UBS beats Q1 profit expectations but faces challenges in tough economic conditions

From CNBC: 2025-04-30 01:11:00

Swiss bank UBS beats bottom line expectations in Q1 with net profit of $1.692 billion, exceeding analyst forecasts. Revenue hits $12.557 billion. Return on tangible equity at 8.5% and CET 1 capital ratio at 14.3%. Global markets unit sees 32% revenue growth. Net interest income declines, with further drops expected.

Investors watch closely as UBS faces challenges in a tough economic climate with declining interest rates. Share declines of 10% this year, worsened by U.S. tariffs. Switzerland risks 31% duty without conciliatory trade deal. UBS’ profitability outlook is uncertain with potential new capital requirements and lobbying efforts.

UBS’ long-term profitability is in question amid potential new capital requirements and lobbying efforts. Swiss authorities consider imposing stricter regulations on UBS due to its size and competitiveness concerns. Swiss President emphasizes the importance of ensuring UBS is resolvable in a crisis. Updates on this story are ongoing.



Read more at CNBC:: UBS Q1 earnings 2025