UBS has reported significant profit growth for the second quarter of 2025, highlighting strong results in investment banking and wealth management.
Q2 Financial Results
UBS announced a net profit of $2.395 billion for Q2, which more than doubles last year's figures. These results were presented on Wednesday and exceeded the average analyst estimate of $1.901 billion. The bank's total revenue for the quarter was $12.112 billion, just shy of the expected $12.45 billion. The return on tangible equity rose to 11.8%, up from 8.5% in Q1.
Market and Client Activity
UBS reported that its investment banking division generated $2.3 billion, marking a 25% year-on-year increase linked to market volatility early in the quarter. The global wealth management segment saw a 12% rise in transaction-based income, reflective of client activity during that period. However, CEO Sergio Ermotti cautioned that client behavior remains cautious despite the equity markets rebounding.
Credit Suisse Integration
UBS provided an update on its integration with Credit Suisse, stating that the process remains on track. It confirmed that one-third of client accounts have been transferred, with 70% of the expected $13 billion in cost savings already secured. The bank also completed $1 billion in share buybacks in the first half of 2025 and plans an additional $2 billion in the second half.
UBS demonstrates solid financial results and continues to implement its strategy with Credit Suisse. At the same time, client caution reflects the prevailing economic conditions.
