Profits fly by ubs, while Barclay's faces a sharp decline in profits.
Swiss Bank closes the first quarter of the year with adjusted pre-tax profit of 1.934 million Swiss francs, up 42% year on year. Adjusted operating income increased 8%, driven by the Investment Bank, Wealth Management Americas and Wealth Management. Net income attributable to shareholders amounted to 1.269 million francs, up 79% year-on-year, with diluted earnings per share of 0,33 francs.
“Our excellent first quarter results highlight the strength and potential of our business, which we will continue to manage in a disciplined manner focusing on sustainable performance and long-term growth,” comments CEO, Sergio Ermotti.
As it regards instead Barclays, the British group sees its net profit more than halved, down to 190 million pounds (226 million euros) from 433 million in 2016 due to a 884 million writedown on its African business.
These are activities that the institute no longer considers strategic and intends to sell to focus on Europe and America. Barclays has informed that it is awaiting the authorizations which will allow it to no longer include African activities in its accounts.
Revenues, on the other hand, rose by 16% to 5,8 billion pounds (about 7,5 billion euros) driven by the credit card business. Investment banking profit rose 7%, driven by fixed income activity, but still remained below expectations.
Finally, no information has been received from the Bank on the investigation into the general manager Jes Staley, accused of having tried to identify a "mole" within the group.
