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Investor Presentaiton

HSBC Mexico financial performance Reported financial performance 1Q20 - Mexico GAAP Revenue 1,2,3,4,5 MXNM Loan impairment charges and other credit risk provisions 3,4,5 -21% +7% +26% +4% 11,890 12,407 11,078 9,464 8,806 Mar16 Mar17 Mar18 Mar19 Mar20 Operating expenses MXN M +3% +3% +10% +3% 6,684 6,904 5,722 5,866 6,051 Mar16 Mar17 Mar18 Mar19 Mar20 MXN M (-62% -5% +29% (+28% 4,809 2,906 2,263 1,846 1,754 Mar17 Mar18 Mar19 Mar20 Mar16 Profit before tax² MXNM +99% +51% +76% -12% 2,958 2,616 1,677 1,108 557 Mar16 Mar17 Mar18 Mar19 Mar20 Source: HSBC Mexico 1Q20 press release. Figures under Mexico GAAP 1. Revenue refers to Total Operating Income excluding Loan impairment charges 2. March 2019 figures includes MXN 1,296m of gain in sale of 50% of the joint venture booked in January 2019 PUBLIC 10 3. March 2016 reported income, includes the reversal of previous year excess loan impairment reserves. 4. 5. From March 2018 onwards, the reversal of previous years excess reserves is reported in Loan impairment charges, following a change regulations. March 2017 reported income was MXN 9.126m. which included the reversal of previous years reserves in Other income. For comparison purposes. MXN 320m was reclassified to Loan impairment charges.
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