UBS: Integration Nears End, New Targets Established
Swiss banking giant UBS delivered strong profit growth in 2025 and is on track to achieve its 2026 targets related to the integration period. Now, new targets have been set for 2028.
Net profit at UBS rose 53 percent year-on-year to $7.8 billion in 2025, according to the bank’s financial results. This included a 2 percent increase in revenue to $49.6 billion and a 3 percent decrease in operating expenses to $40.2 billion.
Invested assets across the group exceeded $7 trillion for the first time ever, up 15 percent. This includes $4.8 trillion from the global wealth management business which saw $101 billion in net new assets with strong inflows from APAC, EMEA and Switzerland more than offsetting outflows in the Americas.
«The strength of our global, diversified franchise powered our excellent full year performance as we helped clients navigate an unpredictable market environment. We made great progress on one of the most complex integrations in banking history while facing ongoing regulatory uncertainty in Switzerland,» commented group CEO Sergio P. Ermotti.
Integration Progress
On the integration, the bank said there was «excellent» progress with around 85 percent of Swiss-booked accounts successfully transferred onto UBS systems. Integration of personal and corporate banking accounts as well as asset management were substantially completed. There was also an increased cumulative cost reduction of $10.7 billion and the continued wind-down of the non-core and legacy unit, reducing risk-weighted assets to $28.8 billion.
As a result, UBS said it was on track and confident in achieving its 2026 exit-rate targets of 15 percent in underlying return on CET1 capital and an underlying cost/income ratio of under 70 percent. It noted that it was executing on the remainder of its cost-saving program, including an additional $500 million identified across the group.
2028 Ambitions
In addition, the bank has also announced a series of medium-term targets for its four main business divisions to be fulfilled in 2028.
In wealth, it aims to grow invested assets to at least $5.5 trillion with net new assets of over $200 billion and a cost/income ratio of around 68 percent. In personal and corporate banking, it said it would achieve a 19 percent return on attributed equity in the medium term and a cost/income ratio of 48 percent. The asset management unit is eyeing 3 percent net new money growth and a 65 percent cost/income ratio. And the investment bank will deliver a 15 percent return on attributable equity.
«As we approach the last mile of the integration, I am confident in our ability to capture the remaining synergies by the end of the year, which we increased by $0.5 billion to $13.5 billion. With Group invested assets exceeding $7 trillion for the first time and strong business momentum we are poised to achieve our 2026 exit rate targets and medium-term ambitions,» Ermotti added.
