Slide 1: First quarter 2023 Financial results
First quarter 2023 Financial results 25 April 2023
Slide 2: Important information
Important information Forward Looking Statements: This presentation contains statements that constitute “forward-looking statements,” including but not limited to management’s outlook for UBS’s financial performance, statements relating to the anticipated effect of transactions and strategic initiat
Slide 3: Agenda
Agenda Key Financial Q&A messages performance Sergio P. Ermotti, Group CEO Sarah Youngwood, Group CFO 2
Slide 4: Key messages
Key messages 1Q23 - reported 1Q23 - underlying1 Solid underlying results and strong liquidity and capital in uncertain market conditions 1.0bn 9.1% 16.5% Net RoCET1 RoCET1 profit capital capital Continued client momentum with inflows in all regions 13.9% 82.5% 72.8% Enhancing client franchises throu
Slide 5: Our clients turned to us as they searched for stability
Our clients turned to us as they searched for stability Invested assets Invested assets Deposits Loans Global Markets revenues GWM AM GWM + P&C GWM + P&C IB 3.1trn 1.2trn 1.1trn 547bn 383bn 381bn 2.4bn 3.0trn 511bn 2.0bn o/w: 1.4trn 1.3trn FGA 1Q22 1Q23 1Q22 1Q23 1Q22 1Q23 1Q22 1Q23 1Q22 1Q23 +28bn
Slide 6: Continued client momentum with positive net new money in all regions
Continued client momentum with positive net new money in all regions 1Q23 Americas Switzerland EMEA APAC − GWM NII +27% YoY − GWM + P&C NII +30% YoY − GWM NII +58% YoY − 17% NNFGA growth, LTM3 − 4.5bn NNM in AM from SMA − P&C Personal Banking Net New − Best Equity Bank1 − Best Asia and ANZ equity ho
Slide 7: Enhancing client franchises through the announced acquisition of Credit Suisse
Enhancing client franchises through the announced acquisition of Credit Suisse Global Wealth Asset Personal & Investment Management Management Corporate Banking Bank Reinforcing our position as a Increasing scale with improved Enhancing expertise and global Diversifying our capabilities leading and
Slide 8: Financial performance
Financial performance Sarah Youngwood, Group CFO 7
Slide 9: 1Q23 net profit USD 1.0bn; 9.1% RoCET1
1Q23 net profit USD 1.0bn; 9.1% RoCET1 Net profit m (52%) 2,136 Underlying1: (21%) 1.5bn 9.1% PBT, (45%) YoY RoCET1 126 1,693 Underlying1: 2.4bn, Underlying1: 16.5% 89 (22%) YoY (638) (20) (7%) (1%) 1,029 82.5% 8.1% o/w FX: (69m) o/w FX: +84m cost / income ratio RoTE (665) Underlying1: 72.8% Underly
Slide 10: 1Q23 total revenues USD 8.7bn
1Q23 total revenues USD 8.7bn Total revenues m (7%) (8%) underlying1 excl. FX 9,382 520 (428) (391) (100) 8,744 (167) (71) • o/w Group Functions (82m) YoY; (177m) in 1Q23 vs. (95m) in 1Q22 − o/w accounting asymmetries +70m YoY; (68m) in 1Q23 vs. (138m) in 1Q22 1Q22 Asset-based fees2 Transaction- NII
Slide 11: Net interest income
Net interest income Net interest income GWM + P&C GWM + P&C m +65m 1Q23 310 +3% NII of 2,196, +65m QoQ, +3% and +520m YoY, +31% − Total customer deposits in P&C and GWM (183) 2,196 (3%) QoQ as deposit inflows from external 2,131 (55) (8) sources were more than offset by shifts into money market fund
Slide 12: Executing our cost strategy
Executing our cost strategy Operating expenses bn +9% (1%) 1Q23 0.1 0.7 0.3 7.2 Operating expenses +9% YoY, (1%) YoY excluding litigation, FX and acquisition-related costs (0.4) 6.6 (0.1) FY23e − On track to deliver 1.1bn gross cost saves by year end vs. 20201 − Costs excl. the impact of the acquisi
Slide 13: Global Wealth Management
Global Wealth Management Total revenues, m USDm, except where indicated 1Q23 4Q22 1Q22 QoQ YoY PBT 1,215m, (7%) YoY (2%) Total revenues 4,792 4,601 4,904 +4% (2%) Total revenues (2%) as higher NII was more than 4,904 4,792 offset by lower recurring net fee and transaction- Net interest income 1,491
Slide 14: Asset Management
Asset Management Total revenues, m USDm, except where indicated 1Q23 4Q22 1Q22 QoQ YoY PBT 94m (13%) Total revenues 502 495 578 +1% (13%) Total revenues (13%) 578 − Lower net management fees mainly driven by 502 Net management fees 479 471 561 +2% (15%) markets and FX as well as a (17m) one-off Perf
Slide 15: Investment Bank
Investment Bank Total revenues, m USDm, except where indicated 1Q23 4Q22 1Q22 QoQ YoY PBT 477m; RoAE 15% (19%) Global Markets revenues (17%) Total revenues 2,349 1,682 2,908 +40% (19%) ₋ Execution Services (15%) driven by lower Cash 2,908 Global Banking 383 331 550 +16% (30%) Equities volumes, partl
Slide 16: Personal & Corporate Banking (CHF)
Personal & Corporate Banking (CHF) Total revenues, m CHFm, except where indicated 1Q23 4Q22 1Q22 QoQ YoY PBT 553m, +40% YoY +18% Total revenues 1,180 1,079 1,002 +9% +18% 1,180 Total revenues +18% YoY mainly driven by Net interest income 651 603 493 +8% +32% 1,002 higher NII and record transaction-b
Slide 17: We continued to maintain a strong liquidity and capital position
We continued to maintain a strong liquidity and capital position 1Q23 Strong capital and liquidity position 144bn 230bn Cash and balances at central banks High-quality liquid assets1,2 Balance sheet for all seasons Disciplined risk 162% 118% management Liquidity coverage ratio2 Net stable funding ra
Slide 18: Common equity tier 1 capital
Common equity tier 1 capital CET1 capital ratio CET1, bn 45.5 1.0 (1.3) (0.4) (0.1) (0.2) n/a 0.1 44.6 0.3% 13.9% 13.9% CET1 capital ratio 14.2% Guidance: ~13% (0.4%) (0.1%) 13.9% (0.0%) 4.40% (0.1%) (0.0%) (0.0%) Share repurchases paused as of 22.3.23 CET1 leverage ratio Includes 0.1bn impact on Gu
Slide 19: Sequence of disclosures related to the acquisition of Credit Suisse
Sequence of disclosures related to the acquisition of Credit Suisse Disclosures available upon Disclosures to be provided as Disclosures to be provided Updates to be provided filing of the pro forma part of quarterly earnings post over the second half of 2023 over time financial information within c
Slide 20: Key messages
Key messages 1Q23 - reported 1Q23 - underlying1 Solid underlying results and strong liquidity and capital in uncertain market conditions 1.0bn 9.1% 16.5% Net RoCET1 RoCET1 profit capital capital Continued client momentum with inflows in all regions 13.9% 82.5% 72.8% Enhancing client franchises throu
Slide 21: Appendix
Appendix 20
Slide 22: Group results
Group results USDm, except where indicated 1Q23 4Q22 3Q22 2Q22 1Q22 Total revenues 8,744 8,029 8,236 8,917 9,382 Credit loss expenses / (releases) 38 7 (3) 7 18 Total operating expenses 7,210 6,085 5,916 6,295 6,634 Operating profit / (loss) before tax 1,495 1,937 2,323 2,615 2,729 Tax expense / (be
Slide 23: Underlying results
Underlying results USDm, except where indicated 1Q23 4Q22 3Q22 2Q22 1Q22 Operating profit / (loss) before tax 1,495 1,937 2,323 2,615 2,729 o/w: Gain on sales and real estate 109 219 802 o/w: Accounting asymmetries (68)1 129 (153) (214) (138) o/w: Litigation settlement in Non-core and Legacy (in rev
Slide 24: 1Q23 Group results by region
1Q23 Group results by region Americas Switzerland EMEA Asia Pacific (10%) 3.8 Total revenues 3.4 bn +9% (10%) 0% 2.2 2.0 2.0 (8%) 1.8 1.6 1.5 1Q22 1Q23 1Q22 1Q23 1Q22 1Q23 1Q22 1Q23 1Q23 Profit before tax bn 0.4 1.0 0.5 0.5 Operating expenses bn 3.0 1.2 1.3 1.0 Cost / income ratio 89% 53% 70% 68% Ex
Slide 25: 1Q23 Global Wealth Management results by region
1Q23 Global Wealth Management results by region Americas Switzerland EMEA Asia Pacific (17%) 500 +2% 439 364 400 (13%) Profit before tax +1% 347 354 m 300 288 249 251 251 200 100 0 1Q22 1Q23 1Q22 1Q23 1Q22 1Q23 1Q22 1Q23 1Q23 Cost / income ratio 85% 52% 64% 63% Invested assets 1,659 276 567 456 bn N
Slide 26: Capital and leverage ratios
Capital and leverage ratios Total loss-absorbing capacity (TLAC) 110bn 34.3% 10.87% 22bn 30bn buffer buffer Gone concern TLAC: 8.75% 53bn loss-absorbing 16.4% 5.19% capacity TLAC: 25.0% Going concern capital 58bn 17.9% 5.69% 7bn 13bn AT1 4.1% 11bn 1.29% CET1 Going concern: 5.00% 45bn 13.9% 4.40% Goi
Slide 27: Risk-weighted assets
Risk-weighted assets Risk-weighted assets bn 1.0 321.7 1.6 0.0 319.6 • Net currency effect on CET1 ratio of (0.0%) (0.5) (0.1) • +1.9bn mainly driven by asset size and • +1.4bn from model updates / changes other movements • (1.9bn) from asset size and other • (0.3bn) related to a VaR model update mo
Slide 28: Cautionary statement regarding forward-looking statements
Cautionary statement regarding forward-looking statements Cautionary Statement Regarding Forward-Looking Statements | This presentation contains statements that constitute “forward-looking statements,” including but not limited to management’s outlook for UBS’s financial performance, statements rela