HSBC chief Stuart Gulliver sees pay fall amid sliding profits

 The results come after HSBC announced its intention to keep its headquarters in the UK

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The Independent Online

Stuart Gulliver, the chief executive of HSBC, suffered a pay cut of 3.7 per cent in 2015.

Gulliver saw his take-home pay cut from £7.62 million in 2014 to £7.34 million in 2015. His fixed pay stayed the same, but variable pay was down 10.6 per cent.

Details on director pay were revealed in the company's annual results, which came in at a lower-than-expected pre-tax profit for 2015 and a pre-tax loss in the fourth quarter of the financial year.

Annual profit before tax was $18.87 billion for 2015, up slightly from $18.7 billion the year before, but falling well short of analysts' expectations of $21.8 billion. 

Fourth quarter data showed that HSBC made a loss of $858 million in the final quarter of the financial year.

Analysts had expected the bank to report a profit of $1.95 billion for the quarter, but the changing prices of some financial instruments, like derivatives, as well as weaker lending, weighed on the books. 

Douglas Flint, HSBC chairman, said the the economic slowdown in China was making the environment more challenging.

"China's slower economic growth will undoubtedly contribute to a bumpier financial environment, but it is still expected to be the largest contributor to global growth as its economy transitions to higher added value manufacturing and services and becomes more consumer driven," Flint said.

Last week, HSBC announced its intention to keep its headquarters in the UK after a 10-month review thought to have been prompted by stricter regulation and higher taxes.

Additional reporting by Reuters