• Switzerland's news in English

UBS posts higher net profits for third quarter

AFP · 28 Oct 2014, 11:31

Published: 28 Oct 2014 11:31 GMT+01:00

Facebook Twitter Google+ reddit

Net profit totalled 762 million francs ($802 million).

The leap of almost one third compared to the outcome in the same period of 2013 was fuelled by 1.3 billion francs' worth of tax credits.
That helped offset litigation costs, which have hit UBS as countries such as the United States make international banks pay for past abetting of tax-dodging by their citizens.
Operating income at Switzerland's largest bank — the equivalent of turnover — rose by ten percent to more than 6.8 billion francs.
The performance fell short of expectations of analysts polled by financial news agency AWP, who on average had foreseen 862 million francs in profit and operating income of 6.9 billion francs.
UBS said that provisions for litigation reached 1.8 billion francs during the third quarter, with 1.6 billion francs of that pinned on the investment banking division.
That division posted an operating loss of 1.2 billion francs.
In the face of a tougher new regulatory environment and the financial crisis, UBS launched a root and branch change in it operations three years ago.
"I am very pleased with our underlying performance for the quarter, which again demonstrates the strength of our franchise," said Sergio Ermotti, the bank's CEO.

"At the same time, we are actively addressing litigation and regulatory matters."

"Three years since introducing our strategy, the business is far stronger, its earnings power is much greater and our absolute and relative capital position speaks for itself," he said

Story continues below…

"That gives us every confidence in our ability to deliver on our capital returns policy."
UBS has refocused its operations on wealth management, a division which turned a pre-tax operating profit of 707 million francs in the third quarter, its highest level since the second quarter of 2009.
Net new money in UBS' wealth management businesses was 9.8 billion francs, with the Asia-Pacific region the main driver, though the figure was slightly down from the 10.7 billion francs which flowed in in the second quarter.
The Americas wealth management arm, meanwhile, posted pre-tax operating profit of 236 million francs, thanks to an influx of $4.9 billion in new money.

For more news from Switzerland, join us on Facebook and Twitter.

Facebook Twitter Google+ reddit

Your comments about this article

Today's headlines
Wawrinka aces his way into Basel quarterfinals
Photo: Fabrice Coffrini/AFP

The home favourite returns to the quarterfinals of the Swiss Indoors for the first time in five years.

Illegal immigrant dies after setting himself on fire
The victim was treated at University Hospital Zurich. Photo: University Hospital Zurich

The 45-year-old Tunisian was threatened with deportation.

Swiss government rejects call for second immigration vote
Photo: Justus Blumer/Christophe G

The Swiss government has rejected a popular initiative calling for a revote on plans to limit immigration.

Bern: companies should report salary inequality by law
File photo: Fabrice Coffrini/AFP

The Swiss government wants to force small companies to examine their rates of pay every four years.

Husband in custody after Orbe body identified
File photo: Bas Leenders

The deceased is a 55-year-old woman who lived in the house with her husband.

Presented by MoneyPark
How to get a mortgage in Switzerland
Houses in Zürich. Photo: Pixabay.

Ready to buy? Here’s what you need to know as an expat about Swiss regulations, how to finance your purchase, and why you should use a broker.

Autumn in Switzerland: ten stunning Instagram photos
Photo: Swiss Tourism/Jan Geerk

Switzerland is beautiful in all seasons, but as these photos show, autumn is a special time in the alpine country.

Report: Swiss progress slows on gender equality
File photo: David Soulivet

Globally, it will take 170 years to achieve gender equality, according to the World Economic Forum.

Brothers go to court to stop suicide of sibling
File photo: Lisa Edmonds

Two men have filed a legal bid to prevent the Swiss assisted suicide association Exit from helping their older brother to kill himself.

Wawrinka snubs past form to reach Basel second round
Wawrinka beat local wildcard Marco Chiudinelli. Photo: Fabrice Coffrini/AFP

US Open champion Stan Wawrinka has reached the second round in Basel after going out in the first round for the past four years.

Photo: Unterirdisch Ueberleben
Inside Switzerland’s largest nuclear bunker – 40 years on
Sponsored Article
Last chance to vote absentee in the US elections
Photo: The Local
Ticino firefighters rescue cow from swimming pool
Photo: Antoni Da Campo
Vegan wins battle to be accepted by Swiss army
Photo: Swiss Tourism
Ten Swiss ski resorts named most expensive in Europe
Photo: Randy Kashka
Swiss women will ‘work for free’ for the rest of year
Photo: Swiss Tourism
Montreux throws hat in Olympic rings
Photo: Swiss Tourism
Seven things you’ll miss about Switzerland if you leave
Photo: Richard Juilliard/AFP
Man makes Geneva airport bomb threat ‘for a joke’
Photo: AFP
Solar Impulse team reveals plans for unmanned plane
File photo: Martin Abegglen
Swiss to vote on passport rules for 3rd gen foreigners
Photo: AFP
Swiss wingsuit hotspot Lauterbrunnen won’t impose ban
Photo: Swiss Tourism
Six reasons Switzerland isn’t as boring as you might think
Photo: Swiss Tourism
Report: Switzerland one of world’s best places for girls
Photo: The Local
Thief returns Swiss cow bells worth thousands
File photo: Wikimedia Commons
One in three rapists isn’t locked up: statistics
Photo: activistin.ch
Tampon-tax protest turns Zurich fountains red
Photo: AFP
Geneva police to lift ban on bearded officers
Photo: Marcel Gillieron/AFP
Suicide chef’s restaurant keeps Michelin stars
Photo: Lara de Salis
11 things the Swiss get tired of hearing abroad
Photo:  Ivo Scholz/Swiss-image.ch
Survey: expats in Switzerland have money but few friends
Photo: AFP
Swiss press criticize Bern’s 'capitulation' on immigration
Photo: Jura Trois Lacs tourism
German ex-policeman is Swiss city’s new hermit
Photo: Dmitry A. Mottl
Ticino votes to favour local workers over foreigners
jobs available