HSBC Holdings Plc, Europe's largest bank by market value, posted a decline in full-year profit after paying a record penalty for compliance failures and said costs rose for a third year, missing its target. Pretax profit for 2012 dropped 5.6 percent to $20.65 billion, trailing the $23.49 billion estimate of 26 analysts surveyed by Bloomberg. Revenue fell 5.4 percent to $68.33 billion from $72.28 billion, HSBC said yesterday in a statement. The shares declined in London trading.