UBS - best third quarter for a decade, + 99% in net profit

UBS, Earnings, Forex Award, World Forex Award, Forex Brokers Award

LONDON — The world’s largest wealth manager, UBS, reported a jump in net income to $2.1 billion for the third quarter on Tuesday, easily beating analyst expectations. It marks a 99% jump from the same period a year earlier.

“It is very difficult not to be happy with this set of numbers because they are coming from a great contribution from all business units,” CEO Sergio Ermotti told CNBC’s Geoff Cutmore Tuesday.

Analysts had expected the Swiss bank and asset manager to report $1.5 billion of net income for the third quarter, according to data from Refinitiv Eikon. It comes after an 11% drop in profit for the second quarter, as the global banking industry felt the full effect of the coronavirus pandemic.

“We speak a lot about stimulus and Covid-related matters, but the geopolitical uncertainties in Europe, and also in the Sino-U.S. relationship, (are) still there and they’re there to stay so we shouldn’t underestimate that,” Ermotti added.

UBS said pre-tax profit for the third quarter rose 92% to $2.6 billion, in what it described as its best third-quarter result in a decade.

The Swiss lender’s results are the first of Europe’s banks. Analysts are expecting a better quarter for the sector following a tough first half off the back of the coronavirus outbreak and economic crisis.

UBS said loan loss provisions for the period came in at $89 million, significantly lower than the amounts booked in the first and second quarters. It also said it planned to pay its delayed dividend from 2019 in November of this year, and had set aside $1.5 billion for share repurchases which it expects to start next year.

Operating profit hit $8.9 billion, versus $7.08 billion a year ago

CET 1 capital ratio reached 13.9%, versus 13.1% a year ago

Pre-tax profit in UBS’ investment bank rose 268%, on the back of market volatility in the wake of the coronavirus crisis. While its wealth management division posted an 18% rise in profit before tax, and total invested assets hit an all-time high of $2.75 billion.

The bank attributed its results to ongoing strong client activity and the “benefits of a well-diversified business model with broad regional mix.”

Speaking to CNBC, Ermotti said: “The amount of visibility is very limited, but this has not really changed in the last few years and months. I think what we are doing is staying very agile and staying very focused on our plan.”

From a geographical standpoint, Ermotti also said that the U.S. and Asia “offer bigger and greater growth opportunities” than Europe, adding that the latter needed to implement more structural reforms and regain competitiveness.

Tuesday’s results are UBS’ last under the leadership of Ermotti, who is due to leave the bank this month. Ralph Hamers will become the new head on Nov. 1.

“UBS has all the options open to write another successful chapter of its history under Ralph’s leadership,” Ermotti said in a statement accompanying the results.cnbc



World Forex Award

Forex Brokers Award

Forex Awards

Forex Award | World Forex Award |  The Best Forex Broker










  • Forex Award | World Forex Award | Best Forex Broker
  • Forex Award | Forex Brokers Award
  • Forex Award | Forex Brokers Award
  • Forex Award | Forex Brokers Award
  • Forex Award | Forex Brokers Award
  • Forex Award | Forex Brokers Award
  • Forex Award | Forex Brokers Award
  • Forex Award | Forex Brokers Award
  • Forex Award | Forex Brokers Award
  • Forex Award | Forex Brokers Award
  • Forex Award | Forex Brokers Award
  • Forex Award | Forex Brokers Award
  • Forex Award | Forex Brokers Award


Cookies are small text files that a web site transfers to a site visitor’s hard disk or browser for added functionality, or for tracking web site usage. We do not use cookies to gather personal information such as a person’s name or e-mail address. In order to measure the effectiveness of our on-line presence, The European Business Award website may use cookies to identify repeat visitors to our site and to determine the path visitors take on our site. Any information gathered by the use of cookies is compiled on an aggregate, anonymous basis.

Use of cookies is an industry standard and many web sites use them. If you do not wish to receive cookies, or want to be notified of when they are placed, you can set your web browser to do so, if your browser so permits.

* Partner companies are those Sponsors and organisations who support the World Forex Award  and also follow in the aims and principles of the Awards - towards creating a more successful European economy.

© 2015-2020 World Forex Award NPO