UBS earnings Q3 2022

UBS on Tuesday claimed a web money of $1.7 billion for the 3rd quarter of this yr, a little bit over analyst expectations, with the Swiss financial institution citing a demanding setting.

Analysts had envisioned a internet financial gain of $1.64 billion, in accordance to Refinitiv data. UBS noted a net revenue of $2.3 billion a 12 months in the past.

The Swiss financial institution experienced missed expectations in the final quarter when it posted a net revenue of $2.108 billion. The lender explained at the time the next quarter had been “just one of the most tough periods for investors in the last 10 years” because of to significant inflation, the war in Ukraine and rigorous Covid-19 guidelines in Asia.

UBS claimed Tuesday these factors ongoing to be in investors’ minds in the 3rd quarter.

“The macroeconomic and geopolitical ecosystem has turn into increasingly intricate. Clientele continue to be worried about persistently substantial inflation, elevated energy selling prices, the war in Ukraine and residual consequences of the pandemic,” Ralph Hamers, CEO of UBS, said in a statement.

Other highlights for the quarter consist of:

• Revenues hit $8.3 billion, down from $9.1 billion a yr back.
• Working expenses dropped to $5.9 billion, from $6.2 billion a 12 months in the past.
• CET 1 cash ratio, a measure of financial institution solvency, reached 14.4% vs . 14.9% a year ago.

Its expenditure banking division noticed revenues down by 19% with the decreased general performance in fairness derivatives, dollars equities, and financing income remaining offset by revenues in foreign trade. The International Wealth Administration division also noted lessen revenues, down by 4% year-on-yr.

Even so, Individual and Company Banking revenues rose about the exact interval on much more effective costs from the Swiss Nationwide Financial institution.

Shares of UBS are down about 8% so considerably this calendar year.