UBS Shares Soar in 2025 as Swiss Bank Returns to Profit with $1.76B Q1 Earnings
In 2025, Swiss banking giant UBS bounced back to profitability, driven by strategic cost cuts and swift integration of Credit Suisse. Discover how UBS’s Q1 results surpassed expectations and what this means for the future of banking.
Bill McColl brings over 25 years of expertise as a senior producer and writer across TV, radio, and digital platforms, leading teams in delivering impactful news coverage on major global events.
Highlights
- UBS Group returned to profitability in Q1 2024 after two quarters of losses by implementing aggressive cost-saving measures and advancing Credit Suisse integration.
- The Swiss bank acquired struggling rival Credit Suisse during a government-supported bailout in March 2023.
- UBS accelerated its integration efforts, achieving an additional $1 billion in gross cost reductions.
Shares of UBS Group (UBS) surged significantly in intraday trading on Tuesday following the announcement of a strong quarterly profit, marking a successful turnaround as the bank continues merging operations with Credit Suisse acquired last year.
Strong Q1 Profit Recovery
UBS reported a net income of $1.76 billion for Q1 2024, tripling the analysts’ consensus estimates with earnings of $0.52 per diluted share. This rebound follows two quarters of financial setbacks.
Revenue climbed 45.7% year-over-year, reaching $12.74 billion, surpassing market forecasts. The global wealth management division experienced a notable 28.3% revenue increase to $6.14 billion.
The bank emphasized that integration with Credit Suisse is progressing rapidly, realizing an extra $1 billion in cost savings, reinforcing operational efficiency.
CEO Highlights Integration Momentum
CEO Sergio Ermotti highlighted the performance as evidence of UBS’s robust business model and client trust, emphasizing the company’s capability to deliver substantial integration progress while optimizing financial resources.
Plans include consolidating U.S. operations into a single intermediate holding company within the current quarter, followed by merging Swiss entities by Q3 2024.
UBS shares traded on U.S. markets climbed 6.6% to $29.42 by midday Tuesday, reflecting investor confidence.
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