9.4 C
Saturday, November 28, 2020

Sample Page Title

UBS Group AG (SWX: UBSG) said on Tuesday that its net profit in the fiscal third quarter came in almost 100% higher on a year over year basis, attributed primarily to robust trading in recent months, resulting in more cash for share buybacks and dividend payments amidst the COVID-19 crisis.

- Advertisement -

UBS was reported trading about 2% up in premarket trading on Tuesday and jumped another 2% on market open. Shares of the company are now 8% down year to date in the stock market. Trading stocks online is easier than you think. Here’s how you can buy shares online in 2020.  

Are you looking for fast-news, hot-tips and market analysis?

Sign-up for the DMNnewsletter, today.

- Advertisement -

UBS values loan losses at £68.67 million in the third quarter

UBS posted £1.62 billion of net profit in Q3 versus ££810 million in the comparable quarter of last year. The Swiss banking giant valued loan losses at £68.67 million in the third quarter versus the year-ago figure of £206.80 million. In the prior quarter (Q2), UBS had registered an 11% decline in its net profit.

UBS also said on Tuesday that it had put aside £1.16 billion for share repurchase scheduled for the next year, and another £770 million in cash for dividend payments this year. The investment bank plans on paying a late dividend for 2019 next month. In September, State-backed Banco do Brasil said that its joint venture with UBS was ready to start operations.

According to UBS, it generated £1.92 billion of revenue from investment banking in Q3 as compared to a lower £1.35 billion in the same quarter last year. Revenue from the global wealth-management segment printed at £3.30 billion in the recent quarter versus £3.19 billion last year.

Ralph Hamers to become the CEO of UBS on November 1st

In related news, Ralph Hamers is scheduled to replace Sergio Ermotti as the CEO of UBS on November 1st. Hamers has previously served in a similar capacity at ING Groep NV. Ermotti has been the CEO of UBS for nine years.

Analyst Kian Abouhossein of JP Morgan commented on UBS third-quarter financial results and said:

“We continue to rate UBS as our top global investment banking pick. The results reconfirm our long-term view of a preference for asset gathering with a focus on Asia wealth management, geared to the ultra-rich, and limited credit risk focused on wealth and Switzerland.”

At the time of writing, UBS is valued at £33 billion and has a price to earnings ratio of 10.07.

- Advertisement -

Follow Us


Latest news