UBS suffered a profit decline of more than 50 per cent in the second quarter of this year, new figures have revealed.
Data released by the major Swiss bank this morning (31 July) showed that it raked in CHF425 million ($434 million) during this three-month period, compared to the total of CHF1 billion recorded at the corresponding time in 2011.
Meanwhile, the financier's investment bank posted a loss - following a profit of CHF730 million 12 months earlier - due to its exposure to shares in social networking website Facebook, which have struggled since their floatation in May.
This sharp fall in profit has prompted UBS to admit it will need to make further cost savings over the course of the next few months in order to make sure it is compliant with the incoming Basel III regulations.
Sergio Ermotti, chief executive officer at the lender, commented: "I have the utmost confidence in our ability to deliver on our firm's strategy by adapting our execution in a changing environment."
By Tony Aynsley