UBS has posted its best first-quarter net profit in 15 years, coming on the back of strong trading income for the first three months of 2022.
The investment bank reported a net profit of $2.14 billion net profit for the quarter, massively exceeding the $1.79 billion projected by analysts polled by the bank earlier this year.
Shares of UBS were up 1.7% in early trading on the back of the news.
Announcing the “unexpectedly strong” results, UBS also continued to promote caution over the coming months in the face of geopolitical and macro-economic uncertainties.
The strong showing means that the Zurich-based bank is on track to meet the ambitious profit goals announced by CEO Ralph Hamers in February.
The UBS investment banking arm saw a rise of 126% in pre-tax profits fueled by a surge in global trading. This helped to offset a decline in capital markets and advisory revenue, which took a hit due to a slowdown in business activity.
The news follows on from a similarly positive announcement by HSBC, who also performed above expectations in Q1. The London-based bank reported adjusted pre-tax profits of $4.71 billion, exceeding analyst projections of $4.49 billion.
In contrast, US banks have seen profits decline sharply over recent months.