6-K 1 6k1q19ubsag.htm.htm 6k1q19ubsag



UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

_________________

 

FORM 6-K

 

REPORT OF FOREIGN PRIVATE ISSUER

 

PURSUANT TO RULE 13a-16 OR 15d-16 UNDER

THE SECURITIES EXCHANGE ACT OF 1934

 

Date: April 30, 2019

 

 

UBS AG

Commission File Number: 1-15060

 

 

(Registrant’s Name)

 

Bahnhofstrasse 45, Zurich, Switzerland and
Aeschenvorstadt 1, Basel, Switzerland

(Address of principal executive offices)

 

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20‑F or Form 40-F.

 

Form 20-F                         Form 40-F 

 


 

This Form 6-K consists of the First Quarter 2019 Report of UBS AG, which appears immediately following this page.

  

  

 


 

  

UBS AG

 

First quarter 2019  report 

 

 


 

  

 

3

Introduction

 

 

1.

Risk and capital
management

6

Risk management and control

7

Capital management

   

2.

Consolidated
financial statements

13

UBS AG interim consolidated financial

statements (unaudited)

 

 

 

 

 

Appendix

53

Cautionary statement

 

   

 


 

Corporate calendar UBS AG

Publication of the second quarter 2019 report:                       Friday, 26 July 2019

Publication dates of further quarterly and annual reports and results will be made available as part of the corporate calendar of UBS AG at  www.ubs.com/investors

 

Contacts

Switchboards

For all general inquiries
www.ubs.com/contact

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Investor Relations

UBS’s Investor Relations team supports
institutional, professional and retail
investors from our offices in Zurich, New York and Krakow.

UBS AG, Investor Relations
P.O. Box, CH-8098 Zurich, Switzerland

www.ubs.com/investors

Zurich +41-44-234 4100
New York +1-212-882 5734

Media Relations

UBS’s Media Relations team supports
global media and journalists from
offices in Zurich, London, New York
and Hong Kong.

www.ubs.com/media

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mediarelations@ubs.com

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ubs-media-relations@ubs.com

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Hong Kong +852-2971 8200
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Imprint

Publisher: UBS AG, Zurich, Switzerland | www.ubs.com
Language: English

© UBS 2019. The key symbol and UBS are among the registered and unregistered trademarks of UBS. All rights reserved.

 

  

 


First quarter 2019  report 

UBS AG consolidated key figures

UBS AG consolidated key figures

 

 

 

 

 

 

As of or for the quarter ended

USD million, except where indicated

 

31.3.19

31.12.18

31.3.18

Results

 

 

 

 

Operating income

 

 7,343 

 7,083 

 8,301 

Operating expenses

 

 5,890 

 6,667 

 6,404 

Operating profit / (loss) before tax

 

 1,454 

 416 

 1,897 

Net profit / (loss) attributable to shareholders

 

 1,069 

 272 

 1,412 

Profitability and growth1

 

 

 

 

Return on equity (%)2

 

 8.1 

 2.1 

 10.7 

Return on tangible equity (%)3

 

 9.3 

 2.4 

 12.3 

Return on common equity tier 1 capital (%)4

 

 12.3 

 3.1 

 16.3 

Return on risk-weighted assets, gross (%)5

 

 11.1 

 11.0 

 13.1 

Return on leverage ratio denominator, gross (%)5

 

 3.2 

 3.1 

 3.6 

Cost / income ratio (%)6

 

 80.0 

 93.4 

 76.9 

Net profit growth (%)7

 

 (24.3) 

 

 16.4 

Resources

 

 

 

 

Total assets

 

 956,737 

 958,055 

 965,224 

Equity attributable to shareholders

 

 53,216 

 52,256 

 53,185 

Common equity tier 1 capital8

 

 34,933 

 34,608 

 35,060 

Risk-weighted assets8

 

 266,581 

 262,840 

 266,202 

Common equity tier 1 capital ratio (%)8

 

 13.1 

 13.2 

 13.2 

Going concern capital ratio (%)8

 

 17.0 

 16.1 

 15.9 

Total loss-absorbing capacity ratio (%)8

 

 32.2 

 31.3 

 30.7 

Leverage ratio denominator8

 

 911,410 

 904,458 

 926,914 

Common equity tier 1 leverage ratio (%)8

 

 3.83 

 3.83 

 3.78 

Going concern leverage ratio (%)8

 

 5.0 

 4.7 

 4.6 

Total loss-absorbing capacity leverage ratio (%)8

 

 9.4 

 9.1 

 8.8 

Other

 

 

 

 

Invested assets (USD billion)9

 

 3,318 

 3,101 

 3,309 

Personnel (full-time equivalents)10

 

 47,773 

 47,643 

 46,433 

1 Refer to the “Performance targets and measurement” section of our Annual Report 2018 for more information on our performance targets.    2 Calculated as net profit attributable to shareholders (annualized as applicable) / average equity attributable to shareholders.    3 Calculated as net profit attributable to shareholders (annualized as applicable) / average equity attributable to shareholders less average goodwill and intangible assets. The definition of the numerator for return on tangible equity has been revised to align with numerators for return on equity and return on CET1 capital; i.e., we no longer adjust for amortization and impairment of goodwill and intangible assets. Prior periods have been restated.    4 Calculated as net profit attributable to shareholders (annualized as applicable) / average common equity tier 1 capital.    5 Calculated as operating income before credit loss expense or recovery (annualized as applicable) / average risk-weighted assets and average leverage ratio denominator, respectively.    6 Calculated as operating expenses / operating income before credit loss expense or recovery.    7 Calculated as change in net profit attributable to shareholders from continuing operations between current and comparison periods / net profit attributable to shareholders from continuing operations of comparison period.    8 Based on the Swiss systemically relevant bank framework as of 1 January 2020. Refer to the “Capital management” section of the UBS Group first quarter 2019 report for more information.    9 Includes invested assets for Global Wealth Management, Asset Management and Personal & Corporate Banking.    10 As of 31 March 2019, the breakdown of personnel by business division and Corporate Center was: Global Wealth Management: 23,397; Personal & Corporate Banking: 5,133; Asset Management: 2,250; Investment Bank: 5,008; Corporate Center: 11,986.   

 

 

Changes to our presentation currency

Effective from 1 October 2018, the presentation currency of UBS AG’s consolidated financial statements has changed from Swiss francs to US dollars. Comparative information in this report for periods prior to the fourth quarter of 2018 has been restated. Assets, liabilities and total equity were translated to US dollars at closing exchange rates prevailing on the respective balance sheet dates, and income and expenses were translated at the respective average rates prevailing for the relevant periods.

2


 

Introduction

Structure of this report

UBS Group AG is the holding company for the UBS Group and the parent company of UBS AG. 100% of the issued shares of UBS AG are held by UBS Group AG. Financial information for UBS AG consolidated does not differ materially from that for UBS Group AG consolidated.

This report includes risk and capital management information for UBS AG consolidated and the interim consolidated financial statements for the quarter ended 31 March 2019. Regulatory information for UBS AG standalone is provided in the 31 March 2019 Pillar 3 report, which is available under “Pillar 3 disclosures” at www.ubs.com/investors

®   Refer to the UBS Group first quarter 2019 report under “Quarterly reporting” at www.ubs.com/investors  for more information

Comparison between UBS Group AG consolidated and UBS AG consolidated

The table on the following page contains a comparison of selected financial and capital information between UBS Group AG consolidated and UBS AG consolidated.

The accounting policies applied under International Financial Reporting Standards (IFRS) to both UBS Group AG and UBS AG consolidated financial statements are identical. However, there are certain scope and presentation differences as noted below:

   Assets, liabilities, operating income, operating expenses and operating profit before tax relating to UBS Group AG and its directly held subsidiaries, including UBS Business Solutions AG, are reflected in the consolidated financial statements of UBS Group AG but not of UBS AG. UBS AG’s assets, liabilities, operating income and operating expenses related to transactions with UBS Group AG and its directly held subsidiaries, including UBS Business Solutions AG and other shared services subsidiaries, are not subject to elimination in the UBS AG consolidated financial statements, but are eliminated in the UBS Group AG consolidated financial statements. UBS Business Solutions AG and other shared services subsidiaries of UBS Group AG charge other legal entities within the Group for services provided, including a markup on costs incurred.


   UBS Group AG consolidated equity was USD 0.5 billion higher compared to the equity of UBS AG consolidated as of 31 March 2019, mainly driven by higher dividends paid by UBS AG to UBS Group AG compared with the dividend distributions of UBS Group AG, as well as higher retained earnings in the UBS Group AG consolidated financial statements, largely related to the aforementioned markup charged by shared services subsidiaries of UBS Group AG to other legal entities in the UBS AG scope of consolidation. UBS Group AG is also the grantor of the majority of the compensation plans of the Group and recognizes share premium for equity-settled awards granted, largely offset by the treasury shares held to hedge the related share delivery obligation and those acquired as part of our share repurchase program. These effects were partly offset by additional share premium recognized at the UBS AG consolidated level related to the establishment of UBS Group AG and UBS Business Solutions AG, a wholly owned subsidiary of UBS Group AG.

   Going concern capital of UBS AG consolidated was USD 4.1 billion lower than going concern capital of UBS Group AG consolidated as of 31 March 2019, reflecting USD 4.3 billion less additional tier 1 (AT1) capital, partly offset by USD 0.3 billion higher common equity tier 1 (CET1) capital.

   CET1 capital of UBS AG consolidated was USD 0.3 billion higher than that of UBS Group AG consolidated as of 31 March 2019. The main drivers are differences in equity, in deductions for compensation-related regulatory capital components and in dividend accruals.

   Going concern loss-absorbing AT1 capital of UBS AG consolidated was USD 4.3 billion lower than that of UBS Group AG consolidated as of 31 March 2019, reflecting Deferred Contingent Capital Plan awards and AT1 capital notes. These AT1 capital notes were issued by UBS Group Funding (Switzerland) AG, a direct subsidiary of UBS Group AG, after the implementation of the new Swiss SRB framework, and only qualify as gone concern loss-absorbing capacity at the UBS AG consolidated level.

®   Refer to “Holding company and significant regulated subsidiaries and sub-groups” at www.ubs.com/investors  for an illustration of the consolidation scope differences between UBS AG and UBS Group AG

®   Refer to the “Capital management” section of this report for more information on differences in the loss-absorbing capacity between UBS Group AG consolidated and UBS AG consolidated

 

3


Introduction 

Comparison UBS Group AG consolidated versus UBS AG consolidated

 

 

 

 

 

 

As of or for the quarter ended 31.3.19

 

As of or for the quarter ended 31.12.18

USD million, except where indicated

 

UBS Group AG

(consolidated)

UBS AG

(consolidated)

Difference

(absolute)

 

UBS Group AG

(consolidated)

UBS AG

(consolidated)

Difference

(absolute)

 

 

 

 

 

 

 

 

 

Income statement

 

 

 

 

 

 

 

 

Operating income

 

 7,218 

 7,343 

 (125) 

 

 6,972 

 7,083 

 (111) 

Operating expenses

 

 5,672 

 5,890 

 (217) 

 

 6,492 

 6,667 

 (176) 

Operating profit / (loss) before tax

 

 1,546 

 1,454 

 92 

 

 481 

 416 

 65 

of which: Global Wealth Management

 

 863 

 848 

 16 

 

 327 

 316 

 11 

of which: Personal & Corporate Banking

 

 387 

 386 

 1 

 

 644 

 645 

 (1) 

of which: Asset Management

 

 103 

 103 

 0 

 

 106 

 105 

 1 

of which: Investment Bank

 

 207 

 187 

 20 

 

 (78) 

 (79) 

 1 

of which: Corporate Center

 

 (15) 

 (71) 

 56 

 

 (518) 

 (571) 

 53 

Net profit / (loss)

 

 1,139 

 1,067 

 72 

 

 315 

 273 

 42 

of which: net profit / (loss) attributable to shareholders

 

 1,141 

 1,069 

 72 

 

 315 

 272 

 42 

of which: net profit / (loss) attributable to non-controlling interests

 

 (2) 

 (2) 

 0 

 

 1 

 1 

 0 

 

 

 

 

 

 

 

 

 

Statement of comprehensive income

 

 

 

 

 

 

 

 

Other comprehensive income

 

(100)

(90)

(10)

 

893

895

(2)

of which: attributable to shareholders

 

(104)

(94)

(10)

 

892

894

(2)

of which: attributable to non-controlling interests

 

4

4

0

 

1

1

0

Total comprehensive income

 

1,039

977

62

 

1,208

1,168

41

of which: attributable to shareholders

 

1,037

974

62

 

1,207

1,166

41

of which: attributable to non-controlling interests

 

2

2

0

 

2

2

0

 

 

 

 

 

 

 

 

 

Balance sheet

 

 

 

 

 

 

 

 

Total assets

 

956,579

956,737

(158)

 

958,489

958,055

434

Total liabilities

 

902,739

903,348

(609)

 

905,386

905,624

(238)

Total equity

 

53,840

53,389

451

 

53,103

52,432

671

of which: equity attributable to shareholders

 

53,667

53,216

451

 

52,928

52,256

671

of which: equity attributable to non-controlling interests

 

173

173

0

 

176

176

0

 

 

 

 

 

 

 

 

 

Capital information

 

 

 

 

 

 

 

 

Common equity tier 1 capital

 

34,658

34,933

(275)

 

34,119

34,608

(489)

Going concern capital

 

49,436

45,368

4,068

 

46,279

42,413

3,865

Risk-weighted assets

 

267,556

266,581

976

 

263,747

262,840

907

Common equity tier 1 capital ratio (%)

 

13.0

13.1

(0.2)

 

12.9

13.2

(0.2)

Going concern capital ratio (%)

 

18.5

17.0

1.5

 

17.5

16.1

1.4

Total loss-absorbing capacity ratio (%)

 

32.7

32.2

0.5

 

31.7

31.3

0.5

Leverage ratio denominator

 

910,993

911,410

(417)

 

904,598

904,458

140

Common equity tier 1 leverage ratio (%)

 

3.80

3.83

(0.03)

 

3.77

3.83

(0.05)

Going concern leverage ratio (%)

 

5.4

5.0

0.4

 

5.1

4.7

0.4

Total loss-absorbing capacity leverage ratio (%)

 

9.6

9.4

0.2

 

9.3

9.1

0.2

 

  

4


 

Risk and capital management

Management report

 

 

  

 


Risk management and control 

Risk management and control

UBS AG consolidated risk profile

The risk profile of UBS AG consolidated does not differ materially from that of UBS Group AG consolidated and risk information provided in the UBS Group first quarter 2019 report is equally applicable to UBS AG consolidated.

The credit risk profile of UBS AG consolidated differs from that of UBS Group AG consolidated primarily in relation to receivables of UBS AG and UBS Switzerland AG from UBS Group AG. As a result of these receivables, total banking products exposure of UBS AG consolidated as of 31 March 2019 was USD 1.7 billion, or 0.3%, higher than the exposure of UBS Group, compared with USD 1.8 billion or 0.3% as of 31 December 2018.

®   Refer to the “Risk management and control” section of the UBS Group first quarter 2019 report for more information

  

6


 

Capital management

Going and gone concern requirements and information

UBS AG is considered a systemically relevant bank (SRB) under Swiss banking law and, on a consolidated basis, both UBS Group AG and UBS AG are required to comply with regulations based on the Basel III framework as applicable for Swiss SRBs.

The Swiss SRB framework and requirements applicable to UBS AG consolidated are consistent with those applicable to UBS Group AG consolidated and are described in the “Capital management” section of our Annual Report 2018, available under “Annual reporting” at www.ubs.com/investors


UBS AG is subject to going concern requirements on a standalone basis. Capital and other regulatory information for UBS AG standalone and consolidated is provided in the 31 March 2019 Pillar 3 report – UBS Group and significant regulated subsidiaries and sub-groups, which is available under “Pillar 3 disclosures” at www.ubs.com/investors

The table below provides the risk-weighted assets (RWA)- and leverage ratio denominator (LRD)-based requirements and information as of 31 March 2019 for UBS AG consolidated.

 

Swiss SRB going and gone concern requirements and information1

As of 31.3.19

 

Swiss SRB, including transitional arrangements

 

Swiss SRB as of 1.1.20

USD million, except where indicated

 

RWA

 

LRD

 

RWA

 

LRD

 

 

 

 

 

 

 

 

 

 

 

 

 

Required loss-absorbing capacity

 

in %

 

 

in %

 

 

in %

 

 

in %

 

Common equity tier 1 capital

 

 9.99 

 26,630 

 

 3.20 

 29,165 

 

 10.31 

 27,483 

 

 3.50 

 31,899 

of which: minimum capital

 

 4.90 

 13,062 

 

 1.70 

 15,494 

 

 4.50 

 11,996 

 

 1.50 

 13,671 

of which: buffer capital

 

 4.78 

 12,743 

 

 1.50 

 13,671 

 

 5.50 

 14,662 

 

 2.00 

 18,228 

of which: countercyclical buffer2

 

 0.31 

 825 

 

 

 

 

 0.31 

 825 

 

 

 

Maximum additional tier 1 capital

 

 3.90 

 10,397 

 

 1.30 

 11,848 

 

 4.30 

 11,463 

 

 1.50 

 13,671 

of which: high-trigger loss-absorbing additional tier 1 minimum capital

 

 3.10 

 8,264 

 

 1.30 

 11,848 

 

 3.50 

 9,330 

 

 1.50 

 13,671 

of which: high-trigger loss-absorbing additional tier 1 buffer capital

 

 0.80 

 2,133 

 

 

 

 

 0.80 

 2,133 

 

 

 

Total going concern capital

 

 13.893

 37,026 

 

 4.50 

 41,013 

 

 14.614

 38,946 

 

 5.004

 45,570 

Base gone concern loss-absorbing capacity, including applicable add-ons and rebate/reduction

 

 9.745

 25,976 

 

 3.365

 30,623 

 

 10.746

 28,637 

 

 3.836

 34,881 

Total gone concern loss-absorbing capacity

 

 9.74 

 25,976 

 

 3.36 

 30,623 

 

 10.74 

 28,637 

 

 3.83 

 34,881 

Total loss-absorbing capacity

 

 23.63 

 63,002 

 

 7.86 

 71,637 

 

 25.35 

 67,583 

 

 8.83 

 80,452 

 

 

 

 

 

 

 

 

 

 

 

 

 

Eligible loss-absorbing capacity

 

 

 

 

 

 

 

 

 

 

 

 

Common equity tier 1 capital

 

 13.10 

 34,933 

 

 3.83 

 34,933 

 

 13.10 

 34,933 

 

 3.83 

 34,933 

High-trigger loss-absorbing additional tier 1 capital7

 

 6.17 

 16,447 

 

 1.80 

 16,447 

 

 3.91 

 10,435 

 

 1.14 

 10,435 

of which: high-trigger loss-absorbing additional tier 1 capital

 

 3.91 

 10,435 

 

 1.14 

 10,435 

 

 3.91 

 10,435 

 

 1.14 

 10,435 

of which: low-trigger loss-absorbing tier 2 capital

 

 2.26 

 6,012 

 

 0.66 

 6,012 

 

 

 

 

 

 

Total going concern capital

 

 19.27 

 51,380 

 

 5.64 

 51,380 

 

 17.02 

 45,368 

 

 4.98 

 45,368 

Gone concern loss-absorbing capacity

 

 12.90 

 34,400 

 

 3.77 

 34,400 

 

 15.16 

 40,412 

 

 4.43 

 40,412 

of which: TLAC-eligible debt

 

 11.46 

 30,548 

 

 3.35 

 30,548 

 

 11.46 

 30,548 

 

 3.35 

 30,548 

Total gone concern loss-absorbing capacity

 

 12.90 

 34,400 

 

 3.77 

 34,400 

 

 15.16 

 40,412 

 

 4.43 

 40,412 

Total loss-absorbing capacity

 

 32.18 

 85,780 

 

 9.41 

 85,780 

 

 32.18 

 85,780 

 

 9.41 

 85,780 

 

 

 

 

 

 

 

 

 

 

 

 

 

Risk-weighted assets / leverage ratio denominator

 

 

 

 

 

 

 

 

 

 

 

 

Risk-weighted assets

 

 

 266,581 

 

 

 

 

 

 266,581 

 

 

 

Leverage ratio denominator

 

 

 

 

 

 911,410 

 

 

 

 

 

 911,410 

1 This table includes a rebate equal to 40% of the maximum rebate on the gone concern requirements, which was granted by FINMA and will be phased in until 1 January 2020 plus an additional reduction of 1.27% for the RWA requirement and 0.37% for the LRD requirement, respectively under Swiss SRB as of 1.1.20 rules, for the usage of low-trigger tier 2 capital instruments to fulfill gone concern requirements.    2 Going concern capital ratio requirements include countercyclical buffer requirements of 0.31%.    3 Includes applicable add-ons of 0.72% for risk-weighted assets (RWA).    4 Includes applicable add-ons of 1.44% for risk-weighted assets (RWA) and 0.5% for leverage ratio denominator (LRD).    5 Includes applicable add-ons of 1.08% for RWA and 0.38% for LRD and applicable rebate of 1.86% for RWA and 0.64% for LRD.    6 Includes applicable add-ons of 1.44% for RWA and 0.5% for LRD and applicable rebate/reduction of 3.56% for RWA and 1.17% for LRD.    7 Includes outstanding low-trigger loss-absorbing tier 2 capital instruments, which are available under the transitional rules of the Swiss SRB framework to meet the going concern requirements until the earlier of (i) their maturity or first call date or (ii) 31 December 2019, and to meet gone concern requirements thereafter. Outstanding low-trigger loss-absorbing tier 2 capital instruments are subject to amortization starting five years prior to their maturity, with the amortized portion qualifying as gone concern loss-absorbing capacity. Instruments available to meet gone concern requirements are eligible until one year before maturity, with a haircut of 50% applied in the last year of eligibility.  

 

7


Capital management 

Swiss SRB going and gone concern information

 

 

 

 

 

 

 

 

Swiss SRB, including

transitional arrangements

 

Swiss SRB as of 1.1.20

USD million, except where indicated

 

31.3.19

31.12.18

 

31.3.19

31.12.18

 

 

 

 

 

 

 

Going concern capital

 

 

 

 

 

 

Common equity tier 1 capital

 

 34,933 

 34,608 

 

 34,933 

 34,608 

High-trigger loss-absorbing additional tier 1 capital

 

 10,435 

 7,805 

 

 10,435 

 7,805 

Total loss-absorbing additional tier 1 capital

 

 10,435 

 7,805 

 

 10,435 

 7,805 

Total tier 1 capital

 

 45,368 

 42,413 

 

 45,368 

 42,413 

Low-trigger loss-absorbing tier 2 capital1

 

 6,012 

 6,008 

 

 

 

Total tier 2 capital

 

 6,012 

 6,008 

 

 

 

Total going concern capital

 

 51,380 

 48,421 

 

 45,368 

 42,413 

 

 

 

 

 

 

 

Gone concern loss-absorbing capacity2

 

 

 

 

 

 

Low-trigger loss-absorbing additional tier 1 capital3

 

 2,380 

 2,378 

 

 2,380 

 2,378 

Total tier 1 capital

 

 2,380 

 2,378 

 

 2,380 

 2,378 

Low-trigger loss-absorbing tier 2 capital1

 

 781 

 771 

 

 6,793 

 6,779 

Non-Basel III-compliant tier 2 capital4

 

 690 

 693 

 

 690 

 693 

Total tier 2 capital

 

 1,471 

 1,464 

 

 7,483 

 7,471 

TLAC-eligible debt

 

 30,548 

 29,988 

 

 30,548 

 29,988 

Total gone concern loss-absorbing capacity

 

 34,400 

 33,830 

 

 40,412 

 39,837 

 

 

 

 

 

 

 

Total loss-absorbing capacity

 

 

 

 

 

 

Total loss-absorbing capacity

 

 85,780 

 82,251 

 

 85,780 

 82,251 

 

 

 

 

 

 

 

Risk-weighted assets / leverage ratio denominator

 

 

 

 

 

 

Risk-weighted assets

 

 266,581 

 262,840 

 

 266,581 

 262,840 

Leverage ratio denominator

 

 911,410 

 904,458 

 

 911,410 

 904,458 

 

 

 

 

 

 

 

Capital and loss-absorbing capacity ratios (%)

 

 

 

 

 

 

Going concern capital ratio

 

 19.3 

 18.4 

 

 17.0 

 16.1 

of which: common equity tier 1 capital ratio

 

 13.1 

 13.2 

 

 13.1 

 13.2 

Gone concern loss-absorbing capacity ratio

 

 12.9 

 12.9 

 

 15.2 

 15.2 

Total loss-absorbing capacity ratio

 

 32.2 

 31.3 

 

 32.2 

 31.3 

 

 

 

 

 

 

 

Leverage ratios (%)

 

 

 

 

 

 

Going concern leverage ratio

 

 5.6 

 5.4 

 

 5.0 

 4.7 

of which: common equity tier 1 leverage ratio

 

 3.83 

 3.83 

 

 3.83 

 3.83 

Gone concern leverage ratio

 

 3.8 

 3.7 

 

 4.4 

 4.4 

Total loss-absorbing capacity leverage ratio

 

 9.4 

 9.1 

 

 9.4 

 9.1 

1 Under the transitional rules of the Swiss SRB framework, outstanding low-trigger loss-absorbing tier 2 capital instruments are subject to amortization starting five years prior to their maturity, with the amortized portion qualifying as gone concern loss-absorbing capacity.    2 Instruments available to meet gone concern requirements are eligible until one year before maturity, with a haircut of 50% applied in the last year of eligibility.    3 The relevant capital instruments were issued after the new Swiss SRB framework had been implemented and therefore qualify as gone concern loss-absorbing capacity.    4 Non-Basel III-compliant tier 2 capital instruments qualify as gone concern instruments.

 

 

8


 

UBS Group AG vs UBS AG consolidated loss-absorbing capacity and leverage ratio information

Swiss SRB going and gone concern information (UBS Group AG vs UBS AG consolidated)

As of 31.3.19

 

Swiss SRB, including transitional arrangements

 

Swiss SRB as of 1.1.20

USD million, except where indicated

 

UBS Group AG

(consolidated)

UBS AG

(consolidated)

Differences

 

UBS Group AG

(consolidated)

UBS AG

(consolidated)

Differences

 

 

 

 

 

 

 

 

 

Going concern capital

 

 

 

 

 

 

 

 

Common equity tier 1 capital

 

 34,658 

 34,933 

 (275) 

 

 34,658 

 34,933 

 (275) 

High-trigger loss-absorbing additional tier 1 capital

 

 12,397 

 10,435 

 1,962 

 

 12,397 

 10,435 

 1,962 

Low-trigger loss-absorbing additional tier 1 capital

 

 2,381 

 

 2,381 

 

 2,381 

 

 2,381 

Total loss-absorbing additional tier 1 capital

 

 14,778 

 10,435 

 4,343 

 

 14,778 

 10,435 

 4,343 

Total tier 1 capital

 

 49,436 

 45,368 

 4,068 

 

 49,436 

 45,368 

 4,068 

Low-trigger loss-absorbing tier 2 capital1

 

 6,012 

 6,012 

 0 

 

 

 

 

Total tier 2 capital

 

 6,012 

 6,012 

 0 

 

 

 

 

Total going concern capital

 

 55,448 

 51,380 

 4,068 

 

 49,436 

 45,368 

 4,068 

 

 

 

 

 

 

 

 

 

Gone concern loss-absorbing capacity2

 

 

 

 

 

 

 

 

Low-trigger loss-absorbing additional tier 1 capital

 

 

 2,3803

 (2,380) 

 

 

 2,3803

 (2,380) 

Total tier 1 capital

 

 

 2,380 

 (2,380) 

 

 

 2,380 

 (2,380) 

Low-trigger loss-absorbing tier 2 capital1

 

 781 

 781 

 0 

 

 6,793 

 6,793 

 0 

Non-Basel III-compliant tier 2 capital

 

 690 

 690 

 0 

 

 690 

 690 

 0 

Total tier 2 capital

 

 1,471 

 1,471 

 0 

 

 7,483 

 7,483 

 0 

TLAC-eligible debt

 

 30,548 

 30,548 

 0 

 

 30,548 

 30,548 

 0 

Total gone concern loss-absorbing capacity

 

 32,020 

 34,400 

 (2,380) 

 

 38,032 

 40,412 

 (2,380) 

 

 

 

 

 

 

 

 

 

Total loss-absorbing capacity

 

 

 

 

 

 

 

 

Total loss-absorbing capacity

 

 87,468 

 85,780 

 1,688 

 

 87,468 

 85,780 

 1,688 

 

 

 

 

 

 

 

 

 

Risk-weighted assets / leverage ratio denominator

 

 

 

 

 

 

Risk-weighted assets

 

 267,556 

 266,581 

 976 

 

 267,556 

 266,581 

 976 

Leverage ratio denominator

 

 910,993 

 911,410 

 (417) 

 

 910,993 

 911,410 

 (417) 

 

 

 

 

 

 

 

 

 

Capital and loss-absorbing capacity ratios (%)

 

 

 

 

 

 

 

 

Going concern capital ratio

 

 20.7 

 19.3 

 1.5 

 

 18.5 

 17.0 

 1.5 

of which: common equity tier 1 capital ratio

 

 13.0 

 13.1 

 (0.2) 

 

 13.0 

 13.1 

 (0.2) 

Gone concern loss-absorbing capacity ratio

 

 12.0 

 12.9 

 (0.9) 

 

 14.2 

 15.2 

 (0.9) 

Total loss-absorbing capacity ratio

 

 32.7 

 32.2 

 0.5 

 

 32.7 

 32.2 

 0.5 

 

 

 

 

 

 

 

 

 

Leverage ratios (%)

 

 

 

 

 

 

 

 

Going concern leverage ratio

 

 6.1 

 5.6 

 0.4 

 

 5.4 

 5.0 

 0.4 

of which: common equity tier 1 leverage ratio

 

 3.80 

 3.83 

 (0.03) 

 

 3.80 

 3.83 

 (0.03) 

Gone concern leverage ratio

 

 3.5 

 3.8 

 (0.3) 

 

 4.2 

 4.4 

 (0.3) 

Total loss-absorbing capacity leverage ratio

 

 9.6 

 9.4 

 0.2 

 

 9.6 

 9.4 

 0.2 

1 Under the transitional rules of the Swiss SRB framework, outstanding low-trigger loss-absorbing tier 2 capital instruments are subject to amortization starting five years prior to their maturity, with the amortized portion qualifying as gone concern loss-absorbing capacity.    2 Instruments available to meet gone concern requirements are eligible until one year before maturity, with a haircut of 50% applied in the last year of eligibility.    3 The relevant capital instruments were issued after the new Swiss SRB framework had been implemented and therefore qualify as gone concern loss-absorbing capacity.

 

9


Capital management 

Reconciliation of IFRS equity to Swiss SRB common equity tier 1 capital (UBS Group AG vs UBS AG consolidated)

As of 31.3.19

 

 

 

USD million

 

UBS Group AG

(consolidated)

UBS AG

(consolidated)

Differences

Total IFRS equity

 

 53,840 

 53,389 

 451 

Equity attributable to preferred noteholders and non-controlling interests

 

 (173) 

 (173) 

 0 

Deferred tax assets recognized for tax loss carry-forwards

 

 (6,308) 

 (6,308) 

 0 

Deferred tax assets on temporary differences, excess over threshold

 

 (344) 

 (292) 

 (51) 

Goodwill, net of tax

 

 (6,298) 

 (6,298) 

 0 

Intangible assets, net of tax                                

 

 (236) 

 (236) 

 0 

Compensation-related components (not recognized in net profit)

 

 (1,359) 

 

 (1,359) 

Expected losses on advanced internal ratings-based portfolio less provisions

 

 (379) 

 (379) 

 0 

Unrealized (gains) / losses from cash flow hedges, net of tax                                         

 

 (564) 

 (564) 

 0 

Unrealized own credit related to financial liabilities designated at fair value, net of tax, and replacement values

 

 (51) 

 (51) 

 0 

Prudential valuation adjustments                                          

 

 (104) 

 (104) 

 0 

Accruals for proposed dividends to shareholders for 2018

 

 (2,648) 

 (3,250) 

 602 

Other1

 

 (717) 

 (799) 

 83 

Total common equity tier 1 capital                                   

 

 34,658 

 34,933 

 (275) 

1 Includes accruals for dividends to shareholders for the current year and other items.

 

Total loss-absorbing capacity and leverage ratio information under Swiss SRB rules applicable as of 1 January 2020

Going concern capital of UBS AG consolidated was USD 4.1 billion lower than going concern capital of UBS Group AG consolidated as of 31 March 2019, primarily reflecting additional tier 1 (AT1) capital of USD 4.3 billion, partly offset by higher common equity tier 1 (CET1) capital of USD 0.3 billion. The gone concern loss-absorbing capacity was USD 2.4 billion higher, due to low-trigger loss-absorbing AT1 capital.

CET1 capital of UBS AG consolidated was USD 0.3 billion higher than that of UBS Group AG consolidated, primarily due to the deductions for compensation-related regulatory capital components that are only reflected at the level of UBS Group AG consolidated. This effect was largely offset by lower equity of UBS AG consolidated, as well as a higher dividend accrual at the UBS AG level.

Going concern loss-absorbing AT1 capital of UBS AG consolidated was USD 4.3 billion lower than that of UBS Group AG consolidated and relates to AT1 capital notes issued by UBS Group Funding (Switzerland) AG, a direct subsidiary of UBS Group AG, as well as Deferred Contingent Capital Plan awards granted to eligible employees for the performance years 2014 to 2018.

The difference of USD 2.4 billion in gone concern low-trigger AT1 capital relates to capital instruments that were issued by UBS AG after the new Swiss SRB framework had been implemented and are therefore not recognized within going concern capital but qualify as gone concern loss-absorbing capacity. Issuances of low-trigger AT1 capital from UBS Group AG were all made prior to implementation of the new Swiss SRB framework and therefore qualify as going concern capital.

Differences in capital between UBS Group AG consolidated and UBS AG consolidated related to employee compensation plans will reverse to the extent underlying services are performed by employees of, and are consequently charged to, UBS AG and its subsidiaries. Such reversal generally occurs over the service period of the employee compensation plans.

The leverage ratio framework for UBS AG consolidated is consistent with that of UBS Group AG consolidated. As of 31 March 2019, the going concern leverage ratio of UBS AG consolidated was 0.4 percentage points lower than that of UBS Group AG consolidated, mainly as the going concern capital of UBS AG consolidated was USD 4.1 billion lower.

®   Refer to the “Capital management” section of the UBS Group first quarter 2019 report under “Quarterly reporting” at www.ubs.com/investors  for information on the developments of loss-absorbing capacity, risk-weighted assets and leverage ratio denominator for UBS Group AG consolidated

®   Refer to the “Introduction” section of this report for more information on the differences in equity between UBS AG consolidated and UBS Group AG

 

  

10


 

Consolidated
financial statements

Unaudited

 

 

 


 

Table of contents

 

UBS AG interim consolidated financial
statements (unaudited)

 

 

13

Income statement

14

Statement of comprehensive income

16

Balance sheet

18

Statement of changes in equity

20

Statement of cash flows

 

 

22

1     Basis of accounting

26

2     Segment reporting

27

3     Net interest income

28

4     Net fee and commission income

28

5     Other income

29

6     Personnel expenses

29

7     General and administrative expenses

29

8     Income taxes

30

9     Expected credit loss measurement

33

10   Fair value measurement

41

11   Derivative instruments

42

12   Other assets and liabilities

44

13   Debt issued designated at fair value

44

14   Debt issued measured at amortized cost

45

15   Provisions and contingent liabilities

52

16   Guarantees, commitments and forward starting
       transactions

52

17   Currency translation rates

 

 

 

 

  

 


 

UBS AG interim consolidated
financial statements (unaudited)

Income statement

 

 

 

 

 

 

 

 

 

 

For the quarter ended

USD million

 

Note

 

31.3.19

31.12.18

31.3.18

Interest income from financial instruments measured at amortized cost and fair value through

other comprehensive income

 

 3 

 

 2,674 

 2,691 

 2,389 

Interest expense from financial instruments measured at amortized cost

 

 3 

 

 (1,912) 

 (1,810) 

 (1,409) 

Interest income from financial instruments measured at fair value through profit or loss

 

 3 

 

 1,346 

 1,338 

 1,114 

Interest expense from financial instruments measured at fair value through profit or loss

 

 3 

 

 (1,006) 

 (1,013) 

 (677) 

Net interest income

 

 3 

 

 1,101 

 1,207 

 1,417 

Other net income from financial instruments measured at fair value through profit or loss

 

 

 

 1,936 

 1,294 

 1,973 

Credit loss (expense) / recovery

 

 9 

 

 (20) 

 (53) 

 (26) 

Fee and commission income

 

 4 

 

 4,566 

 4,709 

 5,197 

Fee and commission expense

 

 4 

 

 (409) 

 (439) 

 (433) 

Net fee and commission income

 

 4 

 

 4,157 

 4,270 

 4,764 

Other income

 

 5 

 

 169 

 365 

 174 

Total operating income

 

 

 

 7,343 

 7,083 

 8,301 

Personnel expenses

 

 6 

 

 3,468 

 3,262 

 3,771 

General and administrative expenses

 

 7 

 

 2,026 

 3,094 

 2,371 

Depreciation and impairment of property, equipment and software

 

 

 

 379 

 293 

 246 

Amortization and impairment of intangible assets

 

 

 

 16 

 17 

 16 

Total operating expenses

 

 

 

 5,890 

 6,667 

 6,404 

Operating profit / (loss) before tax

 

 

 

 1,454 

 416 

 1,897 

Tax expense / (benefit)

 

 8 

 

 387 

 143 

 484 

Net profit / (loss)

 

 

 

 1,067 

 273 

 1,413 

Net profit / (loss) attributable to non-controlling interests

 

 

 

 (2) 

 1 

 2 

Net profit / (loss) attributable to shareholders

 

 

 

 1,069 

 272 

 1,412 

 

13


UBS AG interim consolidated financial statements (unaudited)

Statement of comprehensive income

 

 

 

 

 

 

For the quarter ended

USD million

 

31.3.19

31.12.18

31.3.18

 

 

 

 

 

Comprehensive income attributable to shareholders

 

 

 

 

Net profit / (loss)

 

 1,069 

 272 

 1,412 

 

 

 

 

 

Other comprehensive income that may be reclassified to the income statement

 

 

 

 

Foreign currency translation

 

 

 

 

Foreign currency translation movements related to net assets of foreign operations, before tax

 

 (151) 

 (129) 

 643 

Effective portion of changes in fair value of hedging instruments designated as net investment hedges, before tax

 

 26 

 21 

 106 

Foreign currency translation differences on foreign operations reclassified to the income statement

 

 1 

 (7) 

 0 

Effective portion of changes in fair value of hedging instruments designated as net investment hedges reclassified to the income statement

 

 0 

 2 

 0 

Income tax relating to foreign currency translations, including the impact of net investment hedges

 

 1 

 0 

 0 

Subtotal foreign currency translation, net of tax

 

 (122) 

 (112) 

 749 

Financial assets measured at fair value through other comprehensive income

 

 

 

 

Net unrealized gains / (losses), before tax

 

 81 

 68 

 (80) 

Impairment charges reclassified to the income statement from equity

 

 0 

 0 

 0 

Realized gains reclassified to the income statement from equity

 

 (1) 

 0 

 0 

Realized losses reclassified to the income statement from equity

 

 0 

 0 

 0 

Income tax relating to net unrealized gains / (losses)

 

 (17) 

 (23) 

 24 

Subtotal financial assets measured at fair value through other comprehensive income, net of tax

 

 62 

 44 

 (57) 

Cash flow hedges of interest rate risk

 

 

 

 

Effective portion of changes in fair value of derivative instruments designated as cash flow hedges, before tax

 

 588 

 816 

 (476) 

Net (gains) / losses reclassified to the income statement from equity

 

 (21) 

 (43) 

 (134) 

Income tax relating to cash flow hedges

 

 (107) 

 (157) 

 122 

Subtotal cash flow hedges, net of tax

 

 459 

 616 

 (488) 

Total other comprehensive income that may be reclassified to the income statement, net of tax

 

 399 

 548 

 205 

 

 

 

 

 

Other comprehensive income that will not be reclassified to the income statement

 

 

 

 

Defined benefit plans

 

 

 

 

Gains / (losses) on defined benefit plans, before tax

 

 (160) 

 (240) 

 (36) 

Income tax relating to defined benefit plans

 

 (16) 

 218 

 22 

Subtotal defined benefit plans, net of tax

 

 (176) 

 (22) 

 (14) 

Own credit on financial liabilities designated at fair value

 

 

 

 

Gains / (losses) from own credit on financial liabilities designated at fair value, before tax

 

 (326) 

 376 

 180 

Income tax relating to own credit on financial liabilities designated at fair value

 

 8 

 (8) 

 (2) 

Subtotal own credit on financial liabilities designated at fair value, net of tax

 

 (318) 

 368 

 178 

Total other comprehensive income that will not be reclassified to the income statement, net of tax

 

 (494) 

 346 

 164 

 

 

 

 

 

Total other comprehensive income

 

 (94) 

 894 

 369 

Total comprehensive income attributable to shareholders

 

 974 

 1,166 

 1,781 

 

14


 

 

Statement of comprehensive income (continued)

 

 

 

 

 

 

For the quarter ended

USD million

 

31.3.19

31.12.18

31.3.18

 

 

 

 

 

Comprehensive income attributable to non-controlling interests

 

 

 

 

Net profit / (loss)

 

 (2) 

 1 

 2 

 

 

 

 

 

Other comprehensive income that will not be reclassified to the income statement

 

 

 

 

Foreign currency translation movements, before tax

 

 4 

 1 

 2 

Income tax relating to foreign currency translation movements

 

 0 

 0 

 0 

Subtotal foreign currency translation, net of tax

 

 4 

 1 

 2 

Total other comprehensive income that will not be reclassified to the income statement, net of tax

 

 4 

 1 

 2 

Total comprehensive income attributable to non-controlling interests

 

 2 

 2 

 3 

 

 

 

 

 

Total comprehensive income

 

 

 

 

Net profit / (loss)

 

 1,067 

 273 

 1,413 

Other comprehensive income

 

 (90) 

 895 

 371 

of which: other comprehensive income that may be reclassified to the income statement

 

 399 

 548 

 205 

of which: other comprehensive income that will not be reclassified to the income statement

 

 (489) 

 347 

 166 

Total comprehensive income

 

 977 

 1,168 

 1,784 

 

 

15


UBS AG interim consolidated financial statements (unaudited)

 

Balance sheet

 

 

 

 

 

USD million

 

Note

 

31.3.19

31.12.18

 

 

 

 

 

 

Assets

 

 

 

 

 

Cash and balances at central banks

 

 

 

 110,618 

 108,370 

Loans and advances to banks

 

 

 

 16,777 

 16,642 

Receivables from securities financing transactions

 

 

 

 100,222 

 95,349 

Cash collateral receivables on derivative instruments

 

 11 

 

 25,164 

 23,603 

Loans and advances to customers

 

 9 

 

 320,466 

 321,482 

Other financial assets measured at amortized cost

 

 12 

 

 22,495 

 22,637 

Total financial assets measured at amortized cost

 

 

 

 595,744 

 588,084 

Financial assets at fair value held for trading

 

 10 

 

 109,683 

 104,513 

of which: assets pledged as collateral that may be sold or repledged by counterparties

 

 

 

 33,828 

 32,121 

Derivative financial instruments

 

10, 11

 

 111,161 

 126,212 

Brokerage receivables

 

 10 

 

 16,275 

 16,840 

Financial assets at fair value not held for trading

 

 10 

 

 80,973 

 82,387 

Total financial assets measured at fair value through profit or loss

 

 

 

 318,092 

 329,953 

Financial assets measured at fair value through other comprehensive income

 

 10 

 

 7,168 

 6,667 

Investments in associates

 

 

 

 1,095 

 1,099 

Property, equipment and software

 

 

 

 11,642 

 8,479 

Goodwill and intangible assets

 

 

 

 6,621 

 6,647 

Deferred tax assets

 

 

 

 9,799 

 10,066 

Other non-financial assets

 

 12 

 

 6,577 

 7,062 

Total assets

 

 

 

 956,737 

 958,055 

 

16


 

 

Balance sheet (continued)

 

 

 

 

 

USD million

 

Note

 

31.3.19

31.12.18

 

 

 

 

 

 

Liabilities

 

 

 

 

 

Amounts due to banks

 

 

 

 9,083 

 10,962 

Payables from securities financing transactions

 

 

 

 5,246 

 10,296 

Cash collateral payables on derivative instruments

 

 11 

 

 30,319 

 28,906 

Customer deposits

 

 

 

 428,129 

 421,986 

Funding from UBS Group AG and its subsidiaries

 

 

 

 44,354 

 41,202 

Debt issued measured at amortized cost

 

 14 

 

 83,894 

 91,245 

Other financial liabilities measured at amortized cost

 

 12 

 

 10,770 

 7,576 

Total financial liabilities measured at amortized cost

 

 

 

 611,795 

 612,174 

Financial liabilities at fair value held for trading

 

 10 

 

 34,259 

 28,949 

Derivative financial instruments

 

10, 11

 

 110,809 

 125,723 

Brokerage payables designated at fair value

 

 10 

 

 39,326 

 38,420 

Debt issued designated at fair value

 

10, 13

 

 66,919 

 57,031 

Other financial liabilities designated at fair value

 

10, 12

 

 32,394 

 33,594 

Total financial liabilities measured at fair value through profit or loss

 

 

 

 283,706 

 283,717 

Provisions

 

 15 

 

 3,165 

 3,457 

Other non-financial liabilities

 

 12 

 

 4,682 

 6,275 

Total liabilities

 

 

 

 903,348 

 905,624 

 

 

 

 

 

 

Equity

 

 

 

 

 

Share capital

 

 

 

 338 

 338 

Share premium

 

 

 

 24,651 

 24,655 

Retained earnings

 

 

 

 23,886 

 23,317 

Other comprehensive income recognized directly in equity, net of tax

 

 

 

 4,341 

 3,946 

Equity attributable to shareholders

 

 

 

 53,216 

 52,256 

Equity attributable to non-controlling interests

 

 

 

 173 

 176 

Total equity

 

 

 

 53,389 

 52,432 

Total liabilities and equity

 

 

 

 956,737 

 958,055 

 

17


UBS AG interim consolidated financial statements (unaudited)

 

Statement of changes in equity

 

 

 

USD million

Share

capital

Share

premium

Retained

earnings

Balance as of 1 January 2018

 338 

 24,633 

 21,646 

Issuance of share capital

 

 

 

Premium on shares issued and warrants exercised

 

 19 

 

Tax (expense) / benefit

 

 

 

Dividends

 

 

 

Translation effects recognized directly in retained earnings

 

 

 (22) 

New consolidations / (deconsolidations) and other increases / (decreases)

 

 14 

 

Total comprehensive income for the period

 

 

 1,576 

of which: net profit / (loss)

 

 

 1,412 

of which: other comprehensive income (OCI) that may be reclassified to the income statement, net of tax

 

 

 

of which: OCI that will not be reclassified to the income statement, net of tax – defined benefit plans

 

 

 (14) 

of which: OCI that will not be reclassified to the income statement, net of tax – own credit

 

 

 178 

of which: OCI that will not be reclassified to the income statement, net of tax – foreign currency translation

 

 

 

Balance as of 31 March 2018

 338 

 24,666 

 23,200 

 

 

 

 

Balance as of 1 January 2019 before the adoption of IFRIC 23

 338 

 24,655 

 23,317 

Effect of adoption of IFRIC 23

 

 

 (11) 

Balance as of 1 January 2019 after the adoption of IFRIC 23

 338 

 24,655 

 23,306 

Issuance of share capital

 

 

 

Premium on shares issued and warrants exercised

 

 

 

Tax (expense) / benefit

 

 2 

 

Dividends

 

 

 

Translation effects recognized directly in retained earnings

 

 

 4 

New consolidations / (deconsolidations) and other increases / (decreases)

 

 (6) 

 

Total comprehensive income for the period

 

 

 575 

of which: net profit / (loss)

 

 

 1,069 

of which: other comprehensive income (OCI) that may be reclassified to the income statement, net of tax

 

 

 

of which: OCI that will not be reclassified to the income statement, net of tax – defined benefit plans

 

 

 (176) 

of which: OCI that will not be reclassified to the income statement, net of tax – own credit

 

 

 (318) 

of which: OCI that will not be reclassified to the income statement, net of tax – foreign currency translation

 

 

 

Balance as of 31 March 2019

 338 

 24,651 

 23,886 

1 Excludes defined benefit plans and own credit that are recorded directly in Retained earnings. 

 

18


 

 

 

 

 

 

 

 

 

Other comprehensive

income recognized

directly in equity,

net of tax1

of which:

foreign currency translation

of which:

financial assets measured at fair value through OCI

of which:

cash flow hedges

Total equity

attributable to 

shareholders

Non-controlling

interests

Total

equity

 4,754 

 4,455 

 (61) 

 360 

 51,370 

 59 

 51,429 

 

 

 

 

 0 

 

 0 

 

 

 

 

 19 

 

 19 

 

 

 

 

 0 

 

 0 

 

 

 

 

 0 

 (4) 

 (4) 

 22 

 

 3 

 20 

 0 

 

 0 

 

 

 

 

 14 

 8 

 22 

 205 

 749 

 (57) 

 (488) 

 1,781 

 3 

 1,784 

 

 

 

 

 1,412 

 2 

 1,413 

 205 

 749 

 (57) 

 (488) 

 205 

 

 205 

 

 

 

 

 (14) 

 

 (14) 

 

 

 

 

 178 

 

 178 

 

 

 

 

 0 

 2 

 2 

 4,981 

 5,205 

 (115) 

 (108) 

 53,185 

 65 

 53,250 

 

 

 

 

 

 

 

 3,946 

 3,940 

 (103) 

 109 

 52,256 

 176 

 52,432 

 

 

 

 

 (11) 

 

 (11) 

 3,946 

 3,940 

 (103) 

 109 

 52,245 

 176 

 52,421 

 

 

 

 

 0 

 

 0 

 

 

 

 

 0 

 

 0 

 

 

 

 

 2 

 

 2 

 

 

 

 

 0 

 (4) 

 (4) 

 (4) 

 

 

 (4) 

 0 

 

 0 

 

 

 

 

 (6) 

 0 

 (7) 

 399 

 (122) 

 62 

 459 

 974 

 2 

 977 

 

 

 

 

 1,069 

 (2) 

 1,067 

 399 

 (122) 

 62 

 459 

 399 

 

 399 

 

 

 

 

 (176) 

 

 (176) 

 

 

 

 

 (318) 

 

 (318) 

 

 

 

 

 0 

 4 

 4 

 4,341 

 3,818 

 (40) 

 564 

 53,216 

 173 

 53,389 

 

 

 

 

 

 

 

 

19


UBS AG interim consolidated financial statements (unaudited)

 

Statement of cash flows

 

 

 

 

 

Year-to-date

USD million

 

31.3.19

31.3.18

 

 

 

 

Cash flow from / (used in) operating activities

 

 

 

Net profit / (loss)

 

 1,067 

 1,413 

Non-cash items included in net profit and other adjustments:

 

 

 

Depreciation and impairment of property, equipment and software

 

 379 

 246 

Amortization and impairment of intangible assets

 

 16 

 16 

Credit loss expense / (recovery)

 

 20 

 26 

Share of net profits of associates / joint ventures and impairment of associates

 

 (15) 

 (16) 

Deferred tax expense / (benefit)

 

 228 

 288 

Net loss / (gain) from investing activities

 

 (73) 

 157 

Net loss / (gain) from financing activities

 

 4,272 

 (3,911) 

Other net adjustments

 

 178 

 (604) 

Net change in operating assets and liabilities:

 

 

 

Loans and advances to banks / amounts due to banks

 

 (1,696) 

 1,785 

Securities financing transactions

 

 (9,997) 

 5,254 

Cash collateral on derivative instruments

 

 (131) 

 (1,866) 

Loans and advances to customers

 

 (1,570) 

 (7,194) 

Customer deposits

 

 9,797 

 (3,959) 

Financial assets and liabilities at fair value held for trading and derivative financial instruments

 

 1,697 

 15,394 

Brokerage receivables and payables

 

 1,473 

 4,015 

Financial assets at fair value not held for trading, other financial assets and liabilities

 

 (1,266) 

 (7,005) 

Provisions, other non-financial assets and liabilities

 

 (639) 

 (986) 

Income taxes paid, net of refunds

 

 (204) 

 (141) 

Net cash flow from / (used in) operating activities

 

 3,535 

 2,913 

 

 

 

 

Cash flow from / (used in) investing activities

 

 

 

Purchase of subsidiaries, associates and intangible assets

 

 (1) 

 (6) 

Disposal of subsidiaries, associates and intangible assets1

 

 27 

 30 

Purchase of property, equipment and software

 

 (314) 

 (344) 

Disposal of property, equipment and software

 

 2 

 28 

Purchase of financial assets measured at fair value through other comprehensive income

 

 (1,033) 

 (450) 

Disposal and redemption of financial assets measured at fair value through other comprehensive income

 

 610