Latest news with #CreditSuisse
Yahoo
a day ago
- Business
- Yahoo
UBS Q2 profit before tax surges 49% to $2.19bn
Swiss banking giant UBS has disclosed a profit before tax (PBT) of $2.19bn for the second quarter of 2025, a surge of 49% compared to the year ago period. The net profit attributable to shareholders amounted to $2.39bn, reflecting a 111% increase year-on-year. This total includes a net release of provisions and contingent liabilities of $427m linked to a legacy Credit Suisse cross-border matter, as well as a net deferred tax benefit of $577m, the group said in its press release. The return on CET1 capital was reported at 13.5%, with an underlying return of 15.3%. Total reported revenues reached $12.11bn, which is a 2% increase from the previous year. On an underlying basis, revenues rose by 4% to $11.54bn, with core business revenues increasing by 8%. For the first half of 2025, UBS reported a PBT of $4.32bn and an underlying PBT of $5.27bn, supported by a 2% rise in underlying revenues and a 2% decrease in underlying expenses. The net profit for this period was $4.08bn, with a return on CET1 capital of 11.6% and an underlying return of 13.3%. In the Global Wealth Management division, the PBT was $1.2bn, while the underlying PBT was $1.44bn. Total revenues for this division increased by $247m, or 4%, to $6.3bn, largely due to higher recurring net fee income and transaction-based income. The cost/income ratio for this division was 80.8%, and 76.5% on an underlying basis, with invested assets rising by $294bn to $4.51tn and net new assets amounting to $23bn. The Asset Management division reported a PBT of $153m, with an underlying PBT of $216m. Total revenues increased by $4m to $772m, reflecting gains in net management fees and performance fees. The division's cost/income ratio was 80.1%, and 72.0% on an underlying basis, with invested assets increasing by $156bn to $1.95tn. However, net new money was negative $2bn, and negative $5bn when excluding money market flows and associates. UBS group CEO Sergio Ermotti said: 'We sustained robust momentum during a quarter that started with extreme volatility by staying close to our clients and executing on our integration plans. We also maintained a balance sheet for all seasons while delivering on our capital return plans. 'We are positioning for long term success by further enhancing our global capabilities, investing in our future infrastructure and AI, while actively engaging in the debate on future regulation in Switzerland. This allows us to fulfill our commitment to support all the communities where we live and work.' Looking ahead to the third quarter, UBS expects that net interest income in Global Wealth Management and Personal & Corporate Banking in Swiss francs will remain stable, translating to a low single-digit percentage increase in US dollar terms. The bank also anticipates that trading and transactional activity will return to more typical seasonal patterns, particularly in Global Wealth Management's transaction-based revenues and the Investment Bank's Global Markets performance. UBS has projected pull-to-par revenues to be around $0.4bn, which will help mitigate the expected $1.1bn in integration-related expenses. The bank stated, 'We remain focused on actively engaging with our clients, helping them to navigate a complex environment while executing on our growth and integration plans. 'We are confident in our ability to deliver on our 2025 and 2026 financial targets, leveraging the power of our diversified business model.' "UBS Q2 profit before tax surges 49% to $2.19bn" was originally created and published by Private Banker International, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site.
Bloomberg
2 days ago
- Politics
- Bloomberg
Ex-Credit Suisse Boss's Bid to Run in Ivorian Vote Blocked Again
Former Credit Suisse AG Chief Executive Officer Tidjane Thiam's options to run for president of Ivory Coast this year appear to have been exhausted, after a United Nations agency declined to push for his vote to be reinstated. Thiam had appealed to the United Nations Human Rights Committee after a court in Abidjan removed his name from the electoral roll in April, on the grounds that he still held French citizenship at the time he had registered.
Reuters
2 days ago
- Business
- Reuters
UBS quarterly profit doubles; Ermotti takes aim at Swiss capital proposals
ZURICH, July 30 (Reuters) - UBS's (UBSG.S), opens new tab second-quarter profit more than doubled from a year earlier, comfortably ahead of expectations, as it joined other major banks in making the most of a surge in trading activity amid market turmoil. Switzerland's largest bank was relatively upbeat about its outlook on Wednesday, saying that it sees a high level of readiness among investors and companies to deploy capital as "conviction" around the macro outlook strengthens. CEO Sergio Ermotti, however, took the opportunity to criticise the Swiss government for proposals last month that could increase the amount of capital the bank would have to hold by $24 billion to cover risks that could arise from its foreign operations. Theories that UBS could easily absorb or mitigate proposed capital increases did not reflect reality, he said in an analysts' call. "We will evaluate all potential and appropriate measures to address negative effects for our shareholders, but any mitigation strategies, even if feasible, would come at a significant cost," he said. "We are strong thanks to our global footprint, not in spite of it," he added. Net profit attributable to shareholders came in at $2.4 billion, beating a company-provided consensus estimate of $2.045 billion. The results were a "good reminder of the strength of the business model and the fast and relatively smooth integration of Credit Suisse," Deutsche Bank analysts said in note to clients. In its investment banking division, revenues for global markets surged 25% during a quarter when trading cues were focused on ructions caused by U.S. President Donald Trump's tariff war. At the same time, transaction-based income for its global wealth management division rose 12%. Some of the earnings beat can be attributed to a $427 million net release of provisions and contingent liabilities related to the resolution of a Credit Suisse litigation issue, as well as a net income tax benefit of $209 million. Shares in UBS were up 1.4% in morning trade. UBS expects trading and transactional activity to become more normalised in the quarter ahead. But it also said that it was too early to say when deals in the pipeline would be executed. Integration of its one-time rival Credit Suisse remained on track, UBS said in its second-quarter statement, with one-third of client accounts booked in Switzerland migrated. Cumulative cost reductions reached $9.1 billion, or 70% of expected gross cost savings, it added. UBS was delivering on its capital return plans for 2025 and continued accruing for double-digit growth in its dividend, the bank said. Deliberations in Swiss parliament over capital requirements could take years. The government is concerned about the potential for crises, given that UBS is now the country's sole remaining global bank with a balance sheet about double the size of the economy. The bank has stepped up contingency planning, sources have said, with one saying senior staff have been told that the need to examine moving its HQ from Switzerland has grown since the government proposed the new rules. Ermotti stressed that UBS was not going to engage in any mitigation before it knows exactly what the final rules are. "We are not going to front-run any new capital regime, that's clear," he said. Other major banks such as Bank of America (BAC.N), opens new tab, JPMorgan Chase (JPM.N), opens new tab, Citigroup (C.N), opens new tab and Morgan Stanley (MS.N), opens new tab also beat estimates in the second quarter as traders cashed in on volatile markets. Though HSBC, also reporting on Wednesday, posted a 26% slide in first-half pretax profit, missing analyst estimates, as its China losses mounted.
Business Times
2 days ago
- Business
- Business Times
UBS second-quarter profit doubles to $2.4 billion, beats estimates
[ZURICH] UBS' second-quarter profit more than doubled from a year earlier, comfortably ahead of expectations, as it joined other major banks in making the most of a surge in trading activity amid market turmoil. Switzerland's largest bank also said on Wednesday (Jul 30) that it sees a high level of readiness among investors and companies to deploy capital as 'conviction' around the macro outlook strengthens. But it was too early to say when deals in the pipeline would be executed, it added. Net profit attributable to shareholders came in at US$2.4 billion, beating a company-provided consensus estimate of US$2.045 billion. In its investment banking division, revenues for global markets surged 25 per cent during a quarter when trading cues were focused on ructions caused by US President Donald Trump's tariff war. At the same time, transaction-based income for its global wealth management division rose 12 per cent. Some of the earnings beat can be attributed to a US$427 million net release of provisions and contingent liabilities related to the resolution of a Credit Suisse litigation issue, as well as a net income tax benefit of US$209 million. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up UBS said it expects trading and transactional activity to become more normalised in the quarter ahead. Net interest income in global wealth management and the Swiss business would likely be broadly stable in Swiss francs, while there would be a low single-digit percentage increase in US dollar terms. Integration of its one-time rival Credit Suisse remained on track, UBS said in its second-quarter statement, with one-third of client accounts booked in Switzerland migrated. Cumulative cost reductions reached US$9.1 billion, or 70 per cent of expected gross cost savings, it added. UBS was delivering on its capital return plans for 2025 and continued accruing for double-digit growth in its dividend, the bank said. It was reporting earnings for the first time since the Swiss government proposed in June stricter rules for the country's remaining big bank. UBS has said it strongly disagrees with what it calls an 'extreme increase' in proposed capital requirements to cover risks in its foreign operations and which could mean it would need to hold around US$24 billion in additional CET1 capital. UBS was further enhancing global capabilities while 'actively engaging' in the debate on future regulation in Switzerland, CEO Sergio Ermotti said. Other major banks such as Bank of America, JPMorgan Chase, Citigroup and Morgan Stanley also beat estimates in the second quarter as traders cashed in on volatile markets. Though HSBC, also reporting on Wednesday, posted a 26 per cent slide in first-half pretax profit, missing analyst estimates, as impairments from its investment in Bank of Communications and exposure to Hong Kong real estate weighed. REUTERS
Business Recorder
2 days ago
- Business
- Business Recorder
UBS second-quarter profit doubles to $2.4 billion, beats estimates
ZURICH: UBS's second-quarter profit more than doubled from a year earlier, comfortably ahead of expectations, as it joined other major banks in making the most of a surge in trading activity amid market turmoil. Switzerland's largest bank also said on Wednesday that it sees a high level of readiness among investors and companies to deploy capital as 'conviction' around the macro outlook strengthens. But it was too early to say when deals in the pipeline would be executed, it added. Net profit attributable to shareholders came in at $2.4 billion, beating a company-provided consensus estimate of $2.045 billion. UBS shares slide 7%, reversing gains after Swiss capital proposals In its investment banking division, revenues for global markets surged 25% during a quarter when trading cues were focused on ructions caused by U.S. President Donald Trump's tariff war. At the same time, transaction-based income for its global wealth management division rose 12%. Some of the earnings beat can be attributed to a $427 million net release of provisions and contingent liabilities related to the resolution of a Credit Suisse litigation issue, as well as a net income tax benefit of $209 million. UBS said it expects trading and transactional activity to become more normalised in the quarter ahead. Net interest income in global wealth management and the Swiss business would likely be broadly stable in Swiss francs, while there would be a low single-digit percentage increase in U.S. dollar terms. Integration of its one-time rival Credit Suisse remained on track, UBS said in its second-quarter statement, with one-third of client accounts booked in Switzerland migrated. Cumulative cost reductions reached $9.1 billion, or 70% of expected gross cost savings, it added. UBS was delivering on its capital return plans for 2025 and continued accruing for double-digit growth in its dividend, the bank said. It was reporting earnings for the first time since the Swiss government proposed in June stricter rules for the country's remaining big bank. UBS has said it strongly disagrees with what it calls an 'extreme increase' in proposed capital requirements to cover risks in its foreign operations and which could mean it would need to hold around $24 billion in additional CET1 capital. UBS was further enhancing global capabilities while 'actively engaging' in the debate on future regulation in Switzerland, CEO Sergio Ermotti said. Other major banks such as Bank of America, JPMorgan Chase, Citigroup and Morgan Stanley also beat estimates in the second quarter as traders cashed in on volatile markets. Though HSBC, also reporting on Wednesday, posted a 26% slide in first-half pretax profit, missing analyst estimates, as impairments from its investment in Bank of Communications and exposure to Hong Kong real estate weighed.
