At the end of H1 2023, UBP assets under management remain virtually unchanged at CHF140.6bn from the CHF140.4bn at the end of 2022.
This outcome was attained in a situation where increasing asset prices in the main currencies (CHF +4.2bn) were largely offset by the Swiss franc’s strengthening against the US dollar (CHF -3.5bn).
UBP H1 2023 vs 2022
In comparison to the first half of 2022, when revenues were CHF620.9m, the first half of this year’s revenues were CHF616.4m, a slight decline (-0.7%).
A decrease in fees and commissions (-12.5%), principally due to lower brokerage activity, was countered by a good net interest margin, which increased by CHF62.6m (+43.3%), boosted by recent rate hikes.
Operating costs came to CHF414.8m, matching the amount from the previous year of CHF411.7m.
An increase in business travel was the primary cause of the 0.7% little rise.
Operating profit before taxes was CHF138.0m, up 0.8% over the first half of 2022’s operating profit of CHF136.9m.
Net profit decreased by 1.6% to CHF110.8m from CHF112.6m the prior year.
Along with this, the bank’s balance sheet quality and financial stability are reflected in the Tier 1 ratio of 27.3% and the short-term liquidity coverage ratio (LCR) of 262%, which is also supported by Moody’s Aa2 long-term deposit rating.
UBP’s CEO Guy de Picciotto stated: “The first half of the year was marked by the strength of the Swiss franc, high inflation, and rapidly rising interest rates. Although global markets have recovered, clients tend to have a “wait-and-see” attitude. It is our role to be alert to opportunities across all markets, and to present suitable solutions to our clients wherever they are.”
