26 July 2015

Important legal information

UBS announced Q2/15 results one day early, "in order to be transparent and counter certain incorrect and misleading information that has become public". Thanks to an extraordinary profit-growth in the wealth management business, UBS presented a profit of 1.2 billion CHF. Compared to last year Q2/14 this was an increase of 53%. The adjusted pre-tax profit was in line with consensus. The Tier-1 capital ratio strongly increased by 70 bps since the end of March to 14.4% on higher CET1 capital and lower risk-weighted assets.

Like at Credit Suisse, Wealth Management was above expectations on stronger revenues. The net margin improved to 31 bps and the gross margin to 87 bps (+3 bp yoy). Net new money was good at 3.5% annualized (1.8 billion CHF). UBS has focused on the expansion of the Wealth management business whereas investment banking was put under consideration. Investment banking was above expectations due to stronger equity trading revenues.

As in previous years, seasonal impacts on the outlook are likely to affect revenues and profits in the third quarter. Also the CEO referred to persistent geopolitical problems. Nevertheless UBS CEO Sergio Ermotti said “we maintained our momentum despite ongoing market challenges”.



26/11/2022 11:12:43