Amid the ongoing debate over Swiss large-bank regulation, UBS’s quarterly results risk being overshadowed—despite their significance. Notably, the figures reflect tangible progress in integrating Credit Suisse.

UBS reported a pre-tax profit of $3.8 billion for the first quarter, up 80% year-on-year, according to results released on Wednesday. Net profit came in at $3.0 billion. Return on CET1 capital (RoCET1) reached 16.8%, while the cost/income ratio stood at 72.5%.

Ermotti: «Excellent Results»

Pre-tax earnings included a $163 million gain related to Swisscard transactions. In autumn 2024, UBS announced the sale of its 50% stake in Swisscard to its joint venture partner, American Express.

CEO Sergio Ermotti described the performance as «excellent,» adding that the bank is well on track to meet its 2026 financial targets.

Strong Net New Money Inflows

Net new assets in Global Wealth Management totaled $37.4 billion in the first quarter (+3.1%), with inflows recorded across all regions. UBS did not provide detailed disclosure on the impact of the Iran conflict on flows.

In Asset Management, net new money rose to $14.0 billion (+2.7%), driven primarily by strong ETF momentum.

Assets under management stood at $6.9 trillion at quarter-end.

Record Performance in Global Markets

Total revenues increased by 13% to $14.2 billion. Growth was driven by both Global Wealth Management and Investment Banking. Global Markets revenues reached an all-time high of $3.2 billion (+31%), supported by record performance in Equities as well as Foreign Exchange, Rates and Credit.

Additional Share Buybacks

UBS repurchased $0.9 billion in shares during the first quarter and plans to buy back an additional $3 billion before reporting second-quarter results. The bank did not rule out further buybacks later in the year.

Integration Milestone Achieved

In March, UBS completed the data migration process in Switzerland, successfully transferring 1.2 million client accounts globally.

The bank stated that this milestone unlocks new growth and innovation opportunities and reiterated its expectation to «substantially» complete the integration by year-end.

In the first quarter, UBS achieved an additional $0.8 billion in gross cost savings, bringing total savings to $11.5 billion since the start of the program. The target is $13.5 billion by the end of 2026.

Regulatory Headwinds Remain

UBS management is expected to comment in more detail later today on Swiss capital requirements for systemically important banks. «We continue to engage constructively and contribute to a fact-based debate,» Ermotti said. «These developments do not change who we are as a firm. We remain committed to our diversified business model and our global yet locally anchored presence.» The bank also emphasized its commitment to protecting shareholders.

UBS estimates that the additional CET1 capital required under the measures adopted by the Swiss Federal Council last week would amount to approximately $22 billion.

Following the government decision, the matter is set to move to Parliament this autumn.