UBS posts strong quarterly results
26 April 2022 13:06
According to a press release issued by UBS, the Zurich-based major bank recorded pre-tax profit of 2.7 billion US dollars in the first quarter of 2022. At the same time, UBS was able to reduce its cost-income ratio by 3.1 percentage points year on year to 70.7 percent. In comparison with the same quarter of the previous year, net profit increased by 17 percent to 2.1 billion US dollars. At 19 percent, return on CET1 capital exceeded the target corridor of 15-18 percent defined by UBS.
“The first quarter was dominated by extraordinary geopolitical and macro events”, comments Ralph Hamers, UBS Group CEO, in the press release. He puts this strong performance down to the major bank’s continued execution of strategic plans and risk management processes. In the future, too, UBS intends to further pursue its aim of creating “THE global ecosystem for investing”, Hamers explains.
The investment business at UBS above all contributed to the increased profit in the quarter under review. In this context, pre-tax profit increased 126 percent year on year to 929 million US dollars. In the first quarter of 2021, the Investment Bank’s results were badly hit by the bankruptcy of the Archegos hedge fund.
In the area of Global Wealth Management, profit before tax came in at 1.3 billion US dollars. This reflects a decline of 7 percent on the same quarter of the previous year. In terms of the Personal & Corporate Banking division, pre-tax profit rose by 10 percent year on year to reach 395 million US dollars. At 174 million US dollars, a decline of 23 percent in pre-tax profit versus the first quarter of 2021 was recorded in the area of Asset Management.