Standard Chartered (STAN.L) unveiled new medium-term financial targets and plans to cut more than 15% of roles in its corporate functions by 2030 as the British lender accelerates the use of artificial intelligence across its business.
In a Monday statement, the bank said it is "scaling practical uses of automation, advanced analytics and artificial intelligence to streamline processes, improve decision-making and enhance both client service and internal efficiency."
Having achieved its 2026 medium-term financial targets a year ahead of schedule, the lender outlined new targets for the period from 2025 to 2028, including a high-teens EPS compound annual growth rate and annual income growth of 5% to 7%. StanChart is also targeting a return on tangible equity of more than 15% by 2028, before rising to 18% in 2030.
StanChart also plans to raise income per employee by 20% by 2028, helped by the announced job cuts. The bank also pledged to support a dividend payout ratio of at least 30%, with a "progressive" dividend per share.
Highlighting the strength of its international business, StanChart said it will raise investment in its Asian wealth management business, where it ranks as the third-largest player. Its wealth and retail banking business has brought forward key targets to 2028 from 2029, including a goal of attracting $200 billion in net new money and increasing affluent income to 75% of total segment income.
"We will invest disproportionately in this business, while continuing to concentrate on markets and portfolios where we have scale and the most distinctive client proposition," the bank said.
StanChart shares were little changed in early morning trading in London and up over 2% in afternoon trading in Hong Kong.
