UBS sees net income jump 15 percent

Tuesday, May 3, 2005

Swiss banking giant UBS today reported better than expected first-quarter results – but warned investors that full year results could be hit by weaker investment banking revenues.

First-quarter net profit stood at 2.625bn Swiss francs (US$2.19bn; €1.7bn) up 15% from last year’s 2.28bn Swiss francs. Assets under management grew to 2.36 trillion Swiss francs (US$1.97 trillion; €1.53 trillion); an increase of 21.2bn Swiss francs on last year.

Despite the solid performance, CFO Clive Standish told the media “Clearly we have seen a slowing of the markets over the quarter, particularly in March… There is a perceptible slowdown in markets as we speak.” Reacting to the pessimism, UBS shares dropped 1.5%.

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