UBS Q3 Profit Jumps 47% as Credit Suisse Integration and Cost Cuts Drive Growth
UBS Group AG reported a strong third quarter for 2025, with profit before tax rising 47% year-on-year to $2.8 billion, as the Swiss bank accelerated its Credit Suisse integration and achieved cost savings ahead of schedule.
Net profit attributable to shareholders climbed 74% to $2.5 billion, according to the company’s quarterly results published on Wednesday.
“We delivered an excellent third quarter powered by momentum in our core businesses and disciplined execution,” said Group CEO Sergio P. Ermotti. “Client activity remains strong, with invested assets nearing $7 trillion.”
Strong Core Business and Higher Profitability
UBS said its underlying profit before tax rose 50% to $3.6 billion, with a return on CET1 capital (RoCET1) of 13.5%, or 16.3% on an underlying basis.
Diluted earnings per share reached $0.76.
Total revenue increased 3% to $12.76 billion, while operating expenses dropped 4% to $9.83 billion, reflecting continued efficiency gains.
The bank’s core divisions — Global Wealth Management, Personal and Corporate Banking, Asset Management, and the Investment Bank — delivered a 28% rise in underlying profit before tax year-over-year, or 19% excluding litigation items.
Asset Growth and Record Segment Performance
Group invested assets grew 4% quarter-on-quarter to $6.9 trillion.
Global Wealth Management attracted $38 billion in new assets during the quarter and $92 billion year-to-date, while Asset Management added $18 billion, pushing total assets above $2 trillion for the first time.
UBS reported record Q3 performances in both Global Banking and Global Markets, with revenues up 52% and 14%, respectively.
Transaction-based income in Global Wealth Management also increased 11% on an underlying basis.
Integration Progress and Cost Savings Ahead of Plan
The bank said it has migrated more than two-thirds of Swiss-booked client accounts and expects full completion by the first quarter of 2026.
Integration of Asset Management was substantially finished in October.
UBS achieved an additional $0.9 billion in gross cost savings during Q3, bringing total savings to $10 billion, reaching 77% of its $13 billion target — one quarter ahead of schedule.
The group’s CET1 capital ratio improved to 14.8%, and its CET1 leverage ratio stood at 4.6%.
UBS completed $1.1 billion in share buybacks and plans up to $0.9 billion more in Q4, targeting $3 billion in total for 2025.
Litigation, Risk Reduction, and Strategic Expansion
UBS reduced risk-weighted assets in its Non-core and Legacy portfolio by $1.9 billion to $30.7 billion.
The bank also released $668 million in litigation reserves after resolving cases related to Credit Suisse’s mortgage-backed securities and UBS’s prior activities in France.
The group granted or renewed CHF 40 billion in loans, maintaining a loan-to-deposit ratio of 83% with a cost of risk of just 6 basis points.
UBS said it will appeal a Swiss court ruling that revoked the 2023 write-off of CHF 16 billion in Credit Suisse AT1 bonds.
It also filed for a U.S. national bank charter and expanded its use of generative AI tools, recording 18 million internal AI prompts in the quarter.
As of September 30, UBS reported total assets of $1.63 trillion, a workforce of 104,427 employees, and a market capitalization of $136.4 billion.
