UBS Reports $1.1 Billion Q2 Net Profit

UBS Group reported a net profit of $1.1 billion for Q2 2024, significantly exceeding the $528 million forecasted by analysts, largely driven by strong investment banking revenues and cost savings from the integration of Credit Suisse. The bank's Global Wealth Management division saw a 15% year-on-year increase in total revenues, boosted by client inflows of $27 billion in net new assets. Despite the impressive profit, UBS's operating expenses remained flat, and net interest income declined by 10% from the prior year. UBS CEO Sergio Ermotti highlighted the successful progress in integrating Credit Suisse and achieving substantial cost savings, positioning the bank to meet its financial targets and return to pre-acquisition profitability levels. The company expects to incur around $1.1 billion in integration-related expenses in Q3 2024 but remains optimistic about positive investor sentiment and continued momentum in client and transactional activity.