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SWITZERLAND-BANKING-EARNINGS-UBS
UBS beats analyst expectations despite market chill
ZURICH, April 25, 2019 (BSS/AFP) – Swiss banking giant UBS said on
Thursday that revenue and profits both slid in the first quarter when a chill
ran through the global economy and markets, but its performance beat analyst
expectations.
Net profits slid 27 percent from the same quarter last year to $1.1
billion (1 billion euros), with the bank benefitting from some exceptional
items that boosted performance last year.
Revenues contracted by 12 percent to $7.2 billion.
Both numbers beat the consensus of analysts surveyed by the Swiss
financial news agency AWP, which was a net profit of $873 million on revenues
of $6.9 billion.
“The first quarter of 2019 was characterised by challenging market
conditions,” acknowledged chief executive Sergio Ermotti in a statement,
before adding that market conditions improved at the end of the quarter and
into April.
Pre-tax profits at the investment banking unit tumbled by 64 percent to
$207 million due to less revenue from advising clients on mergers and
acquisitions as well as from equities.
Less trading by clients of its wealth management unit led to a fall of
commissions, with pre-tax profit sliding 22 percent.
BSS/AFP/HR/1240