enhance the way we actively and dynamically manage costs and capital, and target investments." (Agencies)