Finance
UBS quarterly profit beats expectations, plans more buybacks
Published by Global Banking and Finance Review
Posted on February 4, 2026
2 min readLast updated: February 4, 2026
Quick Summary
UBS posted a Q4 profit of $1.2 billion, exceeding expectations, and announced a $3 billion share buyback plan for 2026, subject to regulatory changes.
UBS Surpasses Profit Expectations and Announces New Buyback Plans
UBS Financial Performance and Future Plans
By Ariane Luthi
Quarterly Profit Overview
ZURICH, Feb 4 (Reuters) - Swiss bank UBS posted on Wednesday a net profit of $1.2 billion for the fourth quarter, up 56% year-on-year and ahead of a company-provided consensus forecast of $919 million.
Share Buyback Program Details
The world's largest wealth manager announced a new share buyback program, saying it intended to repurchase $3 billion of shares in 2026, the same amount it bought back last year, and aimed "to do more."
Regulatory Environment Impact
The amount of additional buybacks was subject to further clarity around the future regulatory regime for banking in Switzerland, it said.
Future Financial Targets
Swiss authorities have proposed stricter capital rules for the country's remaining big bank since UBS bought ailing Credit Suisse in 2023 in a state-engineered emergency takeover.
How the final regulations will be shaped remains unclear, but shares in UBS have risen since early December after lawmakers floated a compromise and Reuters reported government preparations to water down some of the rules.
UBS also revived its ambition to achieve a reported return on Common Equity Tier 1 (CET1) capital of around 18% by 2028, an item it had dropped after the Swiss government pitched new capital rules in June.
Additionally, it is aiming for a group cost-income ratio around 67% by 2028, a more ambitious target than its current one of below 70%.
UBS added $8.5 billion in net new assets to its global wealth management division during the quarter. Its asset management division brought in $8 billion in total net new money over the same period.
(Reporting by Ariane Luthi; Editing by Emelia Sithole-Matarise and Edwina Gibbs)
Key Takeaways
- •UBS reported a $1.2 billion net profit for Q4, surpassing forecasts.
- •The bank announced a $3 billion share buyback program for 2026.
- •Future buybacks depend on Swiss regulatory changes.
- •UBS aims for an 18% CET1 return by 2028.
- •UBS added $8.5 billion in new assets to its wealth management division.
Frequently Asked Questions about UBS quarterly profit beats expectations, plans more buybacks
1What is net profit?
Net profit is the amount of money a company earns after all expenses, taxes, and costs have been deducted from total revenue. It reflects the company's profitability.
2What is a share buyback?
A share buyback is when a company purchases its own shares from the marketplace, reducing the number of outstanding shares. This can increase the value of remaining shares.
3What is Common Equity Tier 1 (CET1) capital?
CET1 capital is a measure of a bank's financial strength, representing the core equity capital that is available to absorb losses.
4What is a cost-income ratio?
The cost-income ratio is a financial metric that compares a company's operating costs to its operating income, indicating efficiency and profitability.
5What are net new assets?
Net new assets refer to the total amount of new investments received by a financial institution, minus any withdrawals, over a specific period.
