UBS reports 4Q24 net profit of USD 0.8bn and FY24 net profit of USD 5.1bn; proposes USD 0.90 dividend per share

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Entrepreneur

UBS Group AG has announced its financial results for the fourth quarter and full year of 2024, showcasing significant growth in profitability. The Swiss banking giant reported a fourth-quarter pre-tax profit (PBT) of USD 1.0 billion, with underlying PBT surging to USD 1.8 billion, marking an impressive 198% year-on-year increase. Net profit for the quarter stood at USD 0.8 billion, reflecting the bank’s continued resilience and strategic execution in a challenging global economic environment.

For the full year 2024, UBS delivered a strong performance, with a pre-tax profit of USD 6.8 billion and a net profit of USD 5.1 billion. These results underscore the bank’s ability to capitalize on favorable market conditions, cost management, and growth across key business segments.

UBS
Sergio Ermotti CEO of UBS

“Our strong full-year performance reflects our unwavering commitment to serving our clients, the strength of our diversified global franchise and the progress we have made on
the integration. Throughout 2024, we maintained robust momentum as we captured
growth in Global Wealth and Asset Management and gained market share in the
Investment Bank in the areas where we have made strategic investments. With over 70
billion Swiss francs of loans granted or renewed, we continued to be a reliable partner for
the Swiss economy.

We achieved all keyintegration milestones in 2024 and significantly reduced execution
risk, while our capital position remained robust. In 2025, we will continue to execute on
the next phase of the integration with discipline and deliver on our priorities. We are
confident in our ability to substantially complete the integration by the end of 2026,
achieve our financial targets, and fulfill our growth initiatives as we position UBS for a
successful future.”                                  

UBS 4Q24 and FY24 highlights

4Q24 PBT of USD 1.0bn and underlying1 PBT of USD 1.8bn, up 198% YoY, net profit of USD 0.8bn, RoCET1 4.2% and underlying RoCET1 of 7.2%

  • FY24 PBT of USD 6.8bn and net profit of USD 5.1bn; underlying1 PBT of USD 8.8bn and underlying RoCET1
    of 8.7%
  • Franchise strength continues to drive client momentum with USD 18bn of net new assets in Global Wealth Management for the quarter and USD 97bn for FY24, Asset Management net new money of USD 33bn in 4Q24 and USD 45bn in FY24; Group invested assets of USD 6.1trn, up 7% YoY; granted or renewed over CHF 70bn in loans in Switzerland throughout the year
  • High client activity in the fourth quarter, underlying transaction-based income up double digits YoY in both GWM and P&C; Investment Bank underlying revenues up 37% YoY with strong growth in Global Banking and Global Markets leading to market share gains in areas of strategic investments
  • Integration on track with all key 2024 milestones achieved significantly reducing the execution risk of Credit Suisse acquisition; consolidated key operating entities and successfully migrated wealth management client accounts across APAC and Europe in the fourth quarter; continuing to decommission legacy applications
  • Delivered on cost-reduction ambitions with additional USD 0.7bn in gross cost savings realized in 4Q24 for a total of USD 3.4bn in FY24; USD 7.5bn saved compared to 2022 baseline and achieved almost 60% of planned cost saves
  • Non-core wind-down well ahead of schedule, reduced risk weighted assets by USD 3bn in 4Q24 to USD 41bn, down USD 33bn over the course of FY24
  • Maintained a strong capital position, UBS Group finished the year with 14.3% CET1 capital ratio and 4.7% CET1 leverage ratio, providing a solid capital buffer during integration, while self-funding growth and returning capital to shareholders
  • Completed USD 1bn in share buybacks and proposed dividend payout of USD 0.90 per share, an increase of 29% YoY in line with our intention to calibrate the proportion of cash dividends and share repurchases
  • Attractive capital returns to continue in 2025, accruing for around 10% growth in dividend per share; plan to repurchase USD 1bn of shares in the first half of 2025 and aim to repurchase up to an additional USD 2bn in the second half. Share repurchase levels will be consistent with maintaining our target CET1 ratio of ~14%

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