Swiss banking giant UBS on Wednesday reported a remarkable 56% increase in net profit for the fourth quarter, comfortably surpassing analysts’ expectations. The bank attributed the strong performance primarily to stellar results from its asset management and investment banking divisions. In a further boost to shareholder confidence, UBS also announced plans to expand its share repurchase programme in 2026.
As the world’s largest wealth manager, UBS aims to repurchase at least USD 3 billion in shares next year, matching its 2025 level. However, the bank indicated that additional buybacks may be pursued once Swiss regulatory clarity is established.
Swiss regulators proposed stringent capital rules for the country’s major banks following the emergency acquisition of Credit Suisse in 2023. While final regulations are yet to be confirmed, UBS shares have rallied nearly 20% since early December, reflecting investor optimism.
A summary of the bank’s fourth-quarter financial metrics is presented below:
| Metric | Q4 Result | Forecast/Notes |
|---|---|---|
| Net Profit | $1.2 billion | Forecast: $919 million |
| Total Revenue | $12.2 billion | 10% year-on-year growth |
| Cost-to-Revenue Ratio (target 2028) | 67% | Current target: below 70% |
| Share Repurchases | $3 billion | Additional purchases possible |
| Net New Assets (Global Wealth Management) | $8.5 billion | Inflows from Asia, Europe, Middle East; outflows in the US |
UBS further reported that approximately 85% of Swiss-booked accounts have been successfully migrated within its system. UBS CEO Sergio Ermotti expressed confidence in completing the remaining integrations by year-end, stating, “I am confident we will achieve the remaining synergies by the close of the year.”
The bank has also increased its cost-saving programme by an additional USD 500 million, bringing the total planned savings to USD 13.5 billion. Ermotti, who oversaw Credit Suisse’s emergency takeover in 2023, has announced plans to step down by mid-2027.
UBS’s Global Wealth Management division attracted USD 8.5 billion in net new assets during the quarter. While inflows were robust from Asia, Europe, and the Middle East, the bank noted some outflows from the United States.
Looking ahead to 2026, UBS anticipates gradual global economic growth alongside moderate inflation. The bank expects capital market activity and its deal pipeline to remain healthy, with an ongoing focus on cost efficiency to drive net profit growth and deliver stable returns for shareholders.