UBS to post profit for second quarter in a row: report

3rd May 2010, Comments 0 comments

Swiss banking giant UBS will announce this week a better-than-expected net profit for the second quarter in a row as it recovers from the global financial crisis, a newspaper reported Sunday.

The bank will post on Tuesday a net profit of between 2.2-2.5 billion Swiss francs (1.54-1.75 billion euros, 2.05-2.32 billion dollars) in the first three months of the year, according to the Sunday paper Sonntagszeitung.

The result beat the forecast of a profit of two billion francs by analysts polled by financial news agency AWP.

Hurt by losses amounting to billions of francs during the financial crisis, as well as tax evasion lawsuits in the United States, UBS returned to profit in the fourth quarter of 2009 when it posted a net profit of 1.2 billion francs.

Last month the bank said it expected its pre-tax profit to reach at least 2.5 billion francs in the first quarter.

Sonntagszeitung also reported that UBS chief executive Oswald Gruebel would remain at his post another 18 months to three years, despite rumours of his imminent departure.

Gruebel, a former boss of rival bank Credit Suisse, came out of retirement in February 2009 to rescue UBS in the wake of the financial crisis and judicial troubles in the United States.

© 2010 AFP

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