UBS Reports Third Quarter Results That Significantly Exceed Expectations

UBS Group AG announced third-quarter results that significantly exceeded expectations. The bank reported net income of $1.43 billion, nearly double the analysts' forecast of $783.3 million. Pre-tax profit of $1.93 billion surpassed the expected $1.47 billion, and revenues were $12.33 billion, exceeding the anticipated $11.46 billion. Strong earnings from loans, along with progress made in reducing costs, supported these results. UBS CEO Sergio Ermotti indicated that the quarterly results came amid a market environment characterized by "high volatility and periods of upheaval." The bank also noted that it has chosen to gradually eliminate a legal advantage related to the acquisition of Credit Suisse, resulting in a 60 basis point drop in its common equity tier 1 (CET1) capital ratio to 14.3%.