What dividend and share buybacks did UBS Group (AMUB) outline for shareholders?

For the 2025 financial year, UBS’s Board plans to propose a dividend of 1.10 per share . The bank completed 3bn of share repurchases in 2025 and intends to repurchase another 3bn of shares in 2026, subject to capital and regulatory considerations.

UBS Group (AMUB) boosts 2025 profit, ups Credit Suisse cost-savings goal

Q: What were UBS Group (AMUB) results for the fourth quarter of 2025?

In fourth quarter 2025, UBS Group generated 12,145m in total revenues and net profit attributable to shareholders of 1,199m . Operating profit before tax was 1,700m , supported by higher fee and trading income, partly offset by a 457m loss on repurchased legacy Credit Suisse debt.

Q: How far has UBS Group (AMUB) progressed integrating Credit Suisse?

By year-end 2025, UBS had achieved 10.7bn in cumulative gross cost savings versus the 2022 combined cost base and reduced Non-core and Legacy risk-weighted assets by 67% since second quarter 2023. Management still expects substantial integration completion by the end of 2026.

Filing Impact

(Neutral)

Filing Sentiment

(Neutral)

Form Type

6-K

Rhea-AI Filing Summary

UBS Group reported stronger fourth quarter and full-year 2025 results while advancing the integration of Credit Suisse. For 2025, total revenues were 49,573m and net profit attributable to shareholders rose to 7,767m, up from 5,085m, lifting return on equity to 8.8%. Fourth-quarter net profit was 1,199m on revenues of 12,145m, as higher fee and trading income more than offset lower other income, including a 457m loss on repurchasing legacy Credit Suisse debt.

By year-end UBS had achieved 10.7bn in cumulative gross cost savings and cut Non-core and Legacy risk-weighted assets by 67% versus second quarter 2023, supporting a CET1 ratio of 14.4% and CET1 leverage ratio of 4.4%. The Board plans to propose a 1.10 per-share dividend for 2025 and completed 3bn of share repurchases in 2025, with a further 3bn targeted in 2026. Management increased its 2026 exit-rate cost-savings ambition to around 13.5bn and reiterated medium-term profitability targets, including an underlying RoCET1 of around 15% by the end of 2026.

Positive

Net profit growth: 2025 net profit attributable to shareholders rose to 7,767m from 5,085m, with underlying return on tangible equity improving to 12.1%.
Integration synergies: Cumulative gross cost savings reached 10.7bn, and the 2026 exit-rate savings ambition was increased to about 13.5bn versus the 2022 combined cost base.
Capital strength and returns: UBS reported a CET1 ratio of 14.4% and CET1 leverage ratio of 4.4%, while planning a 1.10 per-share dividend and completing 3bn of 2025 share repurchases with 3bn targeted for 2026.

Negative

None.

Insights

UBS delivered higher 2025 profits, strong capital and upgraded integration synergies.

UBS Group grew full-year net profit to 7,767m from 5,085m as total revenues reached 49,573m. Group underlying return on tangible equity improved to 12.1%, helped by stronger Global Wealth Management, Global Markets and fee income across the franchise.

Integration of Credit Suisse is a central driver. UBS reported cumulative gross cost savings of 10.7bn versus the combined 2022 cost base and raised its 2026 exit-rate savings ambition from around 13bn to approximately 13.5bn. Non-core and Legacy risk-weighted assets have been reduced to about 5bn, targeting roughly 4bn by end 2026.

Capital and shareholder returns remain robust. The 14.4% CET1 ratio and 4.4% CET1 leverage ratio sit near management’s 14% and >4% guidance. The Board plans a 1.10 per-share dividend for 2025 and completed 3bn of buybacks in 2025, with another 3bn intended in 2026, subject to the Swiss regulatory framework and maintaining target capital levels.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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Form 6-K: How Foreign Companies Report to the SEC →

Accepted by SEC EDGAR 02/04/2026 - 06:17 AM

FAQ

How did UBS Group (AMUB) perform financially in full-year 2025?

UBS Group’s 2025 net profit attributable to shareholders rose to 7,767m from 5,085m, on total revenues of 49,573m. Profitability improved, with reported return on equity reaching 8.8% and underlying return on tangible equity at 12.1% for the year.

What were UBS Group (AMUB) results for the fourth quarter of 2025?

In fourth quarter 2025, UBS Group generated 12,145m in total revenues and net profit attributable to shareholders of 1,199m. Operating profit before tax was 1,700m, supported by higher fee and trading income, partly offset by a 457m loss on repurchased legacy Credit Suisse debt.

How far has UBS Group (AMUB) progressed integrating Credit Suisse?

By year-end 2025, UBS had achieved 10.7bn in cumulative gross cost savings versus the 2022 combined cost base and reduced Non-core and Legacy risk-weighted assets by 67% since second quarter 2023. Management still expects substantial integration completion by the end of 2026.

What capital ratios did UBS Group (AMUB) report at December 31, 2025?

At 31 December 2025, UBS reported common equity tier 1 capital of 71,262m, a CET1 capital ratio of 14.4%, and a CET1 leverage ratio of 4.4%. Risk-weighted assets were 493,397m, and the leverage ratio denominator stood at 1,622,438m.

What are UBS Group (AMUB) key financial targets after the Credit Suisse integration?

Upon completing integration by end 2026, UBS targets an underlying RoCET1 around 15%, an underlying cost/income ratio below 70% and gross cost savings of about 13.5bn. Looking to 2028, it aims for reported RoCET1 around 18% and cost/income ratio near 67%.

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: February 4, 2026

UBS Group AG

(Registrant's

Name)

Bahnhofstrasse 45, 8001 Zurich, Switzerland

(Address of principal executive office)

Commission File Number: 1-36764

UBS AG

(Registrant's

Name)

Bahnhofstrasse 45, 8001 Zurich, Switzerland

Aeschenvorstadt 1, 4051 Basel, Switzerland

(Address of principal executive offices)

Commission File Number: 1-15060

Indicate by check mark whether the registrants file or will file annual

reports under cover of Form 20-F or Form

40-

Form 20-F

☒

Form 40-F

☐

This Form 6-K

consists of the

Fourth Quarter 2025

Report of UBS

Group AG, which

appears immediately following

this page.

UBS

Group

Fourth quarter 2025 report

Corporate calendar UBS Group

Information about future publication dates is generally

available at

ubs.com/global/en/investor-relations/events/calendar.html

Contacts

Switchboards

For all general inquiries

ubs.com/contact

Zurich +41-44-234-1111

London +44-207-567-8000

New York +1-212-821-3000

Hong Kong SAR +852-2971-8888

Singapore +65-6495-8000

Investor Relations

UBS’s Investor Relations team manages

relationships with institutional investors,

research analysts and credit rating agencies.

ubs.com/investors

Zurich +41-44-234-4100

New York +1-212-882-5734

Media Relations

UBS’s Media Relations team manages

relationships with global media and

journalists.

ubs.com/media

Zurich +41-44-234-8500

mediarelations@ubs.com

London +44-20-7567-4714

ubs-media-relations@ubs.com

New York +1-212-882-5858

mediarelations@ubs.com

Hong Kong SAR +852-2971-8200

sh-mediarelations-ap@ubs.com

Office of the Group Company Secretary

The Group Company Secretary handles

inquiries directed to the Chairman or to

other members of the Board of Directors.

UBS Group AG, Office of the Group

Company Secretary

P.O.

Box, CH-8098 Zurich, Switzerland

sh-company-secretary@ubs.com

Zurich +41-44-235-6652

Shareholder Services

UBS’s Shareholder Services team, a unit

of the Group Company Secretary’s office,

manages relationships with shareholders

and the registration of UBS Group AG

registered shares.

UBS Group AG, Shareholder Services

P.O.

Box, CH-8098 Zurich, Switzerland

sh-shareholder-services@ubs.com

Zurich +41-44-235-6652

US Transfer Agent

For global registered share-related

inquiries in the US.

Computershare Trust Company NA

P.O.

Box 43006

Providence, RI, 02940-3006, USA

Shareholder online inquiries:

www.computershare.com/us/

investor-inquiries

Shareholder website:

computershare.com/investor

Calls from the US

+1-866-305-9566

Calls from outside the US

+1-781-575-2623

TDD for hearing impaired

+1-800-231-5469

TDD for foreign shareholders

+1-201-680-6610

Imprint

Publisher: UBS Group AG, Zurich, Switzerland | ubs.com

Language: English

the registered and unregistered

Key figures

UBS Group key figures

Recent developments

UBS Group performance, business

divisions and Group Items

Group performance

Global Wealth Management

Personal & Corporate Banking

Asset Management

Investment Bank

Non-core and Legacy

Group Items

Risk, capital, liquidity and funding,

and balance sheet

Risk management and control

Capital management

Liquidity and funding management

Balance sheet and off-balance sheet

Share information and earnings per share

Consolidated

financial information

UBS Group AG interim consolidated financial

information (unaudited)

Appendix

Alternative performance measures

Abbreviations frequently used in

our financial reports

Information sources

Cautionary statement

UBS Group fourth quarter 2025 report

Terms used in this report, unless the context requires otherwise

“UBS”, “UBS Group”, “UBS Group

AG consolidated”, “Group”, “we”,

“us” and “our”

UBS Group AG and its consolidated subsidiaries

“UBS AG” and “UBS

AG consolidated”

UBS AG and its consolidated subsidiaries

“UBS Group AG”

UBS Group AG on a standalone basis

“UBS Switzerland AG”

UBS Switzerland AG on a standalone basis

“Credit Suisse Group” and “Credit Suisse”

Pre-acquisition Credit Suisse Group

“Credit Suisse Group AG”

Pre-acquisition Credit Suisse Group AG on

a standalone basis

“Credit Suisse AG”

Credit Suisse AG and its consolidated subsidiaries

before the merger with UBS AG

“1m”

One million, i.e. 1,000,000

“1bn”

One billion, i.e. 1,000,000,000

“1trn”

One trillion, i.e. 1,000,000,000,000

In this report, unless the context requires otherwise,

references to any gender shall apply to all genders.

Alternative performance measures

An alternative performance measure (an APM) is a financial measure of historical or

future financial performance,

financial position

or cash

flows other

than a

financial measure

defined or

specified in

the applicable

recognized

accounting standards

in other

applicable regulations.

report

number of

APMs

the discussion

the

financial and

operating performance

of the

Group, our

business divisions

and Group

Items. We

use APMs

to provide

complete

picture of

our

operating performance

and

reflect

management’s view

the

fundamental

drivers

our

business

results. A

definition

each

APM,

the

method

used

calculate

and

the

information

content are presented

under “Alternative performance measures”

in the

appendix to this

report. Our APMs

may

qualify

non-GAAP

measures

defined

Securities

and

Exchange

Commission

(SEC)

regulations.

Our

underlying results are APMs and are non-GAAP

financial measures.

›

Refer to “Alternative performance measures” in the appendix to this report for additional information

›

Refer to the “Group performance” section of this report for additional information about underlying results

UBS Group fourth quarter 2025 report |

Key figures | UBS Group key figures

Key figures

UBS Group key figures

As of or for the quarter ended

As of or for the year ended

USD m, except where indicated

31.12.25

30.9.25

31.12.24

31.12.25

31.12.24

Group results

Total revenues

12,145

12,760

11,635

49,573

48,611

Credit loss expense / (release)

159

102

229

524

551

Operating expenses

10,286

9,831

10,359

40,197

41,239

Operating profit / (loss) before tax

1,700

2,828

1,047

8,853

6,821

Net profit / (loss) attributable to shareholders

1,199

2,481

770

7,767

5,085

Diluted earnings per share (USD)

0.37

0.76

0.23

2.36

1.52

Profitability and growth

2,3

Return on equity (%)

5.3

11.1

3.6

8.8

6.0

Return on tangible equity (%)

5.8

12.0

3.9

9.5

6.5

Underlying return on tangible equity (%)

10.5

14.6

6.6

12.1

8.5

Return on common equity tier 1 capital (%)

6.6

13.5

4.2

10.8

6.7

Underlying return on common equity tier 1 capital (%)

11.9

16.3

7.2

13.7

8.7

Revenues over leverage ratio denominator, gross (%)

3.0

3.1

3.0

3.1

3.0

Cost / income ratio (%)

84.7

77.0

89.0

81.1

84.8

Underlying cost / income ratio (%)

75.2

69.7

81.9

74.4

79.5

Effective tax rate (%)

29.1

12.0

25.6

11.9

24.6

Net profit growth (%)

55.6

74.2

n.m.

52.7

(81.4)

Resources

Total assets

1,617,427

1,632,251

1,565,028

1,617,427

1,565,028

Equity attributable to shareholders

90,213

89,899

85,079

90,213

85,079

Common equity tier 1 capital

71,262

74,655

71,367

71,262

71,367

Risk-weighted assets

493,397

504,897

498,538

493,397

498,538

Common equity tier 1 capital ratio (%)

14.4

14.8

14.3

14.4

14.3

Going concern capital ratio (%)

18.5

18.8

17.6

18.5

17.6

Total loss-absorbing capacity ratio (%)

38.0

39.5

37.2

38.0

37.2

Leverage ratio denominator

1,622,438

1,640,464

1,519,477

1,622,438

1,519,477

Common equity tier 1 leverage ratio (%)

4.4

4.6

4.7

4.4

4.7

Liquidity coverage ratio (%)

182.6

182.1

188.4

182.6

188.4

Net stable funding ratio (%)

116.1

119.7

125.5

116.1

125.5

Other

Invested assets (USD bn)

3,7

7,005

6,910

6,087

7,005

6,087

Internal and external personnel

119,589

122,382

128,983

119,589

128,983

Internal personnel (full-time equivalents)

103,177

104,427

108,648

103,177

108,648

Market capitalization

1,9

155,760

136,416

105,719

155,760

105,719

Total book value per share (USD)

29.18

28.78

26.80

29.18

26.80

Tangible book value per share (USD)

26.93

26.54

24.63

26.93

24.63

Credit-impaired lending assets as a percentage of total lending

assets, gross (%)

0.9

1.0

0.9

1.0

Cost of credit risk (bps)

1 Refer to the

“Share information and

earnings per share”

section of this

report for more

information.

2 Refer to the

“Targets,

capital guidance and

ambitions” section of

the UBS Group

Annual Report 2024,

available under “Annual reporting” at ubs.com/investors, for more information about our previous performance targets

and to the “Recent developments” section of

this report for more information about our updated

targets and ambitions.

3 Refer to “Alternative

performance measures” in the appendix

to this report for the

relevant definition(s) and calculation

method(s).

4 Refer to the “Group

performance” section of this

report for more information about underlying results.

5 Based on the Swiss systemically relevant bank framework.

Refer to the “Capital management” section of this report

for more information.

6 The disclosed

ratios represent quarterly averages for the quarters

presented and are calculated based on an average

of 64 data points in the fourth quarter

of 2025, 65 data points in the third quarter

of 2025 and 64 data points

in the fourth

quarter of 2024.

Refer to

the “Liquidity

and funding management”

section of this

report for

more information.

7 Consists of invested

assets for

Global Wealth

Management, Asset

Management

(including invested assets from associates)

and Personal &

Corporate Banking. Refer to

“Note 31 Invested assets

and net new money” in

the “Consolidated financial statements”

section of the UBS Group

Annual

Report 2024, available under “Annual reporting” at ubs.com/investors, for more information.

8 Represents full-time equivalents for internal personnel and workforce count for external personnel.

9 The calculation

of market capitalization reflects total shares issued multiplied by the share price at the end of the period.

UBS Group fourth quarter 2025 report

Recent developments

Management report

Integration of Credit Suisse

We continued

to make

excellent progress

the integration

of Credit

Suisse, which

expect to

substantially

complete by the

end of 2026.

Our efforts continue

to concentrate on

client account migrations,

business clearance

activities and infrastructure decommissioning.

We remain

on track

to complete

the Swiss-booked

client account

migrations by

the end

of the

first quarter

of 2026.

By the end of

the fourth quarter of 2025, 85%

of Swiss-booked accounts had been migrated, and

the migration

of Personal & Corporate client accounts was

substantially complete.

At the end

of the fourth

quarter of 2025,

we had decommissioned

around 73% of

applications in our

Non-core

and Legacy division, and

we had materially completed

the transfer of Credit

Suisse International’s residual

business

and related products to UBS AG London Branch

and UBS Europe SE.

In the

fourth quarter

of 2025,

we realized

an additional

USD 0.7bn in

gross cost

savings. Cumulative

gross cost

savings at the

end of the

fourth quarter

of 2025 amounted

to USD 10.7bn

compared with

the 2022

combined cost

base of

UBS and

Credit Suisse. We

have identified additional

synergies, enabling us

to increase

our ambition

for

annualized exit rate gross cost savings

by the end of

2026 from around USD 13bn to approximately

USD 13.5bn.

expect

have

incurred

cumulative

integration-related expenses

around

USD 15bn

the

end

2026,

assuming constant foreign-exchange rates.

31 December

2025,

our

Non-core

and

Legacy

division

has

delivered

67%

reduction

risk-weighted

assets (RWA) since the

second quarter of

2023. We

have achieved a

reduction of

credit and

market risk RWA

around USD 5bn, and our ambition is to reduce

this further,

to around USD 4bn by the end of 2026.

Targets, ambitions and strategy update

Group targets, ambitions and guidance

We are on track to deliver on our exit rate

targets upon completion of the integration

by the end of 2026:

–

an underlying return on common equity tier 1

capital (RoCET1) of around 15% (exit

rate);

–

an underlying cost / income ratio of less than

70% (exit rate); and

–

gross cost savings

of around USD 13.5bn

(exit rate) compared with

the 2022 combined cost

base of UBS

and

Credit Suisse.

As we

complete the

integration, we

believe our

scale and

client franchises

will position

us to

sustainably deliver

higher returns.

We aim

to deliver

reported RoCET1

of around

18% in

2028 (based

on the

current capital

framework

and assuming a

common equity

tier 1 (CET1) capital

ratio of

around 14%)

and a reported

cost / income ratio of

around 67% in 2028.

Our capital guidance remains unchanged,

and we aim to maintain:

–

a CET1 capital ratio of around 14%;

and

–

a CET1 leverage ratio of greater than 4.0%.

Our business division ambitions are:

–

for Global Wealth

Management, more

than USD 5.5trn

of invested assets

by 2028,

more than USD

200bn of

net

new assets per annum from 2028 and a reported

cost / income ratio of around 68%;

–

for Personal & Corporate Banking,

a reported cost / income ratio of around 48% in 2028 and a reported return

on attributed equity of around 19% over the

medium term;

–

for

Asset

Management,

net

new

money

growth

rate

around

(through

the

cycle)

and

reported

cost / income ratio of around 65% in 2028;

and

–

for

the

Investment Bank,

unchanged

ambitions, with

reported

return

attributed equity

around 15%

(through the cycle).

UBS Group fourth quarter 2025 report

Recent developments

Capital returns

For the 2025 financial

year, the Board of

Directors plans to propose

a dividend to UBS

Group AG shareholders of

USD 1.10 per share.

Subject to approval

at the Annual

General Meeting, scheduled

for 15 April 2026,

the dividend

will be

paid on

23 April 2026

to shareholders

of record

on 22 April

2026. The

ex-dividend date

will be

21 April

2026

the

SIX

Swiss

Exchange

and

22 April

2026

the

New

York

Stock

Exchange.

are

committed

progressive dividends and plan to accrue for

a mid-teens percent increase in dividend per

share in 2026.

In the fourth quarter of 2025, we completed

our planned share repurchases of USD 3bn.

We intend to repurchase

USD 3bn of

shares in

2026 with

the aim

to do

more.

The amount

of additional repurchases

is subject

to further

clarity around

the future

regulatory regime

in Switzerland,

our financial

performance

and maintaining

a CET1

capital

ratio of around 14%.

Beyond 2026,

we intend

to continue

to pursue

a progressive

dividend complemented by

share repurchases

that

will

calibrated

based

our

financial

results,

our

capital

ratio

and

the

final

outcome

and

timing

the

implementation of the new regulatory regime

in Switzerland.

Regulatory and legal developments

US supervisory changes

US federal

banking agencies

have undertaken

several initiatives

to reform

supervisory standards

with the

stated

objective of

prioritizing material

financial risks.

In October

2025, the

Federal Deposit

Insurance Corporation

(the

FDIC) and the Office of

the Comptroller of the

Currency (the OCC) issued

two proposals. The first

proposal aims to

clarify

supervisory standards

regarding

the

circumstances under

which

deficiency

would

rise

the

level

supervisory finding or

enforcement action. The

second proposal would

prohibit examiners from

criticizing or taking

adverse action on

the basis of

reputational risk. In

November 2025, the

Federal Reserve Board

released a statement

of supervisory operating

principles that outlines

objectives for supervision,

expressing its focus

on material financial

risks over

process-based concerns.

The Federal

Reserve Board

has also

finalized a

rule to

amend its

supervisory rating

framework for

large bank

holding companies.

Under the

rule, which

became effective

on 16 January

2026, the

Federal Reserve Board

will take a more

holistic approach in

determining whether it

considers covered companies

be well managed. The impact of these will depend

on the implementation by examination

staff at these agencies.

addition, in

August 2025,

presidential executive

order directed

the US

federal banking

agencies to

identify

supervised

institutions

that

have

previously

engaged

are

currently

engaged

“politicized

unlawful

debanking”, which the order defined as restrictions on access to

financial services based on a customer’s political

or religious beliefs or lawful business activities. In

December 2025, the OCC released preliminary findings from its

supervisory review

of debanking

activities at the

nine largest national

banks that

it supervises.

The OCC determined

that

the

banks

had

policies

practices

that

limited

access

banking

services

for

certain

customers

and

has

recommended documentation of individualized,

objective, risk-based analyses for any decision to restrict

access to

banking services. The full impact of this issue will be

dependent on the outcome of ongoing debanking

reviews of

the OCC and other federal banking agencies.

In January 2026,

the OCC

issued a conditional

approval for

UBS Bank

USA’s application

to become

a national

bank.

Developments in the EU to simplify regulations

regarding environmental, social and governance

matters

December

2025,

legislators

reached

final

agreement

proposals

simplify

the

requirements

the

Corporate Sustainability

Reporting Directive

(the CSRD)

and the

Corporate Sustainability

Due Diligence

Directive

(the CSDDD) with a view to reducing the reporting and regulatory burden, particularly for smaller companies, and

to enhancing the EU’s competitiveness. The agreement

provides for a significantly reduced scope of application of

both the CSRD

and the CSDDD, while

maintaining their extra-territorial application. Companies within

the scope

of the

CSDDD will

be required

to take

a risk-based

approach when conducting

due diligence

and will

no longer

have to adopt a transition

plan for climate change

mitigation. EU Member

States will have to transpose

the revised

CSRD into national

law within the 12

months following its

entry into force, which

is expected in the

first quarter of

2026.

With

regard to

the CSDDD,

the transposition

deadline has

been

further postponed

until July

2028, with

compliance to be

achieved by July

2029. UBS AG, having

selected Germany as

its EU home

member state under

the EU Transparency directive,

and UBS Europe SE would

remain within the

scope of the

revised CSRD and become

subject to CSRD

reporting once Germany

has transposed this

directive.

We are

assessing the expected

impact of

scope changes of the revised CSDDD.

UBS Group fourth quarter 2025 report

Recent developments

1 January

2026,

simplification

measures

the

reporting

requirements

under

Art. 8

the

Taxonomy

Regulation became effective.

Companies have the option of

implementing the changes for

the 2025 financial year

or of

postponing until

the 2026

financial year.

The measures

aim

to reduce

the burden

and costs

of taxonomy

reporting for companies

pending the completion

of the comprehensive

review of the EU

Taxonomy Regulation and

related reporting rules in 2026. UBS is considering

the application of these measures to the

taxonomy reporting of

UBS AG standalone and UBS Europe SE consolidated

for the 2025 financial year.

Other developments

Repurchase of legacy Credit Suisse debt

In November

2025, UBS

repurchased USD 7.7bn aggregate

principal amount

of legacy

Credit Suisse

senior debt

instruments for an aggregate

acquisition cost of around

USD 8.5bn. UBS Group recognized

a net loss in the fourth

quarter of

USD 457m on

the retirement

of these

instruments, including

the release

of purchase

price allocation

adjustments of

USD 427m. The

net loss

expected to

be more

than offset

in future

periods by

lower ongoing

interest expense.

Sale of O’Connor business

31 December

2025,

UBS

Asset

Management

(Americas)

LLC

completed

the

first

closing

its

previously

announced sale

of its

O’Connor single

manager hedge fund,

private credit

and commodities platform

to Cantor

Fitzgerald. In connection with this

closing,

UBS recognized a loss

of USD 29m in the

fourth quarter of 2025. UBS

expects to

complete the

transfer of

the remaining

funds in

the first

quarter of

2026

and does

not expect

to recognize

any material profit or loss upon such completion.

Sale of our interest in Swisscard AECS GmbH

In January 2026, we completed the sale of our 50% interest in Swisscard AECS GmbH (Swisscard), a joint venture

in Switzerland between

UBS and American

Express Swiss Holdings

GmbH (American Express),

to American Express,

and expect

to record

a gain

on sale

in the

first quarter

of 2026.

As previously disclosed,

this gain

is expected

largely offset the effects related to the prior

Swisscard transactions recorded in the

fourth quarter of 2024 and the

first quarter of 2025.

Organizational changes

Mike

Dargan stepped

down as

Group

Chief Operations

and

Technology Officer

the end

of December

2025.

Effective

1 January

2026,

the

Group

Technology

function

reports

Beatriz

Martin

her

role

Group

Chief

Operating Officer.

UBS Group fourth quarter 2025 report |

UBS Group performance, business divisions

and Group Items

UBS Group performance,

business divisions and Group Items

Management report

Our businesses

We report

five business

divisions, each

of which

qualifies as

an operating

segment pursuant

to IFRS

Accounting

Standards: Global Wealth Management,

Personal & Corporate Banking,

Asset Management, the Investment

Bank,

and Non-core and Legacy. Non-core and Legacy consists of positions and businesses not aligned with our strategy

and policies.

Our Group

functions are

support and

control functions

that provide

services to

the Group.

Virtually all

costs incurred

by our Group functions are

allocated to the business divisions,

leaving a residual amount that

we refer to as Group

Items in our segment reporting.

UBS Group fourth quarter 2025 report |

UBS Group performance, business divisions

and Group Items | Group performance

Group performance

Income statement

For the quarter ended

% change from

For the year ended

USD m

31.12.25

30.9.25

31.12.24

3Q25

4Q24

31.12.25

31.12.24

Net interest income

2,172

1,981

1,838

7,747

7,108

Other net income from financial instruments measured

at fair value through profit or loss

3,163

3,502

3,144

(10)

14,011

14,690

Net fee and commission income

7,223

7,204

6,598

27,912

26,138

Other income

(412)

(96)

675

Total revenues

12,145

12,760

11,635

(5)

49,573

48,611

Credit loss expense / (release)

159

102

229

(31)

524

551

Personnel expenses

6,681

7,172

6,361

(7)

27,861

27,318

General and administrative expenses

2,740

1,755

3,004

(9)

8,807

10,124

Depreciation, amortization and impairment of non-financial

assets

865

904

994

(4)

(13)

3,529

3,798

Operating expenses

10,286

9,831

10,359

(1)

40,197

41,239

Operating profit / (loss) before tax

1,700

2,828

1,047

(40)

8,853

6,821

Tax expense / (benefit)

495

341

268

1,056

1,675

Net profit / (loss)

1,205

2,487

779

(52)

7,797

5,146

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

(27)

Net profit / (loss) attributable to shareholders

1,199

2,481

770

(52)

7,767

5,085

Comprehensive income

Total comprehensive income

1,270

2,073

(1,878)

(39)

12,045

3,401

Total comprehensive income attributable to non-controlling interests

(6)

(27)

(79)

Total comprehensive income attributable to shareholders

1,275

2,067

(1,851)

(38)

11,998

3,388

UBS Group fourth quarter 2025 report |

UBS Group performance, business divisions

and Group Items | Group performance

Selected financial information of the business divisions and Group Items

For the quarter ended 31.12.25

USD m

Global Wealth

Management

Personal &

Corporate

Banking

Asset

Management

Investment

Bank

Non-core and

Legacy

Group Items

Total

Total revenues as reported

6,695

2,286

800

2,946

(8)

(575)

12,145

of which: PPA effects and other integration items

135

226

(404)

of which: loss related to an investment in an associate

(20)

(54)

(74)

Total revenues (underlying)

6,580

2,114

800

2,885

(10)

(171)

12,199

Credit loss expense / (release)

101

(12)

159

Operating expenses as reported

5,373

1,621

588

2,272

459

(27)

10,286

of which: integration-related expenses and PPA effects

384

285

124

233

1,117

Operating expenses (underlying)

4,989

1,336

531

2,148

226

(62)

9,169

Operating profit / (loss) before tax as reported

1,290

565

212

640

(455)

(552)

1,700

Operating profit / (loss) before tax (underlying)

1,558

678

268

703

(224)

(113)

2,871

For the quarter ended 30.9.25

USD m

Global Wealth

Management

Personal &

Corporate

Banking

Asset

Management

Investment

Bank

Non-core and

Legacy

Group Items

Total

Total revenues as reported

6,543

2,321

843

3,244

(40)

(149)

12,760

of which: PPA effects and other integration items

171

276

219

701

of which: loss related to an investment in an associate

(38)

(102)

(140)

Total revenues (underlying)

6,410

2,147

843

3,025

(42)

(183)

12,199

Credit loss expense / (release)

102

Operating expenses as reported

5,182

1,619

624

2,327

9,831

of which: integration-related expenses and PPA effects

553

376

106

205

1,323

Operating expenses (underlying)

4,629

1,242

560

2,221

(149)

8,507

Operating profit / (loss) before tax as reported

1,354

631

218

900

(102)

(173)

2,828

Operating profit / (loss) before tax (underlying)

1,774

833

282

787

102

(187)

3,590

For the quarter ended 31.12.24

USD m

Global Wealth

Management

Personal &

Corporate

Banking

Asset

Management

Investment

Bank

Non-core and

Legacy

Group Items

Total

Total revenues as reported

6,121

2,245

766

2,749

(58)

(188)

11,635

of which: PPA effects and other integration items

200

258

202

(4)

656

of which: loss related to an investment in an associate

(21)

(59)

(80)

Total revenues (underlying)

5,942

2,047

766

2,547

(58)

(184)

11,059

Credit loss expense / (release)

(14)

175

229

Operating expenses as reported

5,268

1,476

639

2,207

858

(88)

10,359

of which: integration-related expenses and PPA effects

460

209

174

317

(1)

1,255

of which: items related to the Swisscard transactions

Operating expenses (underlying)

4,808

1,226

543

2,032

541

(88)

9,062

Operating profit / (loss) before tax as reported

867

595

128

479

(923)

(100)

1,047

Operating profit / (loss) before tax (underlying)

1,147

646

224

452

(606)

(96)

1,768

1 Includes accretion

of PPA

adjustments on financial

instruments and other

PPA effects,

as well as

temporary and incremental

items directly related

to the integration.

2 Includes a USD

457m net loss

from the

repurchase of legacy Credit Suisse debt instruments, as the repurchase price exceeded the amortized-cost carrying value (the net loss reflects a loss of USD 885m before PPA adjustments,

partly offset by a USD 427m

gain from the release of PPA adjustments).

3 Includes temporary, incremental operating expenses directly related to the integration, as well as amortization

of intangibles resulting from the acquisition of the Credit

Suisse Group.

4 Includes a USD 128m gain from

the sale of a stake

in a subsidiary, Credit

Suisse Securities (China) Limited.

5 Represents the termination fee paid

to American Express related to

the sale of our

50% holding in Swisscard.

UBS Group fourth quarter 2025 report |

UBS Group performance, business divisions

and Group Items | Group performance

Selected financial information of the business divisions and Group Items (continued)

For the year ended 31.12.25

USD m

Global Wealth

Management

Personal &

Corporate

Banking

Asset

Management

Investment

Bank

Non-core and

Legacy

Group Items

Total

Total revenues as reported

25,960

9,154

3,156

12,340

154

(1,190)

49,573

of which: PPA effects and other integration items

624

1,016

570

(323)

1,892

of which: loss related to an investment in an associate

(62)

(168)

(230)

of which: items related to the Swisscard transactions

Total revenues (underlying)

25,398

8,242

3,156

11,769

150

(867)

47,848

Credit loss expense / (release)

339

133

(1)

524

Operating expenses as reported

20,705

6,318

2,436

9,387

1,353

(2)

40,197

of which: integration-related expenses and PPA effects

1,675

1,093

256

463

882

4,422

of which: items related to the Swisscard transactions

180

Operating expenses (underlying)

19,030

5,045

2,179

8,924

472

(56)

35,595

Operating profit / (loss) before tax as reported

5,207

2,497

719

2,819

(1,199)

(1,190)

8,853

Operating profit / (loss) before tax (underlying)

6,320

2,857

975

2,712

(321)

(813)

11,729

For the year ended 31.12.24

USD m

Global Wealth

Management

Personal &

Corporate

Banking

Asset

Management

Investment

Bank

Non-core and

Legacy

Group Items

Total

Total revenues as reported

24,516

9,334

3,182

10,948

1,605

(975)

48,611

of which: PPA effects and other integration items

891

1,038

989

(41)

2,877

of which: loss related to an investment in an associate

(21)

(59)

(80)

Total revenues (underlying)

23,646

8,355

3,182

9,958

1,605

(933)

45,814

Credit loss expense / (release)

(16)

404

(1)

(2)

551

Operating expenses as reported

20,608

5,741

2,663

8,934

3,512

(220)

41,239

of which: integration-related expenses and PPA effects

1,807

749

351

717

1,154

(12)

4,766

of which: items related to the Swisscard transactions

Operating expenses (underlying)

18,802

4,951

2,312

8,217

2,359

(208)

36,432

Operating profit / (loss) before tax as reported

3,924

3,189

520

1,917

(1,976)

(752)

6,821

Operating profit / (loss) before tax (underlying)

4,860

3,000

871

1,644

(822)

(723)

8,831

1 Includes accretion of PPA adjustments

on financial instruments and other PPA

effects, as well as temporary and incremental

items directly related to the integration.

2 Includes a USD

128m gain from the sale of

a stake in a subsidiary,

Credit Suisse Securities (China) Limited.

3 Includes a USD 457m net loss

from the repurchase of legacy Credit

Suisse debt instruments, as

the repurchase price exceeded the amortized

-cost

carrying value (the net loss reflects a loss of USD 885m before PPA adjustments,

partly offset by a USD 427m gain from the release of PPA

adjustments).

4 Represents the gain related to UBS’s share of the income

recorded by Swisscard for the sale of the Credit Suisse card portfolios to UBS.

5 Includes temporary, incremental operating expenses directly related to the integration, as well as amortization of intangibles resulting

from the acquisition of

the Credit Suisse Group.

6 Represents the expense related

to the payment to

Swisscard for the sale

of the Credit Suisse

card portfolios to UBS.

7 Represents the termination

fee paid to

American Express related to the sale of our 50% holding in Swisscard.

Net integration-related expenses, by business division and Group Items

For the quarter ended

For the year ended

USD m

31.12.25

30.9.25

31.12.24

31.12.25

31.12.24

Global Wealth Management

381

550

458

1,665

1,845

Personal & Corporate Banking

259

350

183

988

654

Asset Management

256

351

Investment Bank

125

(22)

174

336

717

Non-core and Legacy

231

204

317

877

1,154

Group Items

888

890

Net integration-related expenses

1,941

1,146

1,233

5,013

4,757

of which: total revenues

853

(149)

705

1, 2

104

of which: operating expenses

1,089

1,295

1,227

4,308

4,653

of which: personnel expenses

563

726

599

2,467

2,541

of which: general and administrative expenses

433

472

484

1,498

1,681

of which: depreciation, amortization and impairment of non-financial

assets

144

343

430

1 Includes a USD 128m gain from the sale of a stake in a subsidiary, Credit Suisse

Securities (China) Limited.

2 Includes an USD 885m loss from the repurchase of legacy Credit Suisse debt instruments, excluding

partly offsetting gain of USD 427m from the release of PPA adjustments (a net loss of USD 457m was

recognized on retirement of these instruments in the fourth quarter of 2025).

3 Negative values represent net

income.

Underlying results

In addition to

reporting our

results in accordance

with IFRS Accounting

Standards, we

report underlying results

that

exclude items of profit or loss that management

believes are not representative of

the underlying performance.

the

fourth

quarter

2025,

underlying

revenues

excluded

purchase

price

allocation

(PPA)

effects

and

other

integration items,

including a

net loss

from the

repurchase

of legacy

Credit Suisse

debt instruments.

PPA effects

mainly consisted

of PPA

adjustments on

financial instruments measured

at amortized

cost, including

off-balance

sheet positions, arising from the acquisition of the Credit Suisse Group. Accretion of PPA adjustments on financial

instruments is accelerated

when the related

financial instrument

is derecognized

before its contractual

maturity. No

adjustment is made for

accretion of PPA on

financial instruments within

Non-core and Legacy, due

to the nature of

its business model.

Underlying revenues also excluded a loss relating

to an investment in an associate.

UBS Group fourth quarter 2025 report |

UBS Group performance, business divisions

and Group Items | Group performance

the

fourth

quarter

2025,

underlying

expenses

excluded

integration-related

expenses

that

are

temporary,

incremental and directly

related to the

integration of Credit

Suisse into

UBS, including costs

of internal

staff and

contractors

substantially

dedicated

integration

activities,

retention

awards,

redundancy

costs,

incremental

expenses from

the shortening

of useful lives

of property,

equipment and software,

and impairment charges

relating

these

assets.

Classification

integration-related

expenses

does

not

affect

the

timing

recognition

and

measurement of those expenses or the presentation

thereof in the income statement.

Results: 4Q25 vs 4Q24

Reported operating

profit before

tax increased

by USD 653m,

or 62%,

to USD 1,700m, reflecting

an increase

total

revenues

and

decrease

operating

expenses,

well

lower

net

credit

loss

expenses.

Total

revenues

increased by USD 510m, or 4%, to USD 12,145m, which included an increase from foreign currency

effects and a

decrease

of USD

636m in

accretion impacts

resulting from

PPA

adjustments on

financial

instruments and

other

integration items. The increase

in total revenues

was primarily driven

by an increase

of USD 625m in

net fee and

commission income

and an

increase of

USD 352m in

combined net

interest income

and other

net income

from

financial instruments measured at fair value

through profit or loss, partly

offset by a USD 468m

decrease in other

income, largely

reflecting a

net loss

of USD 457m

from the

repurchase

of legacy Credit

Suisse debt

instruments.

Operating expenses

decreased by

USD 73m, or

1%, to

USD 10,286m, which

included a

USD 138m decrease

integration-related

expenses

and

increase

from

foreign

currency

effects.

The

overall

reduction

operating

expenses reflected decreases of USD 264m

in general and administrative expenses and USD 129m

in expenses for

depreciation,

amortization

and

impairment

non-financial

assets,

partly

offset

USD 320m

increase

personnel expenses.

Net credit loss expenses were USD 159m, compared with USD 229m

in the fourth quarter of

2024.

›

Refer to “Other developments” in the “Recent developments” section of this report for more information about the

repurchase of legacy Credit Suisse debt

Underlying results 4Q25 vs 4Q24

Underlying revenues for the fourth quarter of 2025 excluded

PPA effects and other integration items of

USD 20m,

including a net loss of USD 457m from the

repurchase

of legacy Credit Suisse debt instruments,

and also excluded

a USD 74m loss relating to

an investment in an associate.

Underlying operating expenses excluded

USD 1,117m

integration-related expenses and PPA effects.

underlying

basis,

profit

before

tax

increased

USD 1,103m

USD 2,871m,

reflecting

USD 1,140m

increase in

total revenues

and a

USD 70m decrease

in net

credit loss

expenses, partly

offset by

a USD 107m

increase

in operating expenses.

Total revenues: 4Q25 vs 4Q24

Net interest income and other net income

from financial instruments measured at

fair value through profit or loss

Total combined

net interest

income and

other net

income from

financial instruments

measured at

fair value

through

profit or

loss increased

by USD 352m

to USD 5,334m

and included

a decrease

of USD 85m

in accretion

impacts

resulting from PPA adjustments on financial

instruments and other PPA effects.

Global Wealth Management

revenues increased by

USD 83m to USD

2,300m, which

included a

USD 62m

decrease

accretion

PPA

adjustments

financial

instruments

and

other

PPA

effects.

Excluding

the

aforementioned

effects, net interest income

increased, largely driven

by the effects of

favorable changes in

deposit mix and positive

foreign currency effects,

partly offset by the impact of

lower central bank interest rates

on deposit revenues. There

was

also

increase of

USD 100m

transaction-based income

from foreign

exchange and

other

intermediary

activity.

Personal

Corporate

Banking

revenues

decreased

USD

32m

USD

1,540m,

which

included

USD

38m

decrease

accretion

PPA

adjustments

financial

instruments

and

other

PPA

effects.

Excluding

the

aforementioned effects, net interest income was

broadly stable, as a

decrease due to the

impact of lower central

bank interest

rates on

deposit revenues

was largely

offset by

positive foreign

currency effects

and impacts

from

deposit pricing measures and lower liquidity

and funding costs.

UBS Group fourth quarter 2025 report |

UBS Group performance, business divisions

and Group Items | Group performance

Investment Bank revenues

increased by USD 183m

to USD 1,738m, including

a USD 5m decrease

in accretion of

PPA adjustments on financial instruments and other PPA effects. The revenues included a gain of USD 102m from

a strategic

equity investment in

Global Markets.

Excluding the aforementioned

effects, the growth

was primarily

due to higher revenues

in Derivatives & Solutions, mainly

driven by Foreign Exchange and

Equity Derivatives from

higher levels of client activity.

Non-core and Legacy revenues

were negative USD 60m, compared with negative USD 153m in the fourth quarter

of 2024, mainly due to

lower liquidity and funding

costs, partly offset by

lower net interest income,

as a result of a

smaller portfolio, and further offset by higher markdowns.

Revenues in Group

Items were

negative USD 181m, compared

with negative USD 202m

in the

fourth quarter of

2024, and

included a USD 20m

increase in

accretion of PPA

adjustments on

financial instruments and

other PPA

effects.

›

Refer to the relevant business division and Group Items commentary in this section for more information about the

specific revenues of each of the business divisions and Group Items

Net interest income and other net income from financial instruments measured at fair value through profit or loss

For the quarter ended

% change from

For the year ended

USD m

31.12.25

30.9.25

31.12.24

3Q25

4Q24

31.12.25

31.12.24

Net interest income from financial instruments measured

at amortized cost and fair value

through other comprehensive income

577

329

(55)

1,404

Net interest income from financial instruments measured

at fair value through profit or

loss and other

1,594

1,652

1,893

(4)

(16)

6,343

7,061

Other net income from financial instruments measured

at fair value through profit or loss

3,163

3,502

3,144

(10)

14,011

14,690

Total

5,334

5,483

4,982

(3)

21,758

21,798

Global Wealth Management

2,300

2,192

2,217

8,854

9,031

of which: net interest income

1,832

1,773

1,849

(1)

7,018

7,358

of which: transaction-based income from foreign exchange and other

intermediary

activity

468

419

368

1,836

1,673

Personal & Corporate Banking

1,540

1,626

1,572

(5)

(2)

6,178

6,479

of which: net interest income

1,322

1,395

1,362

(5)

(3)

5,322

5,650

of which: transaction-based income from foreign exchange and other

intermediary

activity

218

231

209

(5)

856

829

Asset Management

(3)

(9)

(5)

(70)

(49)

(16)

Investment Bank

1,738

1,870

1,555

(7)

7,536

6,164

Non-core and Legacy

(60)

(43)

(153)

(61)

(24)

1,163

Group Items

(181)

(153)

(202)

(11)

(771)

(1,054)

1 Mainly includes spread-related income in connection with client-driven transactions, foreign currency

translation effects and income and expenses from precious metals, which are included in the income statement

line Other net income from financial instruments measured

at fair value through profit or loss.

The amounts reported on this line are

one component of Transaction-based

income in the management discussion and

analysis in the “Global Wealth Management” and “Personal & Corporate Banking” sections

of this report.

Net fee and commission income

Net fee and commission income increased

by USD 625m

to USD 7,223m

and included a decrease of USD

131m in

accretion of PPA adjustments on financial instruments and other PPA effects, which was reflected in other fee and

commission income, predominantly in Global

Banking in the Investment Bank.

Fees for

portfolio management,

investment funds

and related

services increased

by USD 441m

to USD 5,106m.

These fees

are largely

recurring and

are mainly

driven by

portfolio management

and asset-based

fund fees

in Global

Wealth Management

and management

fees in

Asset Management.

The year-on-year

increase in

Global Wealth

Management

was

mainly

driven

higher

average

levels

fee-generating

assets,

primarily

from

mandates,

reflecting

positive

market

performance

and

net

new

fee-generating

asset

inflows

2025.

Increases

Asset

Management

were

mainly

driven

higher

average

levels

invested

assets,

primarily

from

positive

market

performance and foreign currency effects,

partly offset by ongoing margin compression.

Net

brokerage

fees

increased

USD 253m

USD 1,334m,

driven

increased

volumes

Cash

Equities

Execution Services

in the

Investment Bank,

led by the

Asia Pacific region,

and higher

levels of

client activity

in Global

Wealth Management across all regions.

Other income

was negative

USD 412m, compared

with positive

USD 56m

in the fourth

quarter of 2024.

The fourth

quarter of 2025 included a net loss of USD 457m from

the repurchase of legacy Credit Suisse debt instruments.

addition, a

loss of

USD 74m relating

to an

investment in

an associate

was recognized,

compared with

a loss

USD 80m in the fourth quarter of 2024.

The fourth quarter of 2025 also included

a net loss in Asset Management

of USD 29m

related to

the sale

of its

O’Connor business.

The losses

were partly

offset by

a release

of USD 42m

related to other financial liabilities in Global Wealth

Management.

UBS Group fourth quarter 2025 report |

UBS Group performance, business divisions

and Group Items | Group performance

Credit loss expense / release: 4Q25 vs 4Q24

Total net

credit loss

expenses in the

fourth quarter of

2025 were

USD 159m, reflecting net

releases of USD 15m

performing

positions

and

net

expenses

USD 174m

credit-impaired

positions.

Net

credit

loss

expenses were USD 229m

in the fourth quarter of 2024.

Credit loss expense / (release)

Performing positions

Credit-impaired positions

USD m

Stages 1 and 2

Stage 3

Purchased

Total

For the quarter ended 31.12.25

Global Wealth Management

Personal & Corporate Banking

(16)

116

101

Asset Management

Investment Bank

(2)

Non-core and Legacy

(2)

(10)

(12)

Group Items

Total

(15)

184

(10)

159

For the quarter ended 30.9.25

Global Wealth Management

(4)

Personal & Corporate Banking

Asset Management

Investment Bank

Non-core and Legacy

Group Items

Total

102

For the quarter ended 31.12.24

Global Wealth Management

(26)

(14)

Personal & Corporate Banking

(24)

199

175

Asset Management

Investment Bank

Non-core and Legacy

(2)

Group Items

(1)

Total

(21)

247

229

Operating expenses: 4Q25 vs 4Q24

Operating expenses

For the quarter ended

% change from

For the year ended

USD m

31.12.25

30.9.25

31.12.24

3Q25

4Q24

31.12.25

31.12.24

Personnel expenses

6,681

7,172

6,361

(7)

27,861

27,318

of which: salaries and variable compensation

5,564

5,906

5,321

(6)

23,338

23,047

of which: variable compensation – financial advisors

1,492

1,419

1,400

5,654

5,293

General and administrative expenses

2,740

1,755

3,004

(9)

8,807

10,124

of which: net expenses / (releases) for litigation, regulatory

and similar matters

(668)

(83)

(949)

(128)

Depreciation, amortization and impairment of non-financial

assets

865

904

994

(4)

(13)

3,529

3,798

Total operating expenses

10,286

9,831

10,359

(1)

40,197

41,239

1 Financial advisor compensation consists of cash

compensation, determined using a formulaic

approach based on production, and

deferred awards. It also

includes expenses related to compensation commitments

with financial advisors entered into at the time of recruitment that are subject to vesting requirements.

Personnel expenses

Personnel

expenses

increased

USD 320m

USD 6,681m,

mainly

driven

increase

accruals

for

performance awards, reflecting

business performance,

and an increase in financial

advisor compensation,

resulting

from higher compensable revenues.

Salary expenses were broadly

unchanged, as increases

due to foreign currency

effects were almost entirely offset by the impact

of a smaller workforce.

UBS Group fourth quarter 2025 report |

UBS Group performance, business divisions

and Group Items | Group performance

General and administrative expenses

General

and

administrative

expenses

decreased

USD 264m

USD 2,740m,

mainly

driven

USD 134m

decrease in consulting,

legal and audit fees

and an USD 82m

decrease in net

expenses for litigation,

regulatory and

similar

matters.

addition,

the

fourth

quarter

2024

reflected

USD 41m

expense

the

Swisscard

transactions.

There

were

also

decreases

USD 36m

marketing

and

communication

costs,

USD 34m

outsourcing costs, and USD 33m

in real estate and logistics costs.

The decreases were partly offset by

a USD 139m

increase in technology costs, largely driven by

the recognition of provisions for onerous contracts

related to IT, and

a USD 25m increase in donation expenses,

due to higher contributions to the UBS

Optimus Foundation.

›

Refer to “Other developments” in the “Recent developments” section and “Provisions and contingent liabilities” in

the “Consolidated financial information” section of this report for more information about litigation, regulatory

and similar matters

›

Refer to the “Regulatory and legal developments” and “Risk factors” sections of the UBS Group Annual Report

2024, available under “Annual reporting” at

ubs.com/investors

, for more information about litigation, regulatory

and similar matters

Depreciation, amortization and impairment of

non-financial assets

Depreciation, amortization

and impairment

of non-financial

assets decreased

by USD 129m

to USD 865m,

primarily

reflecting

USD 71m

decrease

depreciation

leased

real

estate

result

higher

levels

accelerated

depreciation

the

fourth

quarter

2024,

driven

integration

activities.

addition,

there

was

USD 47m

decrease in the depreciation

of IT and communication

equipment, mainly driven

by internally generated

capitalized

software,

reflecting a lower cost base of software assets.

Tax: 4Q25 vs 4Q24

The Group had a

net income tax

expense of USD 495m

in the fourth quarter

of 2025, representing

an effective tax

rate of 29.1%, compared with USD 268m in the

fourth quarter of 2024 and an effective

tax rate of 25.6%.

The net current tax expense was USD 276m, which

primarily related to the taxable profits of UBS

Switzerland AG

and other entities.

There was

a net

deferred tax

expense of

USD 219m. This

reflects a

net deferred

tax expense

of USD 287m

that

primarily related

to the

amortization of

deferred tax

assets (DTAs)

previously recognized

in relation

to tax

losses

carried

forward

and

deductible

temporary

differences,

partly

offset

net

benefit

USD 68m

revaluations of DTAs for certain entities in

connection with our business planning

process.

For the

full year

2026, we

expect a

tax rate

of around

23%, excluding

any potential

effects from

the remeasurement

of DTAs in

connection with

the business planning

process for 2026

and any material

jurisdictional statutory

tax rate

changes that could be enacted.

Total comprehensive income attributable

to shareholders

In the

fourth quarter

of 2025,

total comprehensive

income attributable

to shareholders

was USD 1,275m,

reflecting

a net profit of USD 1,199m and other comprehensive

income (OCI), net of tax, of USD 76m.

Foreign currency translation OCI

was USD 144m, mainly due

to the US

dollar weakening against the

Swiss franc,

and including a

positive effect from

UBS’s share of

a foreign currency

translation loss that

was reclassified from

OCI

to the income statement by an associate of

UBS.

OCI related to own credit on financial liabilities designated at fair value was negative USD 87m, primarily due to a

tightening of our own credit spreads.

›

Refer to “Statement of comprehensive income” in the “Consolidated financial information” section of this report

for more information

›

Refer to “Reconciliation of equity under IFRS Accounting Standards to Swiss SRB common equity tier 1 capital” in

the “Capital management” section of this report for more information about the effects of OCI on common equity

tier 1 capital

›

Refer to “Note 21 Fair value measurement” in the “Consolidated financial statements” section of the UBS Group

Annual Report 2024, available under “Annual reporting” at

ubs.com/investors

, for more information about own

credit on financial liabilities designated at fair value

UBS Group fourth quarter 2025 report |

UBS Group performance, business divisions

and Group Items | Group performance

Sensitivity to interest rate movements

As of

31 December 2025, it

is estimated

that a

parallel shift

in yield

curves by

+100 basis

points could lead

to a

combined increase in

annual net interest

income from our

banking book of

approximately USD 1.4bn in

the first

year after

such a

shift. Of

this increase,

approximately USD 1.1bn, USD 0.2bn

and USD 0.1bn

would result

from

changes in Swiss franc, US dollar and euro

interest rates, respectively.

A parallel shift in yield

curves by –100 basis points

could lead to a combined

increase in annual net

interest income

of approximately

USD 0.9bn. Of this increase, approximately USD 1.2bn would result from changes in Swiss franc

interest rates,

driven by both

contractual and

assumed flooring

benefits under

negative interest

rates. US dollar

and

euro interest rates would lead to an offsetting

decrease of USD 0.2bn and USD 0.1bn, respectively.

These estimates do not represent net interest income forecasts, as they are based

on a hypothetical scenario of an

immediate

change

interest

rates,

equal

across

all

currencies

and

relative

implied

forward

rates

31 December 2025

applied to our banking book. These estimates further

assume no change to balance sheet size

and product mix, stable foreign exchange rates,

and no specific management action.

›

Refer to the “Risk management and control” section of this report for information about interest rate risk in the

banking book

Key figures and personnel

Below is

an overview

of selected

key figures

of the

Group. For

further information

about key

figures related

capital management, refer to the “Capital management”

section of this report.

Cost / income ratio: 4Q25 vs 4Q24

The cost / income

ratio was

84.7%, compared

with 89.0%,

as a

result of

higher total

revenues and

lower operating

expenses.

On an underlying basis the cost / income ratio was 75.2%, compared with 81.9%, as a result of higher

total revenues,

partly offset by higher operating expenses.

Personnel: 4Q25 vs 3Q25

The

number

internal

and

external

personnel

employed

was

approximately

119,589

(based

full-time

equivalents for

internal

personnel and

workforce count

for

external personnel)

31 December 2025,

net

decrease

2,793

compared

with

30 September

2025.

The

number

internal

personnel

employed

31 December 2025

was 103,177

(full-time equivalents),

net

decrease

1,250

compared with

30 September

2025. The number of

external staff was approximately 16,412

(workforce count) as of

31 December 2025, a net

decrease of approximately 1,542 compared with

30 September 2025.

Equity, CET1 capital and returns

As of or for the quarter ended

As of or for the year ended

USD m, except where indicated

31.12.25

30.9.25

31.12.24

31.12.25

31.12.24

Net profit

Net profit / (loss) attributable to shareholders

1,199

2,481

770

7,767

5,085

Equity

Equity attributable to shareholders

90,213

89,899

85,079

90,213

85,079

less: goodwill and intangible assets

6,948

6,982

6,887

6,948

6,887

Tangible equity attributable to shareholders

83,265

82,916

78,192

83,265

78,192

less: other CET1 adjustments

12,003

8,262

6,825

12,003

6,825

CET1 capital

71,262

74,655

71,367

71,262

71,367

Returns

Return on equity (%)

5.3

11.1

3.6

8.8

6.0

Return on tangible equity (%)

5.8

12.0

3.9

9.5

6.5

Underlying return on tangible equity (%)

10.5

14.6

6.6

12.1

8.5

Return on CET1 capital (%)

6.6

13.5

4.2

10.8

6.7

Underlying return on CET1 capital (%)

11.9

16.3

7.2

13.7

8.7

UBS Group fourth quarter 2025 report |

UBS Group performance, business divisions

and Group Items | Group performance

Common equity tier 1 capital: 4Q25 vs 3Q25

During

the

fourth

quarter

2025,

our

common

equity

tier 1

(CET1)

capital

decreased

USD 3.4bn

USD 71.3bn,

mainly

reflecting

operating

profit

before

tax

USD 1.7bn,

which

was

than

offset

the

recognition of a

new USD 3.0bn capital

reserve for expected

future share repurchases

in 2026, dividend

accruals of

USD 1.1bn,

negative

USD 0.3bn

impact

from

compensation-

and

own-share-related

capital

components,

USD 0.3bn decrease

in eligible

deferred tax

assets on

temporary differences,

and current

tax expenses

of USD 0.3bn.

Share repurchases

of USD 0.9bn made

under our 2025

share repurchase

program in the

fourth quarter

of 2025 did

not affect our

CET1 capital

position, as there

was an

equal reduction

in the capital

reserve for

expected future

repurchases in 2025. The remaining

capital reserve for expected

future share repurchases in

2025 was fully utilized

in the fourth quarter of 2025 with the completion

of our 2025 share repurchase program

on 20 November 2025.

Return on common equity tier 1 capital: 4Q25

vs 4Q24

The annualized

return on

CET1 capital

was 6.6%,

compared with

4.2%. On

an underlying

basis, the

return on

CET1 capital

was 11.9%,

compared with

7.2%. These

increases were

driven by

an increase

in net

profit attributable

to shareholders and a decrease in average

CET1 capital.

Risk-weighted assets: 4Q25 vs 3Q25

During the fourth quarter of 2025, risk-weighted assets (RWA) decreased by

USD 11.5bn to USD 493.4bn, driven

by a

USD 10.8bn decrease

resulting from

asset size

and other

movements and

a USD 1.3bn

decrease driven

model updates and methodology changes,

partly offset by a USD 0.6bn increase

from currency effects.

Common equity tier 1 capital ratio: 4Q25 vs 3Q25

Our

CET1 capital

ratio

decreased to

14.4% from

14.8%, reflecting

the aforementioned

USD 3.4bn decrease

CET1 capital,

partly offset by the aforementioned USD

11.5bn decrease in RWA.

Leverage ratio denominator: 4Q25 vs 3Q25

During

the

fourth

quarter

2025,

the

leverage

ratio

denominator

(the

LRD)

decreased

USD 18.0bn

USD 1,622.4bn,

driven

USD 18.9bn

decrease

from

asset

size

and

other

movements,

partly

offset

USD 0.8bn increase from currency effects.

Common equity tier 1 leverage ratio: 4Q25

vs 3Q25

Our CET1

leverage ratio

decreased to

4.4% from

4.6%,

reflecting the

aforementioned USD

3.4bn decrease

in CET1

capital,

partly offset by the aforementioned USD

18.0bn decrease in the LRD.

Outlook

Entering the

first quarter

of 2026,

the macro

backdrop is

still one

of steady

global growth

and easing

inflation.

Market

conditions

remain

largely

constructive,

with

broader

equity

dispersion

and

rotation

supporting

client

engagement

and

healthy

transactional

and

capital

markets

activity,

and

pipeline.

Demand

remains

focused

diversification across

geographies and

asset classes,

as well

as principal

protection. However, continued

elevated

geopolitical and economic policy uncertainties mean sentiment and positioning can shift quickly, leading to spikes

in volatility influencing institutional and

corporate client activity levels.

In the

first quarter, we

expect a

low single-digit percentage

decline in

Global Wealth Management’s

net interest

income (NII), while in Personal & Corporate Banking

NII is expected to remain broadly stable in

US dollar terms.

We remain

track to

complete the

integration by

the end

the year,

and we

are

confident in

our

ability to

achieve our

financial targets.

As all

of 2026

is required

to deliver

on the

remaining integration

milestones, we

expect

net saves to build progressively,

with a greater proportion weighted to the

second half of the year.

We remain firmly focused on

disciplined execution, bringing the full

power of UBS to

our clients and investing

sustain growth momentum, supporting continued

value creation in the years ahead.

UBS Group fourth quarter 2025 report |

UBS Group performance, business divisions

and Group Items | Global Wealth Management

Global Wealth Management

As of or for the quarter ended

% change from

As of or for the year

ended

USD m, except where indicated

31.12.25

30.9.25

31.12.24

3Q25

4Q24

31.12.25

31.12.24

Results

Net interest income

1,832

1,773

1,849

(1)

7,018

7,358

Recurring net fee income

3,566

3,475

3,262

13,671

12,625

Transaction-based income

1,2

1,248

1,296

1,041

(4)

5,208

4,503

Other revenues

1,2

(1)

(32)

Total revenues

6,695

6,543

6,121

25,960

24,516

Credit loss expense / (release)

(14)

349

(16)

Operating expenses

5,373

5,182

5,268

20,705

20,608

Business division operating profit / (loss) before tax

1,290

1,354

867

(5)

5,207

3,924

Underlying results

Total revenues as reported

6,695

6,543

6,121

25,960

24,516

of which: PPA effects and other integration items

135

171

200

(21)

(32)

624

891

of which: PPA effects recognized in net interest income

130

142

192

(8)

(32)

579

910

of which: PPA effects and other integration items recognized in transaction-based income

(83)

(38)

(19)

of which: loss related to an investment in an associate

(20)

(38)

(21)

(47)

(4)

(62)

(21)

Total revenues (underlying)

6,580

6,410

5,942

25,398

23,646

Credit loss expense / (release)

(14)

349

(16)

Operating expenses as reported

5,373

5,182

5,268

20,705

20,608

of which: integration-related expenses and PPA effects

1,4

384

553

460

(31)

(17)

1,675

1,807

Operating expenses (underlying)

4,989

4,629

4,808

19,030

18,802

of which: net expenses / (releases) for litigation, regulatory

and similar matters

(3)

(198)

100

(99)

(173)

147

Business division operating profit / (loss) before tax as reported

1,290

1,354

867

(5)

5,207

3,924

Business division operating profit / (loss) before tax (underlying)

1,558

1,774

1,147

(12)

6,320

4,860

Performance measures and other information

Pre-tax profit growth (year-on-year, %)

48.8

24.8

209.8

32.7

13.9

Cost / income ratio (%)

80.3

79.2

86.1

79.8

84.1

Average attributed equity (USD bn)

34.5

33.6

34.2

33.3

Return on attributed equity (%)

1,5

14.9

15.7

10.3

15.2

11.8

Financial advisor compensation

1,492

1,419

1,400

5,654

5,292

Net new fee-generating assets (USD bn)

8.7

8.8

13.3

52.2

61.7

Fee-generating assets (USD bn)

2,108

2,066

1,816

2,108

1,816

Net new assets (USD bn)

8.5

37.5

17.7

100.8

96.7

Net new assets growth rate (%)

0.7

3.3

1.7

2.4

2.5

Invested assets (USD bn)

4,753

4,714

4,182

4,753

4,182

Net new loans (USD bn)

4.5

3.5

(0.8)

13.6

(11.8)

Loans, gross (USD bn)

327.2

322.0

300.5

327.2

300.5

Net new deposits (USD bn)

0.6

(9.5)

2.7

(9.2)

0.9

Customer deposits (USD bn)

479.1

478.2

470.1

479.1

470.1

Credit-impaired loan portfolio as a percentage of total loan

portfolio, gross (%)

1,8

0.5

0.4

0.5

0.4

Advisors (full-time equivalents)

9,420

9,499

9,803

(1)

(4)

9,420

9,803

Underlying performance measures

Pre-tax profit growth (year-on-year, %)

35.8

38.5

84.0

30.0

30.3

Cost / income ratio (%)

75.8

72.2

80.9

74.9

79.5

Return on attributed equity (%)

1,6

18.1

20.6

13.6

18.5

14.6

1 Refer to “Alternative

performance measures” in the appendix

to this report for the definition

and calculation method.

2 From the fourth

quarter of 2025 onward, income

related to certain financial instruments

not directly linked to client activity and measured at fair value that was previously presented as transaction-based income is now presented as other revenues. This change was applied prospectively. The line has been

renamed from “Other

income” to “Other

revenues”.

Includes accretion of

PPA adjustments

on financial instruments

and other PPA

effects, as

well as temporary

and incremental items

directly related to

the

integration.

4 Includes temporary, incremental operating

expenses directly related to the integration, as well as amortization of intangibles resulting from

the acquisition of the Credit Suisse Group.

5 Refer to the

“Equity attribution” section of this

report for more information

about the equity attribution

framework.

6 Relates to licensed professionals

with the ability to

provide investment advice to

clients in the Americas.

Consists of cash compensation, determined using a

formulaic approach based on production, and deferred

awards. Also includes expenses related

to compensation commitments with financial advisors entered

into

at the time of recruitment that are subject to vesting requirements. Recruitment loans to financial advisors were USD 1,493m as of 31 December 2025.

Loans and Customer deposits in this table include customer

brokerage receivables and

payables, respectively,

which are presented in

separate reporting lines on

the balance sheet.

8 Refer to the “Risk

management and control” section

of this report for

more information

about credit-impaired exposures. Excludes loans to financial advisors.

UBS Group fourth quarter 2025 report |

UBS Group performance, business divisions

and Group Items | Global Wealth Management

Results: 4Q25 vs 4Q24

Profit

before tax

increased by

USD 423m,

or 49%,

to USD

1,290m, mainly

due to

higher

total

revenues, partly

offset

higher

operating

expenses.

Underlying

profit

before

tax

was

USD 1,558m,

increase

36%,

after

excluding from operating expenses USD 384m of integration-related expenses and purchase price allocation (PPA)

effects and

excluding from total

revenues USD 135m of

PPA effects

and other integration

items and

a USD 20m

loss related to an investment in an associate.

Total revenues

Total

revenues

increased

USD 574m,

9%,

USD 6,695m,

driven

higher

recurring

net

fee

income,

transaction-based income and other

revenues, partly offset by lower

net interest income, and included

a USD 65m

decrease in

PPA effects

and other

integration items.

Excluding USD 135m

of PPA

effects and

other integration

items

and

USD 20m

loss

related to

investment in

associate,

underlying

total

revenues

were

USD 6,580m, an

increase of 11%.

Net interest income

decreased by USD 17m,

or 1%, to

USD 1,832m and included

a USD 62m decrease

in accretion

of PPA adjustments on

financial instruments and

other PPA effects. Excluding

PPA effects of USD 130m,

underlying

net interest

income was

USD 1,702m, an

increase of

3%. This

increase was

largely driven

by the

effects of

favorable

changes

deposit

mix

and

positive

foreign

currency effects,

partly

offset

the

impact

lower

central

bank

interest rates on deposit revenues.

Recurring net fee income increased by USD 304m, or 9%, to USD 3,566m,

mainly driven by higher

average levels

fee-generating

assets,

primarily

from

mandates,

reflecting

positive

market

performance

and

net

new

fee-

generating asset inflows in 2025.

Transaction-based income

increased by

USD 207m, or

20%, to

USD 1,248m. Excluding

PPA

effects of

USD 5m,

underlying transaction-based

income was

USD 1,243m, an

increase of 20%,

mainly driven by

higher levels of

client

activity across all regions and also driven by contributions

from Structured Solutions, Cash Equities and Investment

Funds revenues.

Other revenues

were positive

USD 49m, compared

with negative

USD 32m, and

included a

release of

USD 42m

related to

other financial

liabilities,

USD 34m fair

value

gain driven

from a

strategic partnership

and

loss of

USD 20m related to an investment in

an associate. Other revenues in the

fourth quarter of 2024 included a

loss of

USD 21m related to an

investment in an associate. Excluding

the aforementioned loss, underlying other revenues

were USD 69m in the fourth quarter of 2025.

Credit loss expense / release

Net credit

loss expenses

were USD 32m,

mainly reflecting

net expenses

on credit-impaired

positions, compared

with

net credit loss releases of USD 14m in the fourth

quarter of 2024.

Operating expenses

Operating

expenses

increased

USD 105m,

2%,

USD 5,373m

and

included

USD 76m

decrease

integration-related

expenses.

Excluding

USD 384m

integration-related

expenses

and

PPA

effects,

underlying

operating expenses were USD 4,989m, an

increase of 4%, mainly

driven by higher variable compensation largely

related to an increase in financial

advisor compensation, resulting from

higher compensable revenues, partly

offset

by lower expenses related to provisions for litigation,

regulatory and similar matters.

Invested assets: 4Q25 vs 3Q25

Invested

assets

increased

USD 39bn

USD 4,753bn,

mainly

driven

positive

market

performance

USD 46.9bn and net new asset inflows of USD 8.5bn,

partly offset by reclassifications

of USD 16.0bn.

Invested assets: 4Q25 vs 4Q24

Invested

assets

increased

USD 571bn

USD 4,753bn,

mainly

driven

positive

market

performance

USD 376.7bn, positive foreign currency effects of USD 125.8bn and net new asset inflows of USD

100.8bn, partly

offset by reclassifications

of USD 27.5bn.

UBS Group fourth quarter 2025 report |

UBS Group performance, business divisions

and Group Items | Global Wealth Management

Loans: 4Q25 vs 3Q25

Loans increased by USD 5.2bn to USD 327.2bn,

mainly driven by positive net new loans of

USD 4.5bn.

›

Refer to the “Risk management and control” section of this report for more information

Customer deposits: 4Q25 vs 3Q25

Customer deposits

increased by

USD 0.9bn to

USD 479.1bn,

mainly driven

by net

new deposit

inflows of

USD 0.6bn

and positive foreign currency effects.

Regional breakdown of performance measures

As of or for the quarter ended 31.12.25

USD m, except where indicated

Americas

Asia Pacific

EMEA

Switzerland

Divisional items

Global Wealth

Management

Net interest income

547

361

401

399

125

1,832

Recurring net fee income

2,189

309

585

472

3,566

Transaction-based income

3,4

494

305

255

205

(11)

1,248

Other revenues

3,4

(16)

(3)

Total revenues

3,214

972

1,240

1,076

192

6,695

Credit loss expense / (release)

Operating expenses

2,780

631

851

716

394

5,373

Operating profit / (loss) before tax

417

337

378

360

(202)

1,290

of which: PPA effects, integration-related items and other items

(268)

Cost / income ratio (%)

86.5

64.9

68.6

66.6

80.3

Net new fee-generating assets (USD bn)

1.5

4.9

2.8

(0.4)

(0.1)

8.7

Fee-generating assets (USD bn)

1,175

206

458

268

2,108

Net new assets (USD bn)

(14.1)

6.0

12.4

4.4

(0.3)

8.5

Net new assets growth rate (%)

(2.5)

3.0

6.6

2.0

0.7

Invested assets (USD bn)

2,283

795

778

891

4,753

Net new loans (USD bn)

2.3

1.4

(0.5)

1.3

0.1

4.5

Loans, gross (USD bn)

103.6

46.4

63.3

113.2

0.8

327.2

Net new deposits (USD bn)

3.7

(3.2)

1.3

(0.5)

(0.8)

0.6

Customer deposits (USD bn)

119.6

117.0

114.0

124.7

3.8

479.1

Advisors (full-time equivalents)

5,772

910

1,438

1,207

9,420

As of or for the quarter ended 31.12.24

USD m, except where indicated

Americas

Asia Pacific

EMEA

Switzerland

Divisional items

Global Wealth

Management

Net interest income

495

359

416

391

187

1,849

Recurring net fee income

2,029

271

522

426

3,262

Transaction-based income

3,4

407

230

212

189

1,041

Other revenues

3,4

(17)

(3)

(16)

(32)

Total revenues

2,937

842

1,150

1,004

188

6,121

Credit loss expense / (release)

(10)

(14)

(1)

(14)

Operating expenses

2,715

568

865

642

479

5,268

Operating profit / (loss) before tax

214

271

296

375

(289)

867

of which: PPA effects, integration-related items and other items

(280)

Cost / income ratio (%)

92.4

67.5

75.2

64.0

86.1

Net new fee-generating assets (USD bn)

18.1

4.1

(5.3)

(3.5)

(0.1)

13.3

Fee-generating assets (USD bn)

1,062

172

364

217

1,816

Net new assets (USD bn)

13.7

(1.2)

1.4

4.5

(0.7)

17.7

Net new assets growth rate (%)

2.6

(0.7)

0.8

2.3

1.7

Invested assets (USD bn)

2,109

665

655

749

4,182

Net new loans (USD bn)

1.1

(0.2)

(0.5)

(1.0)

(0.1)

(0.8)

Loans, gross (USD bn)

97.6

41.5

57.4

102.9

1.0

300.5

Net new deposits (USD bn)

8.6

(4.5)

1.6

(3.8)

0.8

2.7

Customer deposits (USD bn)

116.3

125.3

110.9

115.2

2.3

470.1

Advisors (full-time equivalents)

5,968

924

1,520

1,311

9,803

1 Including the following business

units: United States and Canada;

and Latin America.

2 Includes impacts from accretion of

purchase price allocation adjustments on

financial instruments and other PPA

effects,

integration-related expenses,

certain gains

and losses

from investments

in associates

and minor

functions, that

are not

included in

the four

regions individually

presented in

this table.

3 Refer to

“Alternative

performance measures” in the appendix to this report for the definition and calculation method.

4 From the fourth quarter of 2025 onward, income related to certain financial instruments not directly linked to client

activity and measured at

fair value that

was previously presented

as transaction-based income

is now presented

as other revenues.

This change was

applied prospectively.

The line has

been renamed from

“Other

income” to “Other revenues”.

5 Items of profit or loss that management

believes are not representative of the underlying

performance, namely impacts from

accretion of purchase price allocation adjustments

financial instruments

and other

PPA effects,

integration-related expenses,

amortization of

intangibles resulting

from the

acquisition of

the Credit

Suisse Group,

and certain

gains and

losses from

investments in

associates.

6 Loans and Customer deposits in this table include customer brokerage receivables

and payables, respectively, which are presented in

separate reporting lines on the balance sheet.

UBS Group fourth quarter 2025 report |

UBS Group performance, business divisions

and Group Items | Global Wealth Management

Regional comments 4Q25 vs 4Q24, except where

indicated

Americas

Profit

before

tax

increased

USD 203m

USD 417m.

Total

revenues

increased

USD 277m,

9%,

USD 3,214m, mainly driven by increases of USD 160m in recurring net fee income, USD 87m in transaction-based

income and USD 52m in net interest income. Operating expenses increased by USD 65m, or 2%, to USD 2,780m.

The cost / income ratio decreased to 86.5%

from 92.4%. Loans increased by 2% compared

with the third quarter

of 2025, to USD 103.6bn, mainly driven by positive net new loans

of USD 2.3bn. Customer deposits increased by

3% compared with

the third quarter

of 2025, to

USD 119.6bn, with net new

deposit inflows of

USD 3.7bn. Net

new asset outflows were USD 14.1bn.

Asia Pacific

Profit

before

tax

increased

USD 66m

USD 337m.

Total

revenues

increased

USD 130m,

15%,

USD 972m, mainly driven by increases

of USD 75m in transaction-based income

and USD 38m in recurring net

fee

income. Operating expenses increased by USD 63m,

or 11%, to USD 631m. The

cost / income ratio decreased to

64.9%

from 67.5%.

Loans

increased

compared with

the third

quarter of

2025,

USD 46.4bn, mainly

driven

positive

net

new

loans

USD 1.4bn.

Customer

deposits

decreased

compared

with

the

third

quarter

2025,

USD 117.0bn,

with

net

new

deposit

outflows

USD 3.2bn.

Net

new

asset

inflows

were

USD 6.0bn.

EMEA

Profit

before

tax

increased

USD 82m

USD 378m.

Total

revenues

increased

USD 90m,

8%,

USD 1,240m, mainly

driven by

increases of

USD 63m in

recurring net

fee income

and

USD 43m in

transaction-

based income.

Operating expenses

decreased by

USD 14m, or

2%, to

USD 851m.

The cost / income

ratio decreased

to 68.6% from 75.2%. Loans decreased by 1% compared with the third quarter of 2025,

to USD 63.3bn, mainly

driven

negative

net

new loans

USD 0.5bn.

Customer

deposits

increased by

compared

with

the

third

quarter of 2025, to USD 114.0bn, mainly driven by net new deposit

inflows of USD 1.3bn. Net new asset inflows

were USD 12.4bn.

Switzerland

Profit

before

tax

decreased

USD 15m

USD 360m.

Total

revenues

increased

USD 72m,

7%,

USD 1,076m, mainly

driven by

increases of

USD 46m in

recurring net

fee income

and

USD 16m in

transaction-

based income.

Operating expenses

increased by

USD 74m, or

12%, to

USD 716m.

The cost / income

ratio increased

to 66.6% from 64.0%. Loans increased by 3% compared with the

third quarter of 2025, to USD 113.2bn, mainly

driven by positive net new loans of USD 1.3bn. Customer deposits were broadly stable at USD 124.7bn

compared

with

the

third

quarter

2025,

with

net

new

deposit

outflows

USD 0.5bn.

Net

new

asset

inflows

were

USD 4.4bn.

Divisional items

Operating loss before tax was USD 202m and included

USD 384m of integration-related expenses and

PPA effects

and a

loss of

USD 20m related to

an investment

in an

associate, partly

offset by

the aforementioned

USD 135m

related to PPA effects and other integration items, a release of USD 42m related to other financial liabilities, and a

USD 34m fair value gain driven from a strategic

partnership.

UBS Group fourth quarter 2025 report

UBS Group performance, business divisions

and Group Items | Personal & Corporate Banking

Personal & Corporate Banking

Personal & Corporate Banking – in Swiss francs

As of or for the quarter ended

% change from

As of or for the year

ended

CHF m, except where indicated

31.12.25

30.9.25

31.12.24

3Q25

4Q24

31.12.25

31.12.24

Results

Net interest income

1,058

1,120

1,204

(6)

(12)

4,403

4,987

Recurring net fee income

339

351

357

(3)

(5)

1,405

1,425

Transaction-based income

1,2

451

463

471

(3)

(4)

1,825

1,821

Other revenues

1,2

(18)

(70)

(49)

(74)

(62)

(50)

Total revenues

1,830

1,864

1,983

(2)

(8)

7,583

8,241

Credit loss expense / (release)

155

(48)

277

357

Operating expenses

1,297

1,300

1,305

(1)

5,235

5,070

Business division operating profit / (loss) before tax

452

507

524

(11)

(14)

2,071

2,814

Underlying results

Total revenues as reported

1,830

1,864

1,983

(2)

(8)

7,583

8,241

of which: PPA effects and other integration items

181

222

227

(18)

(20)

841

915

of which: PPA effects recognized in net interest income

159

201

209

(21)

(24)

757

841

of which: PPA effects and other integration items recognized in transaction-based income

of which: loss related to an investment in an associate

(43)

(81)

(54)

(47)

(19)

(133)

(54)

of which: items related to the Swisscard transactions

Total revenues (underlying)

1,692

1,724

1,810

(2)

(7)

6,817

7,379

Credit loss expense / (release)

155

(48)

277

357

Operating expenses as reported

1,297

1,300

1,305

(1)

5,235

5,070

of which: integration-related expenses and PPA effects

1,5

228

302

185

(24)

897

662

of which: items related to the Swisscard transactions

164

Operating expenses (underlying)

1,069

998

1,083

(1)

4,175

4,371

of which: net expenses / (releases) for litigation, regulatory

and similar matters

(29)

(30)

Business division operating profit / (loss) before tax as reported

452

507

524

(11)

(14)

2,071

2,814

Business division operating profit / (loss) before tax (underlying)

543

668

572

(19)

(5)

2,365

2,651

Performance measures and other information

Pre-tax profit growth (year-on-year, %)

(13.7)

(30.3)

(2.4)

(26.4)

11.3

Cost / income ratio (%)

70.9

69.7

65.8

69.0

61.5

Average attributed equity (CHF bn)

17.6

17.7

18.6

(6)

17.8

19.0

Return on attributed equity (%)

1,8

10.3

11.5

11.2

11.6

14.8

Net interest margin (bps)

172

181

198

178

201

Loans, gross (CHF bn)

246.0

247.4

242.3

(1)

246.0

242.3

Customer deposits (CHF bn)

248.6

246.7

254.1

(2)

248.6

254.1

Credit-impaired loan portfolio as a percentage of total loan

portfolio, gross (%)

1,9

1.2

1.3

1.2

1.3

Underlying performance measures

Pre-tax profit growth (year-on-year, %)

(5.1)

1.5

(18.2)

(10.8)

8.1

Cost / income ratio (%)

63.2

57.9

59.8

61.2

59.2

Return on attributed equity (%)

1,8

12.3

15.1

12.3

13.3

13.9

1 Refer to “Alternative

performance measures” in the appendix

to this report for the definition

and calculation method.

2 From the fourth

quarter of 2025 onward, income

related to certain financial instruments

renamed from “Other

income” to “Other

revenues”.

3 Includes accretion of

PPA adjustments

on financial instruments

and other PPA

effects, as

well as temporary

and incremental items

directly related to

the

integration.

4 Represents the gain related to UBS’s share of the income recorded by Swisscard for the sale of the Credit Suisse card portfolios to UBS.

5 Includes temporary, incremental operating expenses directly

related to the integration, as well as amortization

of intangibles resulting from the acquisition of the

Credit Suisse Group.

Represents the termination fee paid to American Express related

to the sale of our 50%

holding in Swisscard.

Represents the expense

related to the

payment to Swisscard

for the sale

of the Credit

Suisse card portfolios

to UBS.

8 Refer to the

“Equity attribution” section

of this report

for more

information about the equity attribution framework.

9 Refer to the “Risk management and control” section of this report for more information about credit-impaired exposures.

UBS Group fourth quarter 2025 report

UBS Group performance, business divisions

and Group Items | Personal & Corporate Banking

Results

4Q25 vs 4Q24

Profit before

tax decreased by

CHF 72m, or

14%, to

CHF 452m, reflecting

lower total

revenues, partly

offset by

lower net credit loss expenses and operating expenses. Underlying profit before tax was CHF 543m, a decrease of

5%. This underlying

profit excludes from

total revenues CHF 181m

of purchase price

allocation (PPA) effects and

other

integration

items

and

loss

CHF 43m

investment

associate;

also

excludes

from

operating expenses CHF 228m of integration-related

expenses and PPA effects.

Total revenues

Total revenues decreased by CHF 153m, or 8%, to CHF 1,830m, predominantly due to lower net interest income.

Total revenues in the fourth quarter of 2025 included a

loss of CHF 43m related to an investment in

an associate.

Excluding

CHF 181m

PPA

effects

and

other

integration

items

and

the

aforementioned loss,

underlying

total

revenues were CHF 1,692m, a decrease of 7%.

Net interest

income decreased

by CHF 146m,

or 12%,

to CHF 1,058m,

mainly reflecting

the impact

of lower

central

bank

interest rates

deposit

revenues. This

decrease was

partly

offset by

deposit

pricing measures

and

lower

liquidity and funding costs. Net interest

income also included a CHF 50m decrease

in accretion of PPA adjustments

on financial instruments and

other PPA effects. Excluding

PPA effects of CHF 159m,

underlying net interest income

was CHF 899m, a decrease of 10%.

Recurring net fee income decreased by CHF 18m, or 5%, to CHF 339m, mainly due to the fourth quarter

of 2024

including our share of Swisscard profit.

Transaction-based

income

decreased

CHF 20m,

4%,

CHF 451m,

mostly

due

lower

revenues

our

Corporate & Institutional

Clients business, including

the impact related

to exits from

certain former Credit

Suisse

business activities.

Excluding CHF 22m

of PPA

effects and

other integration

items, underlying

transaction-based

income was CHF 429m, a decrease of 5%.

Other revenues were negative CHF 18m, compared with negative CHF 49m.

The fourth quarter of 2025

included

loss

CHF 43m

investment

associate,

compared

with

loss

CHF 54m

investment in an associate recognized

in the fourth quarter of

2024. Excluding this loss, underlying

other revenues

in the fourth quarter of 2025 were positive CHF

25m.

Credit loss expense / release

Net credit

loss expenses

were CHF 80m,

largely reflecting

net expenses

on credit-impaired

positions,

compared with

net credit loss expenses of CHF 155m in the fourth

quarter of 2024.

Operating expenses

were broadly

stable at

CHF 1,297m and

included a

CHF 46m increase

in integration-related

expenses. The

fourth quarter

of 2024 included

a CHF 37m expense

related to the

Swisscard transactions.

Excluding

CHF 228m of integration-related expenses and PPA effects,

underlying operating expenses were broadly stable

CHF 1,069m.

UBS Group fourth quarter 2025 report

UBS Group performance, business divisions

and Group Items | Personal & Corporate Banking

Personal & Corporate Banking – in US dollars

As of or for the quarter ended

% change from

As of or for the year

ended

USD m, except where indicated

31.12.25

30.9.25

31.12.24

3Q25

4Q24

31.12.25

31.12.24

Results

Net interest income

1,322

1,395

1,362

(5)

(3)

5,322

5,650

Recurring net fee income

424

437

404

(3)

1,698

1,614

Transaction-based income

1,2

564

577

532

(2)

2,207

2,061

Other revenues

1,2

(23)

(88)

(53)

(74)

(58)

(73)

Total revenues

2,286

2,321

2,245

(1)

9,154

9,334

Credit loss expense / (release)

101

175

(42)

339

404

Operating expenses

1,621

1,619

1,476

6,318

5,741

Business division operating profit / (loss) before tax

565

631

595

(10)

(5)

2,497

3,189

Underlying results

Total revenues as reported

2,286

2,321

2,245

(1)

9,154

9,334

of which: PPA effects and other integration items

226

276

258

(18)

(12)

1,016

1,038

of which: PPA effects recognized in net interest income

199

251

237

(21)

(16)

915

954

of which: PPA effects and other integration items recognized in transaction-based income

101

of which: loss related to an investment in an associate

(54)

(102)

(59)

(47)

(9)

(168)

(59)

of which: items related to the Swisscard transactions

Total revenues (underlying)

2,114

2,147

2,047

(2)

8,242

8,355

Credit loss expense / (release)

101

175

(42)

339

404

Operating expenses as reported

1,621

1,619

1,476

6,318

5,741

of which: integration-related expenses and PPA effects

1,5

285

376

209

(24)

1,093

749

of which: items related to the Swisscard transactions

180

Operating expenses (underlying)

1,336

1,242

1,226

5,045

4,951

of which: net expenses / (releases) for litigation, regulatory

and similar matters

(37)

Business division operating profit / (loss) before tax as reported

565

631

595

(10)

(5)

2,497

3,189

Business division operating profit / (loss) before tax (underlying)

678

833

646

(19)

2,857

3,000

Performance measures and other information

Pre-tax profit growth (year-on-year, %)

(5.1)

(25.4)

(1.0)

(21.7)

13.4

Cost / income ratio (%)

70.9

69.7

65.7

69.0

61.5

Average attributed equity (USD bn)

22.0

21.3

21.4

21.6

Return on attributed equity (%)

1,8

10.3

11.5

11.2

11.7

14.8

Net interest margin (bps)

170

179

196

178

200

Loans, gross (USD bn)

310.2

310.6

266.9

310.2

266.9

Customer deposits (USD bn)

313.5

309.8

279.9

313.5

279.9

Credit-impaired loan portfolio as a percentage of total loan

portfolio, gross (%)

1,9

1.2

1.3

1.2

1.3

Underlying performance measures

Pre-tax profit growth (year-on-year, %)

4.8

8.8

(19.2)

(4.8)

9.3

Cost / income ratio (%)

63.2

57.9

59.9

61.2

59.3

Return on attributed equity (%)

1,8

12.3

15.1

12.1

13.4

13.9

1 Refer to “Alternative

performance measures” in the appendix

to this report for the

definition and calculation method.

From the fourth quarter

of 2025 onward, income

related to certain financial instruments

renamed from “Other

income” to “Other

revenues”.

3 Includes accretion of

PPA adjustments

on financial instruments

and other PPA

effects, as

well as temporary

and incremental items

directly related to

the

integration.

Represents the gain related to UBS’s share of the income recorded by Swisscard for the sale of the Credit Suisse card portfolios to UBS.

5 Includes temporary, incremental operating expenses directly

related to the integration, as well as amortization

of intangibles resulting from the acquisition of the

Credit Suisse Group.

Represents the termination fee paid to American Express related

to the sale of our 50%

holding in Swisscard.

Represents the expense

related to the

payment to Swisscard

for the sale

of the Credit

Suisse card portfolios

to UBS.

8 Refer to the

“Equity attribution” section

of this report

for more

information about the equity attribution framework.

9 Refer to the “Risk management and control” section of this report for more information about credit-impaired exposures.

UBS Group fourth quarter 2025 report |

UBS Group performance, business divisions

and Group Items | Asset Management

Asset Management

As of or for the quarter ended

% change from

As of or for the year

ended

USD m, except where indicated

31.12.25

30.9.25

31.12.24

3Q25

4Q24

31.12.25

31.12.24

Results

Net management fees

790

755

709

2,991

2,921

Performance fees

(55)

(12)

195

149

Net gain / (loss) from disposal

(29)

(30)

113

Total revenues

800

843

766

(5)

3,156

3,182

Credit loss expense / (release)

(1)

Operating expenses

588

624

639

(6)

(8)

2,436

2,663

Business division operating profit / (loss) before tax

212

218

128

(3)

719

520

Underlying results

Total revenues as reported

800

843

766

(5)

3,156

3,182

Total revenues (underlying)

800

843

766

(5)

3,156

3,182

Credit loss expense / (release)

(1)

Operating expenses as reported

588

624

639

(6)

(8)

2,436

2,663

of which: integration-related expenses

(12)

(41)

256

351

Operating expenses (underlying)

531

560

543

(5)

(2)

2,179

2,312

of which: net expenses / (releases) for litigation, regulatory

and similar matters

Business division operating profit / (loss) before tax as reported

212

218

128

(3)

719

520

Business division operating profit / (loss) before tax (underlying)

268

282

224

(5)

975

871

Performance measures and other information

Pre-tax profit growth (year-on-year, %)

65.6

44.6

5.2

38.3

56.3

Cost / income ratio (%)

73.4

74.1

83.3

77.2

83.7

Average attributed equity (USD bn)

2.5

2.4

2.8

(14)

2.5

2.7

Return on attributed equity (%)

4,5

34.6

35.7

18.0

29.2

19.2

Gross margin on invested assets (bps)

Underlying performance measures

Pre-tax profit growth (year-on-year, %)

19.9

19.1

20.3

12.0

62.2

Cost / income ratio (%)

66.4

66.5

70.8

69.1

72.7

Return on attributed equity (%)

4,5

43.8

46.2

31.5

39.6

32.1

Information by business line / asset

class

Net new money (USD bn)

Equities

0.3

4.0

30.5

3.0

20.7

Fixed Income

5.2

9.2

4.1

22.7

18.0

of which: money market

2.5

3.2

4.3

12.7

18.5

Multi-asset & Solutions

0.0

2.5

(0.5)

1.7

(1.5)

Hedge Fund Businesses

0.0

0.9

(2.8)

1.8

(3.5)

Real Estate & Private Markets

0.7

0.1

(0.9)

0.9

0.1

Total net new money excluding associates

6.2

16.8

30.4

30.1

33.8

of which: net new money excluding money market

3.6

13.6

26.2

17.5

15.4

Associates

1.4

1.1

3.0

0.3

10.8

Total net new money

7.6

17.9

33.4

30.4

44.6

Invested assets (USD bn)

Equities

904

873

755

904

755

Fixed Income

506

499

464

506

464

of which: money market

176

172

157

176

157

Multi-asset & Solutions

372

360

268

372

268

Hedge Fund Businesses

(3)

Real Estate & Private Markets

160

158

143

160

143

Total invested assets excluding associates

2,005

1,954

1,689

2,005

1,689

of which: passive strategies

1,040

992

807

1,040

807

Associates

Total invested assets

2,098

2,043

1,773

2,098

1,773

UBS Group fourth quarter 2025 report |

UBS Group performance, business divisions

and Group Items | Asset Management

Asset Management (continued)

As of or for the quarter ended

% change from

As of or for the year

ended

USD m, except where indicated

31.12.25

30.9.25

31.12.24

3Q25

4Q24

31.12.25

31.12.24

Information by region

Invested assets (USD bn)

Americas

489

486

443

489

443

Asia Pacific

256

249

224

256

224

EMEA (excluding Switzerland)

540

519

435

540

435

Switzerland

813

789

670

813

670

Total invested assets

2,098

2,043

1,773

2,098

1,773

Information by channel

Invested assets (USD bn)

Third-party institutional

1,193

1,169

1,008

1,193

1,008

Third-party wholesale

212

200

169

212

169

UBS’s wealth management businesses

601

585

512

601

512

Associates

Total invested assets

2,098

2,043

1,773

2,098

1,773

1 Net management fees include transaction

fees, fund administration revenues

(including net interest and trading

income from lending activities and

foreign-exchange hedging as part of the

fund services offering),

distribution fees, incremental fund-related

expenses, gains or losses

from seed money and co-investments,

funding costs, the negative

pass-through impact of third-party performance

fees, and other items

that are

not Asset Management’s

performance fees.

2 Consists of USD 767m reported

within net fee and

commission income for the Group

and USD 23m reported in

net interest income, other

net income from financial

instruments measured at fair value through

profit or loss, and other

income.

Reported within net fee and commission

income for the Group.

Refer to “Alternative

performance measures” in the appendix

this report for the definition and calculation method.

5 Refer to the “Equity attribution” section of this

report for more information about the equity attribution

framework.

6 In the third quarter of 2025, certain

portfolios were reclassified from

Equities and Fixed Income

to Multi-asset &

Solutions, as a

result of aligning Credit

Suisse presentation to that

of UBS. These

changes were applied prospectivel

7 The invested

assets and net new money amounts reported for associates are prepared in accordance with their local regulatory requirements and practices.

8 Includes invested assets from associates.

Results: 4Q25 vs 4Q24

Profit before

tax increased

by USD 84m,

or 66%,

to USD 212m,

reflecting lower

operating expenses

and higher

total

revenues,

which

included

net

loss

USD 29m

the

sale

our

O’Connor

business

Cantor

Fitzgerald. The fourth quarter

of 2024 included

a net gain

of USD 13m on

the sale of

our shareholding in Credit

Suisse

Investment

Partners.

Underlying

profit

before

tax

was

USD 268m,

increase

20%,

after

excluding

integration-related expenses of USD 57m.

Total revenues

increased by

USD 34m, or

4%, to

USD 800m, mainly due

to higher

net management fees,

partly

offset by lower performance fees, and

included the effects from the aforementioned sales. The

gross margin was

15 basis points.

Net management

fees increased

by USD 81m,

or 11%,

to USD 790m,

mainly driven

by higher

average levels

invested

assets,

primarily

from

positive

market

performance

and

foreign

currency

effects,

partly

offset

the

ongoing margin compression. The increase

in net management fees

was also due to

higher transaction fees. Net

management

fees

USD 790m

included

USD 1,001m

fund

fee

and

commission

income

from

investment

management activities, partly offset by related

fee and commission expenses of USD 234m.

Performance fees

decreased by

USD 5m, or 12%,

to USD 39m,

mainly due

to a decrease

in Hedge

Fund Businesses,

partly offset by an increase in the Fixed Income

business.

Operating expenses

decreased by

USD 51m, or

8%, to

USD 588m and

included a

USD 39m decrease

in integration-

expenses.

Excluding

integration-related

expenses

USD 57m,

underlying

operating

expenses

were

USD 531m, a decrease of 2%, mainly due to

lower non-personnel costs.

Invested assets: 4Q25 vs 3Q25

Invested

assets

increased

USD 55bn,

3%,

USD 2,098bn,

reflecting

positive

market

performance

USD 46bn, net

new money

of USD 8bn

and positive

foreign currency

effects of

USD 5bn, partly

offset by

a reduction

of USD 4bn related to the first stage of the transfer

of our O’Connor business. Excluding money market flows

and

associates, net new money was USD 4bn.

Invested assets: 4Q25 vs 4Q24

Invested

assets

increased

USD 325bn,

18%,

USD 2,098bn,

reflecting

positive

market

performance

USD 171bn, positive foreign

currency effects of

USD 131bn and

net new

money of USD 30bn,

partly offset

by a

reduction

USD 7bn,

which

included

the

effect

from

the

aforementioned

first

stage

the

transfer

our

O’Connor business. Excluding money market flows

and associates, net new money was USD 17bn.

UBS Group fourth quarter 2025 report |

UBS Group performance, business divisions

and Group Items | Investment Bank

Investment Bank

As of or for the quarter ended

% change from

As of or for the year

ended

USD m, except where indicated

31.12.25

30.9.25

31.12.24

3Q25

4Q24

31.12.25

31.12.24

Results

Advisory

266

324

260

(18)

1,003

907

Capital Markets

485

732

612

(34)

(21)

2,195

2,547

Global Banking

751

1,056

872

(29)

(14)

3,198

3,454

Execution Services

608

560

471

2,186

1,719

Derivatives & Solutions

892

957

683

(7)

4,256

3,478

Financing

696

671

723

(4)

2,700

2,297

Global Markets

2,196

2,187

1,877

9,141

7,494

of which: Equities

1,571

1,651

1,448

(5)

6,647

5,588

of which: Foreign Exchange, Rates and Credit

625

536

429

2,494

1,906

Total revenues

2,946

3,244

2,749

(9)

12,340

10,948

Credit loss expense / (release)

100

(46)

133

Operating expenses

2,272

2,327

2,207

(2)

9,387

8,934

Business division operating profit / (loss) before tax

640

900

479

(29)

2,819

1,917

Underlying results

Total revenues as reported

2,946

3,244

2,749

(9)

12,340

10,948

of which: PPA effects and other integration items

219

202

(72)

(70)

570

989

of which: PPA effects

202

(32)

(69)

443

989

of which: PPA effects recognized in the Global Banking revenue line

197

(33)

(67)

468

972

of which: other integration items

(1)

128

Total revenues (underlying)

2,885

3,025

2,547

(5)

11,769

9,958

Credit loss expense / (release)

100

(46)

133

Operating expenses as reported

2,272

2,327

2,207

(2)

9,387

8,934

of which: integration-related expenses

124

106

174

(29)

463

717

Operating expenses (underlying)

2,148

2,221

2,032

(3)

8,924

8,217

of which: net expenses / (releases) for litigation, regulatory

and similar matters

(15)

Business division operating profit / (loss) before tax as reported

640

900

479

(29)

2,819

1,917

Business division operating profit / (loss) before tax (underlying)

703

787

452

(11)

2,712

1,644

Performance measures and other information

Pre-tax profit growth (year-on-year, %)

33.6

122.0

n.m.

47.1

n.m.

Cost / income ratio (%)

77.1

71.7

80.3

76.1

81.6

Average attributed equity (USD bn)

18.9

18.5

17.3

18.4

17.1

Return on attributed equity (%)

3,4

13.5

19.4

11.1

15.3

11.2

Underlying performance measures

Pre-tax profit growth (year-on-year, %)

55.7

108.9

n.m.

64.9

n.m.

Cost / income ratio (%)

74.5

73.4

79.8

75.8

82.5

Return on attributed equity (%)

3,4

14.9

17.0

10.5

14.8

9.6

1 Includes accretion of PPA adjustments on financial instruments and other PPA effects,

as well as temporary and incremental items directly related to the integration.

2 Represents the gain from the sale of a stake

in a subsidiary, Credit Suisse Securities (China) Limited.

3 Refer to “Alternative performance measures”

in the appendix to this report for the definition and calculation method.

4 Refer to the “Equity attribution”

section of this report for more information about the equity attribution framework.

UBS Group fourth quarter 2025 report |

UBS Group performance, business divisions

and Group Items | Investment Bank

Results: 4Q25 vs 4Q24

Profit before tax increased

by USD 161m, or 34%, to

USD 640m, mainly due to

higher total revenues, partly

offset

by higher

operating expenses. Underlying

profit before

tax was

USD 703m, an

increase of

56%, after

excluding

from total revenues USD 61m of purchase price allocation (PPA) effects and other integration items and excluding

from operating expenses USD 124m of integration-related

expenses.

Total revenues

Total revenues increased by USD 197m, or 7%, to USD 2,946m, mainly due to higher revenues

in Global Markets,

partly

offset

USD 140m

decrease

PPA

effects,

and

included

positive

foreign

currency

effects.

Excluding

USD 61m of PPA effects and

other integration items,

underlying total revenues were USD 2,885m, an

increase of

13%.

Global Banking

revenues decreased

by USD 121m,

or 14%,

to USD 751m,

primarily driven

by a

USD 132m decrease

in accretion

of PPA

adjustments on

financial instruments and

other PPA

effects. Excluding

PPA effects

and other

integration items, underlying Global Banking revenues

were USD 687m, an increase of 2%.

Advisory

revenues

increased

USD 6m,

2%,

USD 266m,

largely

driven

increase

private

funds

closings.

Capital

Markets

revenues

decreased

USD 127m,

21%,

USD 485m

and

included

the

aforementioned

USD 132m decrease in PPA effects. Excluding PPA effects and

other integration items, underlying Capital Markets

revenues increased by USD 6m, or 1%.

Global Markets

Global Markets revenues increased by USD 319m, or 17%, to USD 2,196m, mainly driven by

higher Derivatives &

Solutions and

Execution Services

revenues,

and

included a

gain

of USD 102m

strategic equity

investment,

which was split equally across product verticals.

Execution Services revenues

increased by USD 137m,

or 29%, to USD 608m,

mainly driven by higher

Cash Equities

revenues, led by the Asia Pacific region, reflecting

higher volumes.

Derivatives &

Solutions revenues

increased by

USD 209m,

or 31%,

to USD 892m,

mainly driven

by Foreign

Exchange

and Equity Derivatives revenues from higher levels

of client activity.

Financing revenues decreased by USD 27m, or

4%, to USD 696m.

Equities

Global Markets

Equities revenues

increased by

USD 123m, or

8%, to

USD 1,571m,

mainly driven

by higher

revenues

in Prime Brokerage, Cash Equities and Equity

Derivatives.

Foreign Exchange, Rates and Credit

Global

Markets

Foreign

Exchange, Rates

and

Credit

revenues

increased

USD 196m,

46%,

USD 625m,

mainly

driven

increase

Foreign

Exchange

revenues

and

the

aforementioned

gain

strategic

investment.

Credit loss expense / release

Net credit

loss expenses

were USD 34m,

mainly reflecting

net expenses

on credit-impaired

positions,

compared with

net credit loss expenses of USD 63m in the

fourth quarter of 2024.

Operating expenses

Operating

expenses

increased

USD 65m,

3%,

USD 2,272m

and

included

USD 50m

decrease

integration-related expenses. Excluding integration-related

expenses of USD 124m, underlying operating

expenses

were USD 2,148m, an

increase of 6%, mainly

due to adverse foreign

currency effects and

higher technology costs.

UBS Group fourth quarter 2025 report |

UBS Group performance, business divisions

and Group Items | Non-core and Legacy

Non-core and Legacy

As of or for the quarter ended

% change from

As of or for the year

ended

USD m, except where indicated

31.12.25

30.9.25

31.12.24

3Q25

4Q24

31.12.25

31.12.24

Results

Total revenues

(8)

(40)

(58)

(81)

(87)

154

1,605

Credit loss expense / (release)

(12)

(1)

Operating expenses

459

858

721

(46)

1,353

3,512

Operating profit / (loss) before tax

(455)

(102)

(923)

346

(51)

(1,199)

(1,976)

Underlying results

Total revenues as reported

(8)

(40)

(58)

(81)

(87)

154

1,605

of which: other integration items

Total revenues (underlying)

(10)

(42)

(58)

(77)

(84)

150

1,605

Credit loss expense / (release)

(12)

(1)

Operating expenses as reported

459

858

721

(46)

1,353

3,512

of which: integration-related expenses

233

205

317

(26)

882

1,154

Operating expenses (underlying)

226

(149)

541

(58)

472

2,359

of which: net expenses / (releases) for litigation, regulatory

and similar matters

(440)

(20)

(833)

(300)

Operating profit / (loss) before tax as reported

(455)

(102)

(923)

346

(51)

(1,199)

(1,976)

Operating profit / (loss) before tax (underlying)

(224)

102

(606)

(63)

(321)

(822)

Performance measures and other information

Average attributed equity (USD bn)

4.0

4.5

8.7

(12)

(55)

5.4

9.5

Risk-weighted assets (USD bn)

28.8

30.7

41.4

(6)

(30)

28.8

41.4

Leverage ratio denominator (USD bn)

19.1

25.6

53.5

(25)

(64)

19.1

53.5

1 Refer to “Alternative performance measures” in the appendix to this report for the definition and calculation method.

Refer to the “Equity attribution” section of this report for more information about the equity

attribution framework.

Composition of Non-core and Legacy

Total assets

RWA

LRD

USD bn

31.12.25

30.9.25

31.12.25

30.9.25

31.12.25

30.9.25

Exposure category

Equities

0.8

0.9

0.3

0.6

0.3

0.4

Macro

9.2

10.2

1.9

2.7

3.7

Loans

0.7

0.8

0.9

0.7

0.9

Securitized products

2.8

3.1

1.5

1.8

2.9

3.4

Credit

0.2

0.3

0.1

0.2

0.1

0.2

High-quality liquid assets

10.6

16.1

10.6

16.1

Operational risk

24.0

Other

1.1

1.3

0.4

0.6

0.9

Total

25.4

32.6

28.8

30.7

19.1

25.6

Results: 4Q25 vs 4Q24

Loss before

tax was

USD 455m, compared

with a

loss before

tax of

USD 923m. Underlying

loss before

tax was

USD 224m, after

excluding from

operating expenses

USD 233m of

integration-related expenses

and excluding

from

total revenues USD 2m of other integration items,

compared with an underlying loss before

tax of USD 606m.

Total revenues

Total revenues were

negative USD 8m,

compared with

negative total revenues

of USD 58m, mainly

reflecting lower

liquidity and funding costs, partly

offset by lower net interest income,

as a result of a smaller portfolio,

and further

offset by higher markdowns.

Credit loss expense / release

Net credit loss releases were

USD 12m, compared with net credit

loss expenses of USD 6m in the

fourth quarter of

2024.

UBS Group fourth quarter 2025 report |

UBS Group performance, business divisions

and Group Items | Non-core and Legacy

Operating expenses

Operating

expenses

were

USD 459m,

decrease

USD 399m,

46%,

mainly

reflecting

lower

legal

fees,

technology costs, premises and

facilities costs, risk management

costs, and compliance and

regulatory costs,

and

included

USD 84m

decrease

integration-related

expenses.

Excluding

integration-related

expenses

USD 233m, underlying operating expenses were

USD 226m.

Risk-weighted assets and leverage ratio denominator:

4Q25 vs 3Q25

Risk-weighted

assets

(RWA)

decreased

USD 1.9bn

USD 28.8bn,

mostly

due

decreases

the

macro,

securitized product and equity

portfolios. The leverage

ratio denominator decreased

by USD 6.5bn to USD 19.1bn,

mainly driven by reductions in

high-quality liquid assets, which decreased by

USD 5.5bn, primarily as a result

of a

reduction in

the overall

Non-core and

Legacy balance sheet,

as well

as reductions in

the securitized product

and

loan portfolios.

Group Items

As of or for the quarter ended

% change from

As of or for the year

ended

USD m

31.12.25

30.9.25

31.12.24

3Q25

4Q24

31.12.25

31.12.24

Results

Total revenues

(575)

(149)

(188)

285

205

(1,190)

(975)

Credit loss expense / (release)

(2)

Operating expenses

(27)

(88)

(69)

(2)

(220)

Operating profit / (loss) before tax

(552)

(173)

(100)

219

453

(1,190)

(752)

Underlying results

Total revenues as reported

(575)

(149)

(188)

285

205

(1,190)

(975)

of which: PPA effects and other integration items

(404)

(4)

(323)

(41)

Total revenues (underlying)

(171)

(183)

(184)

(7)

(867)

(933)

Credit loss expense / (release)

(2)

Operating expenses as reported

(27)

(88)

(69)

(2)

(220)

of which: integration-related expenses

(1)

(12)

Operating expenses (underlying)

(62)

(88)

(30)

(56)

(208)

of which: net expenses / (releases) for litigation, regulatory

and similar matters

(23)

(85)

Operating profit / (loss) before tax as reported

(552)

(173)

(100)

219

453

(1,190)

(752)

Operating profit / (loss) before tax (underlying)

(113)

(187)

(96)

(40)

(813)

(723)

Includes accretion of

PPA adjustments

on financial instruments

and other PPA

effects, as well

as temporary and

incremental items

directly related to

the integration.

Includes a USD

457m net loss

from the

repurchase of legacy Credit Suisse debt instruments, as the repurchase price exceeded the amortized-cost carrying value (the net loss reflects a loss of USD

885m before PPA adjustments, partly offset by a USD

427m

gain from the release of PPA adjustments).

Refer to “Alternative performance measures” in the appendix

to this report for the definition and calculation method.

Results: 4Q25 vs 4Q24

Loss before

tax was

USD 552m, mainly

driven by

a net

loss of

USD 457m from

the repurchase

of legacy

Credit

Suisse debt instruments,

which included the release of purchase

price allocation (PPA) adjustments of USD 427m.

The change in the result, compared with

a loss of USD 100m in the fourth quarter

of 2024, was largely due to the

aforementioned loss from the debt repurchase.

›

Refer to “Other developments” in the “Recent developments” section of this report for more information about the

repurchase

of legacy Credit Suisse debt

Underlying loss before tax was USD 113m, after excluding from total revenues negative USD 404m of PPA effects

and other integration

items,

which included

the aforementioned net

loss of USD 457m,

and also excluding

from

operating expenses USD 34m

of integration-related expenses. This

compared with an underlying loss

before tax of

USD 96m in the fourth quarter

of 2024. The change in the

underlying result between the quarters

was mainly due

to a

USD 25m increase in

donation expenses

due to

higher contributions

to the

UBS Optimus

Foundation in

the

fourth quarter of 2025.

Income

from

Group

hedging

and

own

debt,

including

hedge

accounting

ineffectiveness,

was

net

USD 4m,

compared with

net income

of USD 10m

in the

fourth quarter

of 2024.

The gains

in the

fourth quarter

of 2025

were driven by mark-to-market effects on own

credit and portfolio-level economic hedges.

UBS Group fourth quarter 2025 report |

Risk, capital, liquidity and funding, and balance

sheet

Risk, capital, liquidity and

funding, and balance sheet

Management report

Table of contents

Risk management and control

Credit risk

Market risk

Country risk

Non-financial risk

Capital management

Total

loss-absorbing capacity

Risk-weighted assets

Leverage ratio denominator

Equity attribution

Liquidity and funding management

Strategy, objectives and governance

Liquidity coverage ratio

Net stable funding ratio

Balance sheet and off-balance sheet

Balance sheet assets

Balance sheet liabilities

Equity

Off-balance sheet

Share information and earnings per share

UBS Group fourth quarter 2025 report |

Risk, capital, liquidity and funding, and balance

sheet | Risk management and control

Risk management and control

This

section

provides

information

about

key

developments

during

the

reporting

period

and

should

read

conjunction with

the “Risk

management and

control” section

of the

UBS Group

Annual Report

2024, available

under “Annual

reporting” at

ubs.com/investors

, and

the “Recent

developments” section of

this report

for more

information about the integration of Credit

Suisse.

Credit risk

Overall banking products exposure

Overall banking products exposure increased by USD 3bn compared with 30 September 2025, to USD

1,086bn as

of 31 December

2025, primarily

reflecting increases

in loans

and advances

to customers

and in

guarantees and

irrevocable loan commitments,

partly offset by a decrease in balances at central

banks.

›

Refer to the “Balance sheet and off-balance sheet” section of this report for more information about movements in

balance sheet and off-balance sheet positions

›

Refer to the “Group performance” section of this report for more information about credit loss expense / release

Banking and traded products exposure in the business divisions and Group Items

31.12.25

USD m

Global Wealth

Management

Personal &

Corporate

Banking

Asset

Management

Investment

Bank

Non-core

and Legacy

Group

Items

Total

Banking products exposure, gross

1,2

480,229

462,237

2,060

108,659

8,908

24,207

1,086,300

of which: loans and advances to customers (on-balance sheet)

322,441

310,207

21,158

601

1,921

656,336

of which: guarantees and irrevocable loan commitments (off-balance sheet)

20,400

48,469

35,901

674

23,777

129,223

Committed unconditionally revocable credit lines

69,537

49,495

528

115

119,679

Traded products exposure, gross

2,4

15,634

1,623

35,764

53,021

of which: over-the-counter derivatives

12,268

1,543

8,752

22,563

of which: securities financing transactions

18,486

18,540

of which: exchange-traded derivatives

3,313

8,526

11,919

Total credit-impaired exposure, gross

1,748

4,112

641

863

7,363

of which: stage 3

1,715

3,786

604

6,176

of which: PCI

326

791

1,187

Total allowances and provisions for expected credit losses

301

1,969

479

299

3,058

of which: stage 1

105

346

115

576

of which: stage 2

245

129

428

of which: stage 3

135

1,326

232

1,756

of which: PCI

236

298

30.9.25

USD m

Global Wealth

Management

Personal &

Corporate

Banking

Asset

Management

Investment

Bank

Non-core

and Legacy

Group

Items

Total

Banking products exposure, gross

1,2

479,241

460,735

2,028

106,538

12,780

22,454

1,083,777

of which: loans and advances to customers (on-balance sheet)

317,323

310,641

18,523

751

1,809

649,053

of which: guarantees and irrevocable loan commitments (off-balance sheet)

20,191

47,247

34,080

1,081

21,979

124,582

Committed unconditionally revocable credit lines

76,297

59,538

351

114

136,304

Traded products exposure, gross

2,4

16,548

2,388

37,534

56,470

of which: over-the-counter derivatives

12,728

2,223

8,790

23,741

of which: securities financing transactions

21,167

21,265

of which: exchange-traded derivatives

3,722

165

7,577

11,465

Total credit-impaired exposure, gross

1,766

3,965

648

955

7,334

of which: stage 3

1,732

3,583

598

5,970

of which: PCI

382

898

1,364

Total allowances and provisions for expected credit losses

284

1,883

462

370

3,005

of which: stage 1

104

350

113

574

of which: stage 2

256

141

456

of which: stage 3

112

1,228

207

1,602

of which: PCI

313

373

1 IFRS 9 gross exposure for

banking products includes the following financial instruments within

the scope of expected credit loss measurement:

balances at central banks, amounts due from banks, loans and advances

to customers, other financial

assets at amortized cost,

guarantees and irrevocable loan

commitments.

2 Internal management view of

credit risk, which differs in

certain respects from IFRS

Accounting Standards.

3 Commitments that can be canceled by UBS at any time but expose UBS to credit risk if the client has the ability to draw the facility before UBS can take action. These commitments are subject to expected credit loss

requirements.

4 As counterparty risk for traded products is managed at the counterparty level, no further split between exposures

in the Investment Bank, Non-core and Legacy, and Group Items is provided.

UBS Group fourth quarter 2025 report |

Risk, capital, liquidity and funding, and balance

sheet | Risk management and control

Loan underwriting

In the

Investment Bank,

mandated loan

underwriting commitments

on a

notional basis

increased by

USD 1.2bn

compared with 30 September

2025, to USD 5.9bn

as of 31 December

2025, driven by

new mandates,

partly offset

by deal

syndications and

cancellations. As of

31 December 2025, USD 0.4bn

of loan

underwriting commitments

had not been distributed as originally planned.

Loan underwriting exposures

in the Investment

Bank are classified

as held for

trading, with

fair values reflecting

the

market conditions

at the

end of

the quarter.

Credit hedges

are in place

to help

protect against

fair value

movements

in the portfolio.

Market risk

Average management value-at-risk (VaR) (1-day, 95% confidence

level) of the UBS Group excluding certain legacy

Credit Suisse components in the

fourth quarter of 2025

was stable at USD 11m, compared

with USD 11m in the

third quarter of 2025.

Average management VaR (1-day, 98% confidence level) of the aforementioned legacy Credit Suisse components

in the fourth

quarter of 2025

decreased to USD 1m

from USD 2m in

the third quarter

of 2025, driven

by continued

strategic migration of positions to UBS and

de-risking within Non-core and Legacy.

Management value-at-risk (1-day, 95% confidence level, 5 years of historical data) of the business divisions and

Group Items excluding certain legacy Credit Suisse components, by general market risk type

1,2

Average by risk type

USD m

Min.

Max.

Period end

Average

Equity

Interest

rates

Credit

spreads

Foreign

exchange

Commodities

Global Wealth Management

Personal & Corporate Banking

Asset Management

Investment Bank

Non-core and Legacy

Group Items

Diversification effect

3,4

(7)

(6)

(1)

(5)

(3)

(1)

Total as of 31.12.25

Total as of 30.9.25

Management value-at-risk (1-day, 98% confidence level, 2 years of historical data) of certain legacy Credit

Suisse

components of the business divisions and Group Items, by general market risk type

1,2

Average by risk type

USD m

Min.

Max.

Period end

Average

Equity

Interest

rates

Credit

spreads

Foreign

exchange

Commodities

Global Wealth Management

Personal & Corporate Banking

Asset Management

Investment Bank

Non-core and Legacy

Group Items

Diversification effect

3,4

(1)

Total as of 31.12.25

Total as of 30.9.25

1 The legacy Credit Suisse

components not included in the

UBS Group management VaR reflect the

portfolio managed on legacy

Credit Suisse infrastructure based on

legacy Credit Suisse management VaR methodology

until full migration

of these positions

to UBS

infrastructure or

the liquidation

of the

positions. This

process is

ongoing, and

the management

VaR of

the legacy

Credit Suisse

components is

expected to

continue

decreasing over time.

2 Statistics at individual levels may not be summed to deduce the corresponding aggregate figures.

The minima and maxima for each level may occur on different days,

and, likewise, the VaR

for each business division or risk type,

being driven by the extreme loss tail of the corresponding

distribution of simulated profits and losses for that

business division or risk type, may well

be driven by different days

in the historical time series, rendering

invalid the simple summation of

figures to arrive at the aggregate

total.

3 The difference between

the sum of the standalone VaR

for the business divisions and Group

Items

and the total VaR.

4 As the minima and maxima for different business divisions and Group Items occur on different days, it is not

meaningful to calculate a portfolio diversification effect.

Economic value of equity and net interest income

sensitivity

The economic value of equity

(EVE) sensitivity in the UBS

Group banking book to a

+1-basis-point parallel shift in

yield

curves

was

negative

USD 43.9m

31 December

2025,

compared

with

negative

USD 41.3m

30 September 2025. This excluded

the sensitivity of USD 8.0m from additional tier 1

(AT1) capital instruments (as

per

specific

Swiss

Financial

Market

Supervisory

Authority

(FINMA)

requirements)

contrast

general

Basel

Committee on

Banking Supervision (BCBS)

guidance. Exposure in

the banking book

of the

UBS Group

increased

during the fourth quarter of 2025, predominantly

driven by net interest income stabilization

initiatives.

UBS Group fourth quarter 2025 report |

Risk, capital, liquidity and funding, and balance

sheet | Risk management and control

The majority of our interest rate risk in

the banking book (IRRBB) as of 31 December 2025

was a reflection of the

net asset

duration that

we ran

to offset

our modeled

sensitivity of

net USD 33.2m

(30 September

2025: USD 32.4m)

assigned

our

equity,

goodwill

and

real

estate,

with

the

aim

generating

stable

net

interest

income

contribution. Of this, USD

19.7m and USD 11.6m

were attributable to the

US dollar and the Swiss

franc portfolios,

respectively,

(30 September 2025: USD 18.8m and USD

11.6m, respectively).

In addition to

the aforementioned

sensitivity, we

calculate the

six interest

rate shock

scenarios prescribed

by FINMA.

The

“Parallel

up”

scenario,

assuming

all

positions

were

measured

fair

value,

was

the

most

severe

31 December 2025

and

would have

resulted in

change in

EVE of

negative USD 8.1bn,

8.9% of

our

tier 1

capital (30 September

2025: negative

USD 7.7bn, or

8.1%), which

well below

the 15%

threshold as

per the

BCBS supervisory outlier test for high levels of

IRRBB.

The immediate effect on our tier 1 capital in the “Parallel up” scenario as of 31 December 2025 would have been

a decrease of approximately

USD 0.8bn, or 0.9%, in our tier 1 capital (30 September 2025: USD 0.9bn, or 0.9%),

reflecting the fact that the vast

majority of our banking book is accrual

accounted or subject to hedge accounting.

The “Parallel up” scenario would subsequently have a positive effect on net interest income, assuming a constant

balance sheet.

As the overall interest rate risk sensitivity shows a greater

impact from slower asset repricing compared with faster

liabilities repricing, the “Parallel

down“ scenario was the

most beneficial as of 31 December

2025 and would have

resulted in a

change in EVE

of positive USD 8.3bn

(30 September 2025: positive USD 7.8bn)

and a small

positive

immediate effect on our tier 1 capital.

›

Refer to “Interest rate risk in the banking book” in the “Risk management and control”

section of the UBS Group

Annual Report 2024, available under “Annual reporting” at

ubs.com/investors

, for more information about the

management of interest rate risk in the banking book

›

Refer to “Sensitivity to interest rate movements” in the “Group performance” section of this report for more

information about the effects of increases in interest rates on the net interest income of our banking book

Interest rate risk – banking book

31.12.25

USD m

Effect on EVE

– FINMA

Effect on EVE

– BCBS

Scenarios

CHF

EUR

GBP

USD

Other

Total

Additional tier 1

capital instruments

Total

+1 bp

(12.5)

(1.7)

(0.2)

(28.5)

(1.0)

(43.9)

8.0

(35.9)

Parallel up

(1,770.1)

(315.7)

(50.4)

(5,698.0)

(239.3)

(8,073.4)

1,492.1

(6,581.3)

Parallel down

1,971.6

355.5

46.5

5,622.8

264.8

8,261.3

(1,751.2)

6,510.1

Steepener

(889.8)

(20.6)

(10.4)

(1,371.3)

6.8

(2,285.2)

336.0

(1,949.2)

Flattener

552.3

(31.4)

1.7

61.1

(58.9)

524.8

2.7

527.5

Short-term up

(169.8)

(126.5)

(14.6)

(2,226.1)

(145.6)

(2,682.7)

644.8

(2,037.8)

Short-term down

167.9

127.7

9.2

2,308.9

144.6

2,758.2

(671.8)

2,086.5

30.9.25

USD m

Effect on EVE

– FINMA

Effect on EVE

– BCBS

Scenarios

CHF

EUR

GBP

USD

Other

Total

Additional tier 1

capital instruments

Total

+1 bp

(10.5)

(1.8)

(0.2)

(27.7)

(1.1)

(41.3)

8.4

(32.9)

Parallel up

(1,523.0)

(336.8)

(53.7)

(5,524.9)

(250.0)

(7,688.4)

1,574.0

(6,114.5)

Parallel down

1,616.3

381.4

56.6

5,508.1

274.0

7,836.5

(1,855.3)

5,981.2

Steepener

(827.0)

(5.5)

(8.4)

(1,435.2)

(3.9)

(2,279.9)

376.6

(1,903.4)

Flattener

542.3

(50.2)

(1.3)

158.6

(50.5)

598.9

(20.3)

578.7

Short-term up

(88.5)

(151.1)

(18.2)

(2,075.9)

(142.9)

(2,476.7)

660.9

(1,815.8)

Short-term down

61.5

151.3

18.5

2,183.6

139.5

2,554.4

(688.4)

1,865.9

1 Economic value

of equity.

2 Rates across all

tenors move by ±150

bps for Swiss

franc, ±200 bps for

euro and US

dollar, and

±250 bps for pound

sterling.

3 Short-term rates

decrease and long-term rates

increase.

4 Short-term rates increase and long-term rates decrease.

5 Short-term rates increase more than long-term rates.

6 Short-term rates decrease more than long-term rates.

UBS Group fourth quarter 2025 report |

Risk, capital, liquidity and funding, and balance

sheet | Risk management and control

Country risk

We remain

watchful of

a range

of geopolitical

developments and

political changes

in a

number of

countries, as

well as global trade relations,

particularly tariffs-related policies, and evolving armed conflicts. As of 31 December

2025, our exposure to

Venezuela was immaterial. Our direct

exposure to Israel as

of 31 December 2025 was

less

than USD 0.5bn,

and our direct exposure to Gulf Cooperation

Council countries was less than USD 5bn, while

our

direct exposure to

Egypt and Jordan

was limited, and

we had no

direct exposure to

Iran, Iraq, Lebanon

or Syria. Our

direct exposure to

Russia as

of 31 December

2025 was

less than USD 0.5bn,

and our direct

exposure to

Belarus and

Ukraine remained immaterial.

As of 31 December 2025, our exposure

to emerging-market countries was less

than

10% of our total country exposure and mainly

to countries in Asia.

Uncertainty about economic policy remained elevated. In

the fourth quarter of 2025,

inflation was broadly stable

major

Western

economies,

although

concerns

about

the

potential

impact

trade

tensions

prices

and

economic growth persisted.

Chinese exports finished the year positively,

but domestic economic activity remained

at subdued levels,

forcing the Chinese

government to promise

to implement a

more proactive fiscal

policy in the

first quarter of 2026.

›

Refer to the “Risk management and control” section of the UBS Group Annual Report 2025, which will be available

as of 9 March 2026 under “Annual reporting” at

ubs.com/investors

, for more information

Non-financial risk

Compliance risk

We are committed

to achieving fair

outcomes for

our clients,

upholding market

integrity and

cultivating the

highest

standards of employee

conduct.

To support these

objectives,

we maintain a

Group-wide conduct risk

framework

designed to promote consistent standards

and foster a strong culture of accountability.

We continue to

prioritize areas such

as suitability risk, market

conduct, product governance,

cross-divisional service

offerings, quality of

advice and price

transparency.

These remain key

focus areas for

UBS and

the wider financial

sector. Cross-border risk (including the risk of unintended

permanent establishment) remains an area of regulatory

attention for global financial institutions, including a focus

on market access, such as third-country market access

to the European Economic Area. We maintain

a series of controls designed to address

these risks.

Regulatory

fragmentation

environmental,

social

and

governance

topics,

and

the

elevated

risk

greenwashing arising from our service offering,

disclosures and commitments remain key risks

for 2026.

Financial crime risk

Financial crime, including

money laundering, terrorist

financing, sanctions violations,

fraud, bribery and corruption,

presents a major risk, as technological innovation and geopolitical developments increase the complexity of doing

business and heightened regulatory attention

continues.

effective

financial

crime

prevention

program

therefore

remains

essential,

and

continue

focus

enhancements to our global anti-money-laundering, know-your-client and sanctions

programs. Money laundering

and financial

fraud techniques

are becoming

increasingly sophisticated,

and heightened

geopolitical volatility

makes

the sanctions landscape more complex. We continue to take into consideration the risks of

illicit finance proceeds

and sanctions circumvention typologies

stemming from geopolitical developments,

political changes in

a number

of countries and evolving armed conflicts.

UBS Group fourth quarter 2025 report |

Risk, capital, liquidity and funding, and balance

sheet | Risk management and control

Operational risk

There is an increased risk of cyber-related operational

disruption to business activities at our

locations and those of

third-party suppliers due to the increasingly dynamic threat environment. This is intensified by

current geopolitical

factors and

evidenced by

the continuing

high volumes

and increasing

sophistication

of cyberattacks

against financial

institutions globally and on third-party service providers.

We remain

on heightened

alert to

respond to

and mitigate

elevated cyber-

and information-security threats

and

continue to invest

in improving our

technology infrastructure and information-security

governance to strengthen

our prevention,

detection and

response capabilities

against attacks.

In addition,

we operate

a global

framework

designed to drive enhancements in operational resilience

across all business divisions, and we work with the third-

party service providers that are of critical importance to our operations to assess their operational resilience in line

with our standards and to mitigate any identified

risks.

The increasing

interest in

data-driven advisory

processes and

the use

of generative

artificial intelligence

(AI) and

machine

learning

are

introducing

new

questions

the

fairness

algorithms,

data

life-cycle

management,

data

ethics,

data

privacy

and

security,

and

records

management.

have

established

framework and policy to support the mitigation

of these risks.

Further

progress

has

been

made

with

client

and

data

migration,

and

the

wind-down

legacy

Credit

Suisse

businesses and

infrastructure.

The risks

relating to

the operational

complexity and

the effective

management of

businesses in wind-down and application decommissioning continue to be

carefully monitored,

in addition to the

delivery of consolidated financial and regulatory

reporting submissions.

UBS Group fourth quarter 2025 report |

Risk, capital, liquidity and funding, and balance

sheet | Capital management

Capital management

The

disclosures

this

section

are

provided

for

UBS

Group

consolidated

basis

and

focus

key

developments during

the reporting

period and

information in

accordance with

the Basel III

framework, as

applicable

to Swiss systemically relevant banks (SRBs).

They should be read in conjunction

with “Capital management” in the

“Capital, liquidity and funding,

and balance sheet” section

of the UBS Group

Annual Report 2024, available

under

“Annual

reporting”

ubs.com/investors

which

provides

information

about

our

capital

management

objectives, planning and activities, as

well as the Swiss SRB total loss-absorbing capacity

(TLAC) framework.

In Switzerland, the

amendments to the Capital

Adequacy Ordinance (the CAO) that

incorporate the final Basel III

standards into

Swiss law,

including the

new ordinances

containing the

implementing provisions

for the

revised CAO,

entered into force on 1 January 2025.

UBS Group

holding

company

and

conducts

substantially

all

its

operations

through

UBS AG

and

subsidiaries thereof.

UBS Group

and UBS AG

contribute a

significant portion

their respective

capital

and

provide substantial

liquidity to

such subsidiaries.

Many of

these subsidiaries

are subject

to local

regulations requiring

compliance with minimum capital, liquidity

and similar requirements.

›

Refer to the 31 December 2025 Pillar 3 Report, which will be available as of 9 March 2026 under “Pillar 3

disclosures” at

ubs.com/investors

, for more information about additional regulatory disclosures for UBS Group AG

on a consolidated basis, as well as the significant regulated subsidiaries and sub-groups of UBS Group AG

›

Refer to the

UBS AG Annual

Report 2025,

which will

be available

as of 9 March

2026

under “Quarterly

reporting” at

ubs.com/investors

, for more information

about capital

and other

regulatory

information

for UBS AG

consolidated,

accordance

with the Basel

III framework,

as applicable

to Swiss SRBs

are

subject

the

going

and

gone

concern

requirements

the

Swiss

CAO,

which

include

additional

requirements applicable to Swiss

SRBs. The table below provides

the risk-weighted asset (RWA)-

and leverage ratio

denominator (LRD)-based requirements and

information as of 31 December 2025.

Effective 1 January

2025, a Pillar

2 capital add-on

for residual

exposures (after

collateral mitigation)

to hedge funds,

private equity and

family offices has

been introduced. This resulted

in an increase

of 20 basis points

in the RWA-

based going concern capital requirement

as of 31 December 2025.

UBS Group fourth quarter 2025 report |

Risk, capital, liquidity and funding, and balance

sheet | Capital management

Swiss SRB going and gone concern requirements and information

As of 31.12.25

RWA

LRD

USD m, except where indicated

in %

Required going concern capital

Total going concern capital

14.99

73,955

5.00

81,122

Common equity tier 1 capital

10.63

52,448

3.50

56,785

of which: minimum capital

4.50

22,203

1.50

24,337

of which: buffer capital

5.50

27,137

2.00

32,449

of which: countercyclical buffer

0.49

2,433

Maximum additional tier 1 capital

4.36

21,507

1.50

24,337

of which: additional tier 1 capital

3.50

17,269

1.50

24,337

of which: additional tier 1 buffer capital

0.80

3,947

Eligible going concern capital

Total going concern capital

18.48

91,176

5.62

91,176

Common equity tier 1 capital

14.44

71,262

4.39

71,262

Total loss-absorbing additional tier 1 capital

4.04

19,914

1.23

19,914

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

4.04

19,914

1.23

19,914

Required gone concern capital

Total gone concern loss-absorbing capacity

4,5,6

10.73

52,917

3.75

60,841

of which: base requirement including add-ons for market share and LRD

10.73

52,917

3.75

60,841

Eligible gone concern capital

Total gone concern loss-absorbing capacity

19.48

96,130

5.93

96,130

Total tier 2 capital

0.01

0.00

of which: non-Basel III-compliant tier 2 capital

0.00

TLAC-eligible senior unsecured debt

19.48

96,105

5.92

96,105

Total loss-absorbing capacity

Required total loss-absorbing capacity

25.71

126,872

8.75

141,963

Eligible total loss-absorbing capacity

37.96

187,307

11.54

187,307

Risk-weighted assets / leverage ratio denominator

Risk-weighted assets

493,397

Leverage ratio denominator

1,622,438

1 Includes applicable add-ons

of 1.64% for risk-weighted assets

(RWA) and 0.50% for

leverage ratio denominator (LRD),

of which 20 basis points

for RWA reflect a

Pillar 2 capital add-on

for the residual exposure

(after collateral mitigation)

to hedge funds,

private equity and

family offices, effective

1 January 2025.

2 Includes the

Pillar 2 add-on

for the residual

exposure (after collateral

mitigation) to hedge

funds, private

equity and family offices of 0.14%

for CET1 capital and 0.06%

for AT1 capital, effective

1 January 2025. For

AT1 capital, under

Pillar 1 requirements a maximum

of 4.3% of AT1

capital can be used to

meet going

concern requirements; 4.36% includes the

aforementioned Pillar 2 capital

add-on.

3 Our CET1 leverage ratio

requirement of 3.50% consists

of a 1.5% base

requirement, a 1.5% base

buffer capital requirement,

a 0.25% LRD add-on requirement and a 0.25% market share add-on requirement based on our Swiss credit business.

4 A maximum of 25% of the gone concern requirements can be met with instruments that have

a remaining maturity

of between one

and two years.

Once at least

75% of

the minimum

gone concern

requirement has been

met with

instruments that

have a remaining

maturity of greater

than two

years, all

instruments that have a remaining

maturity of between one

and two years remain

eligible to be included

in the total gone concern

capital.

5 From 1 January

2023, the resolvability discount

on the gone concern

capital requirements for systemically important

banks (SIBs) has been replaced with

reduced base gone concern capital requirements

equivalent to 75% of the total

going concern requirements (excluding countercyclical

buffer requirements and the Pillar

2 add-on).

6 As of July 2024,

the Swiss Financial Market

Supervisory Authority (FINMA) has the

authority to impose a surcharge

of up to 25% of

the total going concern capital

requirements (excluding countercyclical buffer requirements and the Pillar 2 add-on) should obstacles to an SIB’s resolvability be identified in future resolvability assessments.

7 Includes applicable add-ons of 1.08%

for RWA and 0.38% for LRD.

8 Reflects an add-back of 45% of unrealized gains from financial assets measured at fair value through other comprehensive income. Such gains do not qualify as CET1 capital but 45%

of these gains can be recognized as tier 2 capital.

Additional capital requirements for

UBS Group AG consolidated under current

requirements

As a result of the acquisition of

the Credit Suisse Group in 2023,

the capital add-ons applicable to SRBs based on

market

and

LRD

for

UBS

Group AG consolidated

will

increase commensurate

with

the

Group’s increased

market share

and higher

LRD after

the acquisition.

Based on

the existing

regulations, we currently

estimate that

this will add around USD 6bn to the Group’s tier 1 capital requirement, when fully phased in. The

phase-in of the

increased capital

requirements commenced

on 1 January

2026, with phase-in

add-ons to

RWA-based requirements

of 0.86% for

increased market

share and 0.79%

for higher LRD

and add-ons to

LRD-based requirements

of 0.30%

for increased market share and 0.28% for higher

LRD.

The phase-in will be completed by the beginning

of 2030.

UBS Group fourth quarter 2025 report |

Risk, capital, liquidity and funding, and balance

sheet | Capital management

Total loss-absorbing capacity

The table below provides Swiss SRB going and gone concern information based on the Swiss SRB

framework and

requirements that are discussed under “Capital management” in the “Capital, liquidity and funding, and

balance

sheet” section of

the UBS Group

Annual Report 2024,

available under “Annual

reporting” at

ubs.com/investors

Changes

the

Swiss

SRB

framework

and

requirements

after

the

publication

our

Annual

Report

2024

are

described above.

Swiss SRB going and gone concern information

USD m, except where indicated

31.12.25

30.9.25

31.12.24

Eligible going concern capital

Total going concern capital

91,176

94,950

87,739

Total tier 1 capital

91,176

94,950

87,739

Common equity tier 1 capital

71,262

74,655

71,367

Total loss-absorbing additional tier 1 capital

19,914

20,296

16,372

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

19,914

20,296

15,126

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

1,245

Eligible gone concern capital

Total gone concern loss-absorbing capacity

96,130

104,379

97,655

Total tier 2 capital

207

of which: non-Basel III-compliant tier 2 capital

207

TLAC-eligible senior unsecured debt

96,105

104,379

97,449

Total loss-absorbing capacity

187,307

199,329

185,394

Risk-weighted assets / leverage ratio denominator

Risk-weighted assets

493,397

504,897

498,538

Leverage ratio denominator

1,622,438

1,640,464

1,519,477

Capital and loss-absorbing capacity ratios (%)

Going concern capital ratio

18.5

18.8

17.6

of which: common equity tier 1 capital ratio

14.4

14.8

14.3

Gone concern loss-absorbing capacity ratio

19.5

20.7

19.6

Total loss-absorbing capacity ratio

38.0

39.5

37.2

Leverage ratios (%)

Going concern leverage ratio

5.6

5.8

of which: common equity tier 1 leverage ratio

4.4

4.6

4.7

Gone concern leverage ratio

5.9

6.4

Total loss-absorbing capacity leverage ratio

11.5

12.2

1 Reflects an add-back of

45% of unrealized gains from financial

assets measured at fair value through

other comprehensive income. Such gains do not

qualify as CET1 capital but

45% of these gains can

be recognized

as tier 2 capital.

Total loss-absorbing capacity and movement

Our TLAC decreased by USD 12.0bn to USD

187.3bn in the fourth quarter of 2025.

Going concern capital and movement

Our

going

concern

capital

decreased

USD 3.8bn

USD 91.2bn.

Our

common

equity

tier 1

(CET1)

capital

decreased by

USD 3.4bn to

USD 71.3bn, mainly

reflecting operating

profit before

tax of

USD 1.7bn, which

was

more than offset

by the recognition of

a new USD 3.0bn capital

reserve for expected future

share repurchases in

2026, dividend accruals

of USD 1.1bn, a

negative USD 0.3bn impact

from compensation-

and own-share-related

capital components,

a USD 0.3bn decrease in

eligible deferred tax assets

on temporary differences,

and current tax

expenses of USD 0.3bn.

Share repurchases

of USD 0.9bn made

under our 2025

share repurchase

program in the

fourth quarter of

2025 did

not affect our

CET1 capital

position, as there

was an

equal reduction

in the capital

reserve for

expected future

repurchases in 2025. The remaining

capital reserve for expected

future share repurchases in

2025 was fully utilized

in the fourth quarter of 2025 with the completion

of our 2025 share repurchase program

on 20 November 2025.

›

Refer to the “Share information and earnings per share” section of this report for more information about our

share repurchase programs

UBS Group fourth quarter 2025 report |

Risk, capital, liquidity and funding, and balance

sheet | Capital management

Our loss-absorbing additional

tier 1 (AT1) capital decreased

by USD 0.4bn to

USD 19.9bn,

mainly reflecting the call

of one AT1 capital instrument equivalent to

USD 0.4bn.

Following the approval of a maximum amount of conversion capital by UBS Group AG’s shareholders at the 2024

Annual General

Meeting, AT1

capital instruments

issued from

the beginning

of the

fourth quarter

of 2023

are,

upon the

occurrence of

a trigger event

or a

viability event,

subject to

conversion into

UBS Group AG

ordinary shares

rather than a

write-down. AT1 capital instruments

issued prior to

the fourth quarter of

2023 remain subject to

write-down.

Gone concern loss-absorbing capacity and movement

Our

total

gone

concern

loss-absorbing

capacity

decreased

USD 8.2bn

USD 96.1bn

and

largely

reflected

USD 96.1bn

TLAC-eligible

senior

unsecured

debt

instruments.

The

decrease

USD 8.2bn

mainly

reflected

USD 5.8bn

TLAC-eligible

senior

unsecured

debt

instruments

that

repurchased

November

2025

under

tender

offers

and

the

redemption

TLAC-eligible

senior

unsecured

debt

instruments

for

the

equivalent

USD 5.5bn. These

decreases were

partly offset

by new

issuances of

TLAC-eligible senior

unsecured debt

instruments

totaling the equivalent of USD 3.3bn.

›

Refer to “Other developments” in the “Recent developments” section of this report for more information about the

repurchase of legacy Credit Suisse debt

›

Refer to “Bondholder information” at

ubs.com/investors

for more information about the eligibility of capital and

senior unsecured debt instruments and about key features and terms and conditions of capital instruments

Loss-absorbing capacity and leverage ratios

Our

CET1 capital

ratio

decreased to

14.4% from

14.8%,

reflecting

the aforementioned

USD 3.4bn decrease

CET1 capital,

partly offset by an USD 11.5bn decrease

in the RWA.

›

Refer to “Risk-weighted assets” in this section for more information about RWA movements

Our CET1

leverage ratio

decreased to

4.4% from

4.6%,

reflecting the

aforementioned

USD 3.4bn decrease

in CET1

capital,

partly offset by an USD 18.0bn decrease in

the LRD.

›

Refer to “Leverage ratio denominator” in this section for more information about LRD movements

Our going

concern capital

ratio decreased

to 18.5%

from 18.8%,

reflecting a

USD 3.8bn decrease

in going

concern

capital,

partly offset by the aforementioned decrease

in the RWA.

Our going concern

leverage

ratio decreased

to 5.6% from

5.8%, reflecting

a USD 3.8bn decrease in going concern

capital,

partly offset by the

aforementioned

decrease in the

LRD.

Our gone

concern loss-absorbing

capacity ratio

decreased to

19.5% from

20.7%, reflecting

an USD 8.2bn

decrease

in gone concern loss-absorbing capacity,

partly offset by the aforementioned decrease in

the RWA.

Our gone concern

leverage ratio

decreased to 5.9%

from 6.4%, reflecting

an USD 8.2bn

decrease in

gone concern

loss-absorbing capacity,

partly offset by the aforementioned decrease

in the LRD.

UBS Group fourth quarter 2025 report |

Risk, capital, liquidity and funding, and balance

sheet | Capital management

Swiss SRB total loss-absorbing capacity movement

USD m

Going concern capital

Swiss SRB

Common equity tier 1 capital as of 30.9.25

74,655

Operating profit / (loss) before tax

1,700

Current tax (expense) / benefit

(276)

Foreign currency translation effects, before tax

134

Share repurchase program

(904)

Capital reserve for expected future share repurchases in

2025

904

Capital reserve for expected future share repurchases in

2026

(3,000)

Accruals for expected dividends to shareholders for 2025

(1,109)

Compensation-

and own-share-related capital components

(344)

Eligible deferred tax assets on temporary differences (including

excess over threshold)

(323)

Other

(175)

Common equity tier 1 capital as of 31.12.25

71,262

Loss-absorbing additional tier 1 capital as of 30.9.25

20,296

Call of high-trigger loss-absorbing additional tier 1 capital

(354)

Interest rate risk hedge, foreign currency translation and other effects

(28)

Loss-absorbing additional tier 1 capital as of 31.12.25

19,914

Total going concern capital as of 30.9.25

94,950

Total going concern capital as of 31.12.25

91,176

Gone concern loss-absorbing capacity

Tier 2 capital as of 30.9.25

Interest rate risk hedge, foreign currency translation and other effects

Tier 2 capital as of 31.12.25

TLAC-eligible unsecured debt as of 30.9.25

104,379

Issuance of TLAC-eligible senior unsecured debt

3,302

Call of TLAC-eligible senior unsecured debt

(5,506)

Instruments repurchased under the tender offers

(5,824)

Interest rate risk hedge, foreign currency translation and other effects

(246)

TLAC-eligible unsecured debt as of 31.12.25

96,105

Total gone concern loss-absorbing capacity as of 30.9.25

104,379

Total gone concern loss-absorbing capacity as of 31.12.25

96,130

Total loss-absorbing capacity

Total loss-absorbing capacity as of 30.9.25

199,329

Total loss-absorbing capacity as of 31.12.25

187,307

1 Includes one debt instrument (ISIN US902613AU26) that ceased to be eligible as gone concern capital

when we issued a notice of redemption of the instrument in the fourth quarter of 2025.

UBS Group fourth quarter 2025 report |

Risk, capital, liquidity and funding, and balance

sheet | Capital management

Reconciliation of equity under IFRS Accounting Standards to Swiss SRB common equity tier 1 capital

USD m

31.12.25

30.9.25

31.12.24

Total equity under IFRS Accounting Standards

90,484

90,204

85,574

Equity attributable to non-controlling interests

(271)

(305)

(494)

Defined benefit plans, net of tax

(957)

(833)

Deferred tax assets recognized for tax loss carry-forwards

(2,434)

(2,306)

(2,288)

Deferred tax assets for unused tax credits

(827)

(883)

(688)

Deferred tax assets on temporary differences, excess over threshold

(1,242)

(1,081)

(803)

Goodwill, net of tax

(5,787)

(5,785)

(5,702)

Intangible assets, net of tax

(683)

(714)

(702)

Compensation-related components (not recognized in net profit)

(2,441)

(2,298)

(2,800)

Expected losses on advanced internal ratings-based portfolio less provisions

(876)

(721)

(568)

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

1,339

1,349

2,585

Own credit related to (gains) / losses on financial liabilities

measured at fair value that existed at the balance sheet

date, net of tax

1,660

1,588

1,178

Own credit related to (gains) / losses on derivative financial instruments

that existed at the balance sheet date

(65)

(73)

(62)

Prudential valuation adjustments

(148)

(177)

(167)

Accruals for dividends to shareholders for 2024

(2,835)

Accruals for expected dividends to shareholders for 2025

(3,449)

(2,340)

Capital reserve for expected future share repurchases in

2025

(904)

Capital reserve for expected future share repurchases in

2026

(3,000)

Other

(40)

(25)

Total common equity tier 1 capital

71,262

74,655

71,367

1 Includes goodwill related to significant investments in financial institutions of USD 34m as of 31 December 2025 (USD 34m as of 30 September 2025,

USD 19m as of 31 December 2024) presented on the balance

sheet line Investments in associates.

CET1 capital ratio for UBS AG standalone

On a standalone basis as

of 31 December 2025, UBS

AG’s fully applied CET1

capital ratio is expected

to be around

14.2%. Additional capital information and

final capital figures for

UBS AG standalone will

be published with

our

31 December

2025

Pillar 3

report,

which

will

available

9 March

2026

under

“Pillar 3

disclosures”

ubs.com/investors

Additional information

Sensitivity to currency movements

Risk-weighted assets

We estimate that a 10% depreciation of the US dollar against other currencies would have increased our RWA by

USD 23bn

and

our

CET1

capital

USD 2.7bn

December

2025

(30

September

2025:

USD 24bn

and

USD 2.7bn, respectively)

and decreased

our CET1

capital ratio

13 basis points

(30 September

2025: 16 basis

points). Conversely, a 10% appreciation of the US dollar against other currencies would

have decreased our RWA

by USD 21bn

and our

CET1 capital

by USD 2.4bn

(30 September

2025: USD 21bn

and USD 2.4bn,

respectively)

and increased our CET1 capital ratio by 13

basis points (30 September 2025: 16 basis points).

Leverage ratio denominator

We estimate that a

10% depreciation of the

US dollar against other

currencies would have increased our

LRD by

USD 109bn as of 31 December 2025 (30 September 2025: USD

108bn) and decreased our CET1 leverage ratio by

12 basis points

(30 September

2025: 13 basis

points). Conversely,

a 10%

appreciation of

the US

dollar against

other

currencies would have decreased our LRD by USD 98bn (30 September

2025: USD 98bn) and increased our CET1

leverage ratio by 12 basis points (30 September

2025: 13 basis points).

The aforementioned

sensitivities do

not consider

foreign currency

translation effects

related to

defined benefit

plans

other than those related to the currency

translation of the net equity of foreign operations.

›

Refer to “Active management of sensitivity to foreign exchange movements” under “Capital management” in the

“Capital, liquidity and funding, and balance sheet” section of the UBS Group Annual Report 2024, available under

“Annual reporting” at

ubs.com/investors

, for more information

UBS Group fourth quarter 2025 report |

Risk, capital, liquidity and funding, and balance

sheet | Capital management

Risk-weighted assets

During

the

fourth

quarter

2025,

RWA

decreased

USD 11.5bn

USD 493.4bn,

driven

USD 10.8bn

decrease resulting from asset size and

other movements and a USD 1.3bn decrease driven

by model updates and

methodology changes,

partly offset by a USD 0.6bn increase from currency

effects.

Movement in risk-weighted assets, by key driver

USD bn

RWA as of

30.9.25

Currency

effects

Model updates

and methodology

changes

Asset size and

other

RWA as of

31.12.25

Credit and counterparty credit risk

305.2

0.6

(1.3)

(4.5)

299.9

Non-counterparty-related risk

35.1

0.0

(0.9)

34.3

Market risk

28.2

(4.5)

23.8

Operational risk

136.4

(1.0)

135.4

Total

504.9

0.6

(1.3)

(10.8)

493.4

1 Includes the

Pillar 3 categories

“Asset

size”, “Credit

quality of counterparties”,

“Acquisitions

and disposals”

and “Other”.

For more

information, refer

to the 31

December 2025

Pillar 3 Report,

which will

available as

of 9

March 2026

under “Pillar 3

disclosures” at

ubs.com/investors.

2 Includes settlement

risk, credit

valuation adjustments,

equity and

investments in

funds exposures

in the

banking book,

and

securitization exposures in the banking book.

3 Non-counterparty-related risk includes deferred tax assets arising from temporary differences,

property, equipment, software and other items.

Credit and counterparty credit risk

Credit and counterparty

credit risk RWA

decreased by USD 5.2bn

to USD 299.9bn as

of 31 December 2025,

driven

by a USD 4.5bn decrease resulting from asset size and other movements and a USD 1.3bn decrease due to model

updates and methodology changes, partly offset

by a USD 0.6bn increase from currency effects.

Asset size and other movements by business

division and Group Items

–

Investment Bank

RWA decreased

by USD 2.7bn,

mainly due

to lower

RWA on

derivatives and

securities financing

transactions,

reflecting risk mitigation, roll-offs and market-driven

movements.

–

Non-core

and

Legacy

RWA

decreased

USD 1.0bn,

primarily

driven

our

actions

actively

unwind

the

portfolio, in addition to the natural roll-off.

–

Global Wealth Management RWA decreased by

USD 0.9bn, mainly due to lower RWA on derivatives.

–

Asset Management RWA decreased by USD 0.1bn.

–

Personal & Corporate Banking RWA decreased

by USD 0.1bn.

–

Group Items RWA increased by USD 0.3bn.

Model updates

and methodology

changes resulted

in an RWA

decrease of

USD 1.3bn, mainly

reflecting lower

RWA

on Lombard lending in

Global Wealth Management, partly offset

by an RWA increase

following the migration of

exposures from Credit Suisse models.

›

Refer to the 31 December 2025 Pillar 3 Report, which will be available as of 9 March 2026 under “Pillar 3

disclosures” at

ubs.com/investors

, for more information

›

Refer to “Credit risk” in the “Risk management and control” section of this report for more information

Market risk

Market risk RWA

decreased by

USD 4.5bn to USD

23.8bn in the

fourth quarter

of 2025, due

to asset size

and other

movements in the Investment Bank’s Global Markets business and, to a lesser extent, from de-risking within Non-

core and Legacy.

›

Refer to the 31 December 2025 Pillar 3 Report, which will be available as of 9 March 2026 under “Pillar 3

disclosures” at

ubs.com/investors

, for more information

›

Refer to “Market risk” in the “Risk management and control” section of this report for more information

UBS Group fourth quarter 2025 report |

Risk, capital, liquidity and funding, and balance

sheet | Capital management

Operational risk

Operational risk RWA decreased by USD 1.0bn to USD 135.4bn.

Operational risk RWA as of 31 December 2025 is

based on

the business

indicator component, which

is derived

from average

financial statement metrics

between

2023 and

2025, and the

internal loss multiplier,

which is

derived from average

operational losses between

2016

and 2025.

›

Refer to “Non-financial risk” in the “Risk management and control” section of the UBS Group Annual Report 2025,

which will be available as of 9 March 2026 under “Annual reporting” at

ubs.com/investors

, for more information

about the standardized approach used to measure Group operational risk exposure and calculate operational risk

regulatory capital

›

Refer to the 31 December 2025 Pillar 3 Report, which will be available as of 9 March 2026 under “Pillar 3

disclosures” at

ubs.com/investors

, for more information

›

Refer to “Provisions and contingent liabilities” in the “Consolidated financial information” section of this report for

more information

Outlook

expect

model

updates

and

methodology

changes

will

increase

credit

and

counterparty

credit

risk

RWA

around

USD 3bn

during

the

first

quarter

2026.

The

extent

and

timing

RWA

changes

may

vary

model

updates are

completed and

receive regulatory

approval, along

with changes

in the

composition of

the relevant

portfolios.

Risk-weighted assets, by business division and Group Items

USD bn

Global Wealth

Management

Personal &

Corporate

Banking

Asset

Manage-

ment

Investment

Bank

Non-core and

Legacy

Group

Items

Total

RWA

31.12.25

Credit and counterparty credit risk

99.3

130.3

6.9

55.1

3.8

4.6

299.9

Non-counterparty-related risk

7.2

2.9

0.8

4.6

0.2

18.6

34.3

Market risk

0.5

0.0

22.4

0.9

0.0

23.8

Operational risk

59.4

17.2

6.1

25.4

24.0

3.3

135.4

Total

166.4

150.4

13.8

107.4

28.8

26.5

493.4

30.9.25

Credit and counterparty credit risk

102.1

129.3

7.0

58.1

4.8

3.8

305.2

Non-counterparty-related risk

7.2

2.9

0.8

4.6

0.2

19.4

35.1

Market risk

0.6

0.0

25.9

1.7

(0.1)

28.2

Operational risk

60.4

18.5

6.5

23.8

24.0

3.2

136.4

Total

170.3

150.8

14.2

112.5

30.7

26.3

504.9

31.12.25 vs 30.9.25

Credit and counterparty credit risk

(2.8)

1.0

(0.1)

(3.1)

(1.0)

0.8

(5.2)

Non-counterparty-related risk

0.0

(0.8)

Market risk

(0.1)

0.0

(3.6)

(0.8)

0.0

(4.5)

Operational risk

(1.0)

(1.3)

(0.4)

1.6

(0.1)

0.1

(1.0)

Total

(3.9)

(0.4)

(5.0)

(1.9)

0.2

(11.5)

1 Includes settlement risk, credit valuation adjustments,

equity and investments in funds exposures in the

banking book, and securitization exposures in the

banking book.

2 Non-counterparty-related risk includes

deferred tax assets arising from temporary

differences (31 December 2025: USD 18.1bn; 30 September 2025: USD 18.9bn), as

well as property, equipment, software and other items (31 December 2025: USD 16.1bn;

30 September 2025: USD 16.2bn).

UBS Group fourth quarter 2025 report |

Risk, capital, liquidity and funding, and balance

sheet | Capital management

Leverage ratio denominator

During the fourth

quarter of 2025,

the LRD decreased

by USD 18.0bn to

USD 1,622.4bn,

driven by an

USD 18.9bn

decrease from asset size and other movements,

partly offset by a USD 0.8bn increase from currency

effects.

Movement in leverage ratio denominator, by key driver

USD bn

LRD as of

30.9.25

Currency

effects

Asset size and

other

LRD as of

31.12.25

On-balance sheet exposures (excluding derivatives and securities

financing transactions)

1,257.9

1.3

(1.1)

1,258.1

Derivative exposures

162.1

(0.2)

(10.7)

151.2

Securities financing transaction exposures

157.1

(0.4)

(8.4)

148.2

Off-balance sheet items

63.4

0.1

1.4

64.9

Total exposures

1,640.5

0.8

(18.9)

1,622.4

The LRD movements described below exclude

currency effects.

On-balance sheet exposures (excluding derivatives and securities

financing transactions) decreased by USD 1.1bn,

mainly

reflecting

decreases

cash

and

balances

central

banks

Group

Treasury

and

trading

assets

the

Investment

Bank,

driven

decrease

inventory held

hedge

client

positions

due

lower

levels

client

activity. These decreases were partly offset by increases in lending

assets, mainly driven by net new loans in Global

Wealth Management,

and high-quality liquid asset portfolio securities

in Group Treasury.

Derivative exposures

decreased by

USD 10.7bn, primarily

reflecting

roll-offs and

higher

netting,

partly

offset by

market-driven movements.

Securities financing

transaction exposures

decreased by

USD 8.4bn, mainly

due to

roll-offs of

cash reinvestment

trades in Group

Treasury, partly offset by

increases in brokerage receivables

mostly resulting from higher

levels of

client activity in the Investment Bank.

Off-balance sheet exposures increased by

USD 1.4bn, mainly due to increases in commitments.

›

Refer to the “Balance sheet and off-balance sheet” section of this report for more information about balance sheet

movements

Leverage ratio denominator, by business division and Group Items

USD bn

Global Wealth

Management

Personal &

Corporate

Banking

Asset

Management

Investment

Bank

Non-core and

Legacy

Group Items

Total

31.12.25

On-balance sheet exposures (excluding derivatives and securities

financing transactions)

514.0

441.8

5.0

272.1

12.3

12.9

1,258.1

Derivative exposures

26.7

6.1

0.0

115.2

3.0

0.1

151.2

Securities financing transaction exposures

49.8

36.3

0.1

58.7

3.5

0.0

148.2

Off-balance sheet items

17.6

29.9

0.1

16.8

0.3

64.9

Total exposures

608.0

514.0

5.2

462.9

19.1

13.3

1,622.4

30.9.25

On-balance sheet exposures (excluding derivatives and securities

financing transactions)

511.1

438.8

4.9

273.3

16.8

12.9

1,257.9

Derivative exposures

31.8

7.0

0.0

120.1

3.3

0.0

162.1

Securities financing transaction exposures

53.4

37.4

0.1

61.1

5.0

0.0

157.1

Off-balance sheet items

17.8

29.3

0.1

15.4

0.5

0.3

63.4

Total exposures

614.2

512.5

5.1

470.0

25.6

13.2

1,640.5

31.12.25 vs 30.9.25

On-balance sheet exposures (excluding derivatives and securities

financing transactions)

2.9

0.1

(1.2)

(4.5)

0.0

0.2

Derivative exposures

(5.0)

(0.9)

0.0

(4.9)

(0.3)

0.2

(10.9)

Securities financing transaction exposures

(3.7)

(1.1)

0.0

(2.5)

(1.5)

(0.1)

(8.9)

Off-balance sheet items

(0.3)

0.5

0.0

1.5

(0.2)

0.0

1.5

Total exposures

(6.1)

1.5

0.1

(7.1)

(6.5)

0.1

(18.0)

UBS Group fourth quarter 2025 report |

Risk, capital, liquidity and funding, and balance

sheet | Capital management

Equity attribution

Under our equity attribution

framework, tangible equity

is attributed based on

equally weighted average

RWA and

average LRD, which both include resource allocations from our Group functions to the business divisions. Average

RWA and LRD are converted

to CET1 capital equivalents

using target capital ratios.

If the attributed tangible equity

calculated under the weighted-driver approach is less than

the CET1 capital equivalent of risk-based capital (RBC)

for any business division,

the CET1 capital equivalent of RBC is used as a floor for that

business division.

The floor

was

applicable

for

Non-core

and

Legacy

all

the

periods

shown

below

and

was

applicable

for

Asset

Management in all such periods except for

the fourth quarter and third quarter of

2025.

In addition to

tangible equity,

we allocate equity

to the business

divisions to

support goodwill

and intangible

assets.

also

allocate

the

business

divisions

attributed

equity

CET1

capital

deduction

items

that

are

attributable to divisional activities, such as compensation-related components or expected losses on the advanced

internal ratings-based portfolio less provisions. We attribute all remaining capital deduction items to Group Items.

These

primarily

include

equity

deferred

tax

assets,

accruals

for

shareholder

returns,

and

unrealized

gains / losses from cash flow hedges.

›

Refer to the “Balance sheet and off-balance sheet” section of this report for more information about movements in

equity attributable to shareholders

Average attributed equity

For the quarter ended

As of or for the year ended

USD bn

31.12.25

30.9.25

31.12.24

31.12.25

31.12.24

Global Wealth Management

34.5

33.6

34.2

33.3

Personal & Corporate Banking

22.0

21.3

21.4

21.6

Asset Management

2.5

2.4

2.8

2.5

2.7

Investment Bank

18.9

18.5

17.3

18.4

17.1

Non-core and Legacy

4.0

4.5

8.7

5.4

9.5

Group Items

8.2

7.6

2.3

6.7

1.1

Average equity attributed to business divisions and Group Items

90.1

89.6

86.1

88.5

85.2

1 Includes average attributed equity related to capital deduction items for deferred tax assets, accruals for

shareholder returns and unrealized gains / losses from cash flow hedges.

UBS Group fourth quarter 2025 report |

Risk, capital, liquidity and funding, and balance

sheet | Liquidity and funding management

Liquidity and funding management

Strategy, objectives and governance

This

section

provides

liquidity

and

funding

management

information

and

should

read

conjunction

with

“Liquidity and funding

management” in

the “Capital,

liquidity and funding,

and balance sheet”

section of the

UBS

Group

Annual

Report

2024,

available

under

“Annual

reporting”

ubs.com/investors

which

provides

information

about

the

Group’s

strategy,

objectives

and

governance

connection

with

liquidity

and

funding

management.

Liquidity coverage ratio

The quarterly average

liquidity coverage

ratio (the LCR)

of the UBS

Group remained

broadly unchanged

at 182.6%,

remaining above

the prudential

requirement communicated

by the

Swiss Financial

Market Supervisory

Authority

(FINMA).

Average net cash outflows decreased by USD 8.7bn to USD 181.7bn, reflecting higher net

inflows from securities

financing transactions

and lower net

outflows from

derivatives. The effect

of the decrease

in net cash

outflows was

offset by a

USD 15.0bn decrease in

average high-quality liquid assets,

mainly reflecting lower

cash available,

due

to higher lending assets and brokerage receivables,

and lower amounts due to banks.

›

Refer to the

31 December 2025 Pillar 3 Report, which will be available as of 9 March 2026 under “Pillar 3

disclosures” at

ubs.com/investors

, for more information about the LCR

Liquidity coverage ratio

USD bn, except where indicated

Average 4Q25

Average 3Q25

High-quality liquid assets

331.6

346.6

Net cash outflows

181.7

190.4

Liquidity coverage ratio (%)

182.6

182.1

1 Calculated based on an average of 64

data points in the fourth quarter of 2025 and 65

data points in the third quarter of 2025.

2 Represents the net cash outflows expected over a stress period

of 30 calendar

days.

3 Calculated after the application of haircuts and inflow and outflow rates, as well as,

where applicable, caps on Level 2 assets and cash inflows.

Net stable funding ratio

As of

31 December 2025,

the net

stable funding

ratio (the

NSFR) of

the UBS

Group decreased

3.6 percentage

points

to 116.1%, remaining above the prudential

requirement communicated by FINMA.

Available

stable

funding

decreased

USD 16.7bn

USD 882.0bn,

mainly

driven

decreases

debt

issued

measured

amortized

cost

and

regulatory

capital.

Required

stable

funding

increased

USD 8.9bn

USD 759.8bn,

mainly

reflecting

higher

lending

assets,

partly

offset

lower

derivatives

and

cash

collateral

receivables on derivative instruments.

›

Refer to the 31 December 2025 Pillar 3 Report, which will be available as of 9 March 2026 under “Pillar 3

disclosures” at

ubs.com/investors

, for more information about the NSFR

Net stable funding ratio

USD bn, except where indicated

31.12.25

30.9.25

Available stable funding

882.0

898.8

Required stable funding

759.8

751.0

Net stable funding ratio (%)

116.1

119.7

UBS Group fourth quarter 2025 report |

Risk, capital, liquidity and funding, and balance

sheet | Balance sheet and off-balance sheet

Balance sheet and off-balance sheet

This

section

provides

balance

sheet

and

off-balance sheet

information

and

should

read

conjunction

with

“Balance sheet

and off-balance

sheet” in

the “Capital,

liquidity and

funding, and

balance sheet”

section of

the

UBS Group

Annual Report

2024, available

under “Annual reporting”

ubs.com/investors

, which

provides more

information about the balance sheet and off-balance

sheet positions.

Balances disclosed in this

report represent quarter-end

positions, unless indicated

otherwise. Intra-quarter balances

fluctuate in the ordinary course of business

and may differ from quarter-end positions.

Balance sheet assets (31 December 2025

vs 30 September 2025)

Total assets

were USD 1,617.4bn

as of

31 December 2025,

a decrease

of USD 14.9bn

compared with

30 September

2025.

Securities

financing transactions

amortized cost

decreased

USD 11.6bn,

mainly

reflecting roll-offs

cash

reinvestment trades in Group

Treasury. Cash and balances at

central banks decreased by USD 8.8bn,

mainly due to

outflows from the

repurchase and net redemptions

of long-term debt issued

measured at amortized cost,

higher

lending activities and

purchases of high-quality

liquid asset (HQLA)

portfolio securities,

partly offset by

inflows from

net roll-offs of

securities financing transactions

measured at amortized

cost and issuances

of commercial paper

and

certificates of

deposit.

Derivatives and

cash collateral

receivables on

derivative instruments

decreased by

USD 8.4bn,

mainly

the

Investment

Bank,

primarily

reflecting

roll-offs,

partly

offset

market-driven

movements.

Trading

assets decreased

by USD 3.8bn,

mainly in

the Investment

Bank, driven

by a

decrease in

inventory held

to hedge

client positions due to lower levels of client activity.

These

decreases

were

partly

offset

USD 7.6bn

increase

Lending

assets,

primarily

Global

Wealth

Management,

mainly driven

by net

new loans.

Other financial

assets measured

at fair

value increased

by USD 5.8bn,

mainly

reflecting

purchases

HQLA

portfolio

securities.

Brokerage

receivables

increased

USD 5.0bn,

predominantly in Financing in the Investment

Bank, mostly resulting from higher levels of client

activity.

Assets

As of

% change from

USD bn

31.12.25

30.9.25

Cash and balances at central banks

209.9

218.7

(4)

Lending

673.5

665.9

Securities financing transactions at amortized cost

83.7

95.3

(12)

Trading assets

174.7

178.5

(2)

Derivatives and cash collateral receivables on derivative instruments

189.3

197.7

(4)

Brokerage receivables

35.6

30.6

Other financial assets measured at amortized cost

71.9

72.7

(1)

Other financial assets measured at fair value

121.4

115.6

Non-financial assets

57.5

57.2

Total assets

1,617.4

1,632.3

(1)

1 Consists of Loans and advances to customers and Amounts due from banks.

2 Consists of Financial assets at fair value not held for trading and Financial assets measured at fair

value through other comprehensive

income.

Balance sheet liabilities (31 December

2025 vs 30 September 2025)

Total

liabilities

were

USD 1,526.9bn

31 December

2025,

decrease

USD 15.1bn

compared

with

30 September 2025.

Debt

issued

designated

fair

value

and

long-term

debt

issued

measured

amortized

cost

decreased

USD 9.0bn, mainly due to

the repurchase of legacy

Credit Suisse debt and

net redemptions. Derivatives and cash

collateral

payables

derivative

instruments

decreased

USD 7.0bn,

predominantly

the

Investment

Bank,

reflecting the same drivers as on the asset

side.

These decreases were partly offset by

a USD 5.3bn increase in Customer deposits,

mainly due to net

new deposit

inflows in Personal & Corporate Banking and

Global Wealth Management.

›

Refer to “Bondholder information” at

ubs.com/investors

for more information about capital and senior debt

instruments

›

Refer to the “Consolidated financial information” section of this report for more information

UBS Group fourth quarter 2025 report |

Risk, capital, liquidity and funding, and balance

sheet | Balance sheet and off-balance sheet

Liabilities and equity

As of

% change from

USD bn

31.12.25

30.9.25

Short-term borrowings

1,2

58.3

57.1

Securities financing transactions at amortized cost

16.2

18.7

(13)

Customer deposits

788.4

783.1

Debt issued designated at fair value and long-term debt issued measured

at amortized cost

294.6

303.6

(3)

Trading liabilities

53.7

53.8

Derivatives and cash collateral payables on derivative instruments

190.5

197.5

(4)

Brokerage payables

62.2

62.1

Other financial liabilities measured at amortized cost

15.9

17.0

(6)

Other financial liabilities designated at fair value

28.2

30.5

(8)

Non-financial liabilities

19.0

18.8

Total liabilities

1,526.9

1,542.0

(1)

Share capital

0.3

Share premium

9.2

8.9

Treasury shares

(7.9)

(6.6)

Retained earnings

82.7

81.7

Other comprehensive income

5.8

5.6

Total equity attributable to shareholders

90.2

89.9

Equity attributable to non-controlling interests

0.3

(11)

Total equity

90.5

90.2

Total liabilities and equity

1,617.4

1,632.3

(1)

1 Consists of short-term debt issued measured at amortized cost and amounts due to banks, which includes amounts due to central banks.

2 The classification of debt issued measured at amortized cost into short-

term and long-term is based

on original contractual

maturity and therefore long-term

debt also includes debt

with a remaining time

to maturity of less

than one year.

This classification does

not consider any

early

redemption features.

3 Excludes other comprehensive income related to defined benefit plans and own credit, which is recorded directly in Retained earnings.

Equity (31 December 2025 vs 30 September

2025)

Equity attributable to shareholders increased

by USD 314m to USD 90,213m as of 31

December 2025.

The

net

increase

USD 314m

was

mainly

driven

positive

total

comprehensive

income

attributable

shareholders

USD 1,275m, reflecting

net

profit

USD 1,199m

and

other

comprehensive

income

(OCI)

USD 76m. OCI mainly included OCI related to foreign currency translation of USD 144m and negative OCI related

to own credit

on financial liabilities

designated at fair

value of USD 87m.

In addition, there

was an increase

in share

premium, due to

deferred share-based compensation awards of

USD 186m, which were expensed

in the income

statement, and a tax benefit of USD 122m.

These increases were

partly offset by

net treasury share

activity that reduced

equity by USD 1,269m,

predominantly

due

repurchases

USD 904m

under

our

2025

repurchase

program

and

the

purchasing

USD 421m of shares in relation to employee

share-based compensation plans.

›

Refer to the “Group performance” and “Consolidated financial information” sections of this report for more

information

›

Refer to “Reconciliation of equity under IFRS Accounting Standards to Swiss SRB common equity tier 1 capital” in

the “Capital management” section of this report for more information about the effects of OCI on common equity

tier 1 capital

›

Refer to the “Share information and earnings per share”

section of this report for more information about our

share repurchase programs

UBS Group fourth quarter 2025 report |

Risk, capital, liquidity and funding, and balance

sheet | Balance sheet and off-balance sheet

Off-balance sheet (31 December 2025 vs

30 September 2025)

Committed unconditionally revocable credit

lines decreased by USD 16.6bn,

mainly driven by decreases

in facilities

provided

clients in

Personal &

Corporate Banking

and

Global

Wealth Management.

Forward starting

reverse

repurchase and

securities borrowing

agreements decreased

by USD 7.8bn,

reflecting a

decrease in

levels of

business

division activity in short-dated securities financing

transactions.

Off-balance sheet

As of

% change from

USD bn

31.12.25

30.9.25

Guarantees

1,2

45.8

42.9

Irrevocable loan commitments

82.1

79.6

Committed unconditionally revocable credit lines

119.7

136.3

(12)

Forward starting reverse repurchase and securities borrowing agreements

10.7

18.5

(42)

1 Guarantees and irrevocable loan commitments are shown net of sub-participations.

2 Includes guarantees measured at fair value through profit or loss.

Share information and earnings per share

UBS Group AG

are

listed

the

SIX

Swiss

Exchange

(SIX).

They

are

also

listed

the

New

York

Stock

Exchange (the NYSE) as global registered shares. Each share has

a nominal value of USD 0.10. Shares issued were

unchanged in the fourth quarter of 2025 compared

with the third quarter of 2025.

We held

250 million

shares as

of 31 December

2025, of

which 116

million shares

had been

acquired under our

2024 and

2025 share

repurchase programs

for cancellation

purposes. The

remaining

134 million

shares are

primarily

held to

hedge our

share delivery

obligations related

to employee

share-based compensation

and participation

plans.

Treasury shares held increased

by 32 million shares in the

fourth quarter of 2025. This

largely reflected repurchases

of 23.2 million shares under our 2025

program and the purchasing of 11.3 million shares

in relation to employee

share-based compensation plans.

Shares acquired under our 2025

program totaled 53 million

as of 31 December 2025 for

a total acquisition cost

USD 2,000m

(CHF 1,602m).

This

program

was

completed

20 November

2025,

and

the

million

repurchased

under

this

program

will

canceled

means

capital

reduction,

subject

approval

the

shareholders at a future Annual General Meeting

(AGM).

Shares acquired under our 2024

program totaled 64 million

as of 31 December 2025 for

a total acquisition cost

USD 2,000m (CHF 1,739m). This program

was completed on 23 May 2025,

and the 64 million shares

repurchased

under this program will be canceled by

means of a capital reduction, subject to

approval by the shareholders at a

future AGM.

We intend

to repurchase

USD 3bn of

shares in

2026 with

the aim

to do

more. The

amount of

additional repurchases

subject

further

clarity

around

the

future

regulatory

regime

Switzerland,

our

financial

performance

and

maintaining a common equity tier 1 capital

ratio of around 14%. Beyond

2026, we intend to

continue to pursue

share repurchases that will be calibrated

based on our financial results, our

capital ratio and the final outcome

and

timing of the implementation of the new regulatory

regime in Switzerland.

›

Refer to the “Equity, CET1 capital and returns” table in the “Group performance” section of this report

for more

information about equity attributable to shareholders and tangible equity attributable to shareholders

UBS Group fourth quarter 2025 report |

Risk, capital, liquidity and funding, and balance

sheet | Share information and earnings per share

Share information and earnings per share

As of or for the quarter ended

As of or for the year ended

31.12.25

30.9.25

31.12.24

31.12.25

31.12.24

Basic and diluted earnings (USD m)

Net profit / (loss) attributable to shareholders for basic

EPS

1,199

2,481

770

7,767

5,085

less: (profit) / loss on own equity derivative contracts

Net profit / (loss) attributable to shareholders for diluted

EPS

1,199

2,481

770

7,767

5,085

Weighted average shares outstanding

Weighted average shares outstanding for basic EPS

3,105,654,692

3,144,628,677

3,179,446,604

3,151,644,447

3,198,481,827

Effect of dilutive potential shares resulting from notional

employee shares, in-the-money

options and warrants outstanding

139,702,735

132,586,726

156,592,019

138,600,855

152,630,143

Weighted average shares outstanding for diluted EPS

3,245,357,427

3,277,215,403

3,336,038,623

3,290,245,302

3,351,111,970

Earnings per share (USD)

Basic

0.39

0.79

0.24

2.46

1.59

Diluted

0.37

0.76

0.23

2.36

1.52

Shares outstanding and potentially dilutive instruments

Shares issued

3,341,581,714

3,462,087,722

3,341,581,714

3,462,087,722

Treasury shares

249,882,523

217,617,094

287,262,471

249,882,523

287,262,471

of which: related to the 2022 share repurchase program

120,506,008

of which: related to the 2024 share repurchase program

63,776,550

32,962,298

63,776,550

32,962,298

of which: related to the 2025 share repurchase program

52,582,575

29,383,799

52,582,575

Shares outstanding

3,091,699,191

3,123,964,620

3,174,825,251

3,091,699,191

3,174,825,251

Potentially dilutive instruments

23,971,399

31,302,067

14,127,377

23,971,399

14,124,877

Other key figures

Total book value per share (USD)

29.18

28.78

26.80

29.18

26.80

Tangible book value per share (USD)

26.93

26.54

24.63

26.93

24.63

Share price (USD)

46.61

40.82

30.54

46.61

30.54

Market capitalization (USD m)

155,760

136,416

105,719

155,760

105,719

1 The weighted average shares outstanding for basic earnings per share (EPS) are calculated by taking the number of shares at the beginning of the period, adjusted by the number of shares acquired or issued during

the period, multiplied by a time-weighted factor for the period outstanding. As a

result, balances are affected by the timing of acquisitions and issuances during the period.

2 The weighted average number of shares

for notional employee awards with performance conditions

reflects all potentially dilutive shares that are

expected to vest under the terms of the awards.

3 Based on a settlement date view.

4 Reflects potential

shares that could dilute basic EPS in the future

but were not dilutive for any of the periods

presented. Mainly includes equity-based awards subject to absolute and relative performance conditions and

equity derivative

contracts.

5 Represents the share price as

listed on the SIX Swiss

Exchange, translated to

US dollars using the closing exchange

rate as of the respective

date.

6 The calculation of

market capitalization reflects

total shares issued multiplied by the share price at the end of the period.

Ticker symbols UBS Group AG

Security identification codes

Trading exchange

SIX / NYSE

Bloomberg

Reuters

ISIN

CH0244767585

SIX Swiss Exchange

UBSG

UBSG SW

UBSG.S

Valoren

24 476 758

New York Stock Exchange

UBS

UBS UN

UBS.N

CUSIP

CINS H42097 10 7

UBS Group fourth quarter 2025 report |

Consolidated financial information

Consolidated financial

information

Unaudited

Information

this

section

presented

for

UBS Group AG

and

its

subsidiaries

(together,

the

Group)

consolidated basis unless otherwise

specified and is presented

in US dollars. In preparing

this financial information,

the same accounting

policies and methods

of computation have

been applied as

in the

UBS Group

consolidated

annual

Financial

Statements

for

the

period

ended

31 December

2024.

The

financial

information

presented

unaudited and does

not constitute an

interim financial

report prepared in

accordance with

IAS 34, Interim Financial

Reporting. The UBS

Group Annual Report

2025, which will be

published on 9 March

2026, will incorporate

the full

financial statements prepared in accordance

with IFRS Accounting Standards for the

2025 financial year.

UBS Group fourth quarter 2025 report |

Consolidated financial information | UBS Group

AG interim consolidated financial information

(unaudited)

UBS Group AG interim consolidated financial

information (unaudited)

Income statement

For the quarter ended

For the year ended

USD m

31.12.25

30.9.25

31.12.24

31.12.25

31.12.24

Interest income from financial instruments measured at

amortized cost and fair value through

other comprehensive income

6,772

6,913

7,829

27,948

35,994

Interest expense from financial instruments measured at

amortized cost

(6,195)

(6,584)

(7,884)

(26,544)

(35,947)

Net interest income from financial instruments measured

at fair value through profit or loss and other

1,594

1,652

1,893

6,343

7,061

Net interest income

2,172

1,981

1,838

7,747

7,108

Other net income from financial instruments measured

at fair value through profit or loss

3,163

3,502

3,144

14,011

14,690

Fee and commission income

7,916

7,878

7,269

30,581

28,730

Fee and commission expense

(693)

(674)

(671)

(2,669)

(2,592)

Net fee and commission income

7,223

7,204

6,598

27,912

26,138

Other income

(412)

(96)

675

Total revenues

12,145

12,760

11,635

49,573

48,611

Credit loss expense / (release)

159

102

229

524

551

Personnel expenses

6,681

7,172

6,361

27,861

27,318

General and administrative expenses

2,740

1,755

3,004

8,807

10,124

Depreciation, amortization and impairment of non-financial

assets

865

904

994

3,529

3,798

Operating expenses

10,286

9,831

10,359

40,197

41,239

Operating profit / (loss) before tax

1,700

2,828

1,047

8,853

6,821

Tax expense / (benefit)

495

341

268

1,056

1,675

Net profit / (loss)

1,205

2,487

779

7,797

5,146

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

Net profit / (loss) attributable to shareholders

1,199

2,481

770

7,767

5,085

Earnings per share (USD)

Basic

0.39

0.79

0.24

2.46

1.59

Diluted

0.37

0.76

0.23

2.36

1.52

UBS Group fourth quarter 2025 report |

Consolidated financial information | UBS Group

AG interim consolidated financial information

(unaudited)

Statement of comprehensive income

For the quarter ended

For the year ended

USD m

31.12.25

30.9.25

31.12.24

31.12.25

31.12.24

Comprehensive income attributable to shareholders

Net profit / (loss)

1,199

2,481

770

7,767

5,085

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

166

(281)

(3,388)

5,623

(4,726)

Effective portion of changes in fair value of hedging instruments

designated as net investment hedges, before tax

165

1,565

(2,262)

2,957

Foreign currency translation differences on foreign operations reclassified to the

income statement

(51)

(48)

Effective portion of changes in fair value of hedging instruments

designated as net investment hedges reclassified

the income statement

(2)

(34)

(33)

Income tax relating to foreign currency translations, including the effect of

net investment hedges

(5)

Subtotal foreign currency translation, net of tax

144

(116)

(1,835)

3,333

(1,754)

Financial assets measured at fair value through other comprehensive income

Net unrealized gains / (losses), before tax

(1)

Net realized (gains) / losses reclassified to the income statement

from equity

Income tax relating to net unrealized gains / (losses)

Subtotal financial assets measured at fair value through other comprehensive

income, net of tax

(1)

Cash flow hedges of interest rate risk

Effective portion of changes in fair value of derivative instruments designated

as cash flow hedges, before tax

(217)

(65)

(1,366)

464

(1,450)

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

equity

231

286

400

1,134

2,000

Income tax relating to cash flow hedges

(3)

(43)

181

(302)

(69)

Subtotal cash flow hedges, net of tax

178

(785)

1,295

481

Cost of hedging

Cost of hedging, before tax

(17)

(98)

(146)

Income tax relating to cost of hedging

Subtotal cost of hedging, net of tax

(17)

(98)

(146)

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

of tax

201

127

(2,719)

4,774

(1,417)

Other comprehensive income that will not be reclassified to the income

statement

Defined benefit plans

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

(36)

(68)

(16)

(307)

Income tax relating to defined benefit plans

(1)

(26)

(28)

Subtotal defined benefit plans, net of tax

(38)

(46)

(44)

(261)

Own credit on financial liabilities designated at fair value

Gains / (losses) from own credit on financial liabilities designated

at fair value, before tax

(87)

(568)

145

(502)

(10)

Income tax relating to own credit on financial liabilities designated

at fair value

(2)

(9)

Subtotal own credit on financial liabilities designated at

fair value, net of tax

(87)

(567)

144

(499)

(19)

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

net of tax

(124)

(541)

(543)

(280)

Total other comprehensive income

(414)

(2,622)

4,231

(1,698)

Total comprehensive income attributable to shareholders

1,275

2,067

(1,851)

11,998

3,388

Comprehensive income attributable to non-controlling

interests

Net profit / (loss)

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

net of tax

(12)

(1)

(35)

(47)

Total comprehensive income attributable to non-controlling interests

(6)

(27)

Total comprehensive income

Net profit / (loss)

1,205

2,487

779

7,797

5,146

Other comprehensive income

(414)

(2,657)

4,248

(1,744)

of which: other comprehensive income that may be reclassified

to the income statement

201

127

(2,719)

4,774

(1,417)

of which: other comprehensive income that will not be reclassified

to the income statement

(136)

(542)

(526)

(327)

Total comprehensive income

1,270

2,073

(1,878)

12,045

3,401

1 Includes foreign currency translation differences as incurred by UBS’s associates where UBS has recorded its share in these

differences. The quarter and year ended 31 December 2025 include a USD 93m gain from

UBS’s share of a reclassification of foreign currency translation differences to the income statement

as recorded by an associate of UBS.

UBS Group fourth quarter 2025 report |

Consolidated financial information | UBS Group

AG interim consolidated financial information

(unaudited)

Balance sheet

USD m

31.12.25

30.9.25

31.12.24

Assets

Cash and balances at central banks

209,858

218,738

223,329

Amounts due from banks

19,649

19,230

18,903

Receivables from securities financing transactions measured at amortized

cost

83,656

95,343

118,301

Cash collateral receivables on derivative instruments

41,552

43,538

43,959

Loans and advances to customers

653,846

646,651

579,967

Other financial assets measured at amortized cost

71,897

72,703

58,835

Total financial assets measured at amortized cost

1,080,458

1,096,203

1,043,293

Financial assets at fair value held for trading

174,699

178,492

159,065

Derivative financial instruments

147,778

154,113

185,551

Brokerage receivables

35,579

30,633

25,858

Financial assets at fair value not held for trading

107,575

105,827

95,472

Total financial assets measured at fair value through profit or loss

465,631

469,065

465,947

Financial assets measured at fair value through other comprehensive income

13,868

9,801

2,195

Investments in associates

2,332

2,260

2,306

Property, equipment and software

16,057

16,153

15,498

Goodwill and intangible assets

6,948

6,982

6,887

Deferred tax assets

11,525

11,610

11,134

Other non-financial assets

20,609

20,177

17,766

Total assets

1,617,427

1,632,251

1,565,028

Liabilities

Amounts due to banks

24,434

28,182

23,347

Payables from securities financing transactions measured at amortized cost

16,225

18,653

14,833

Cash collateral payables on derivative instruments

34,222

33,943

35,490

Customer deposits

788,367

783,115

745,777

Debt issued measured at amortized cost

214,706

220,386

214,219

Other financial liabilities measured at amortized cost

15,862

16,955

21,033

Total financial liabilities measured at amortized cost

1,093,816

1,101,234

1,054,698

Financial liabilities at fair value held for trading

53,700

53,796

35,247

Derivative financial instruments

156,243

163,508

180,636

Brokerage payables designated at fair value

62,202

62,067

49,023

Debt issued designated at fair value

113,794

112,137

107,909

Other financial liabilities designated at fair value

28,184

30,506

28,699

Total financial liabilities measured at fair value through profit or loss

414,123

422,013

401,514

Provisions and contingent liabilities

5,035

6,162

8,409

Other non-financial liabilities

13,970

12,638

14,834

Total liabilities

1,526,944

1,542,047

1,479,454

Equity

Share capital

334

346

Share premium

9,217

8,879

12,012

Treasury shares

(7,891)

(6,592)

(6,402)

Retained earnings

82,740

81,666

78,035

Other comprehensive income recognized directly in equity, net of tax

5,813

5,612

1,088

Equity attributable to shareholders

90,213

89,899

85,079

Equity attributable to non-controlling interests

271

305

494

Total equity

90,484

90,204

85,574

Total liabilities and equity

1,617,427

1,632,251

1,565,028

UBS Group fourth quarter 2025 report |

Consolidated financial information | UBS Group

AG interim consolidated financial information

(unaudited)

Provisions and contingent liabilities

a) Provisions and contingent liabilities

The table below presents an overview of

total provisions and contingent liabilities.

Overview of total provisions and contingent liabilities

USD m

31.12.25

30.9.25

31.12.24

Provisions related to expected credit losses (IFRS 9,

Financial Instruments

)

347

393

320

Provisions related to Credit Suisse loan commitments (IFRS

Business Combinations

)

371

479

997

Provisions related to litigation, regulatory and similar matters

(IAS 37,

Provisions, Contingent Liabilities and Contingent Assets

)

2,200

3,096

3,602

Acquisition-related contingent liabilities resulting from

litigation, regulatory and similar matters (IFRS 3,

Business Combinations

)

531

725

2,122

Restructuring, real-estate and other provisions (IAS 37,

Provisions, Contingent Liabilities and Contingent Assets

)

1,586

1,469

1,368

Total provisions and contingent liabilities

5,035

6,162

8,409

The table below presents additional information for provisions under IAS 37,

Provisions, Contingent Liabilities and

Contingent Assets

Additional information for provisions under IAS 37,

Provisions, Contingent Liabilities and Contingent Assets

USD m

Litigation,

regulatory and

similar matters

Restructuring

Real estate

Other

Total

Balance as of 31 December 2024

3,602

813

240

315

4,969

Balance as of 30 September 2025

3,096

837

250

381

4,564

Increase in provisions recognized in the income statement

133

347

150

635

Release of provisions recognized in the income statement

(72)

(30)

(1)

(24)

(128)

Provisions used in conformity with designated purpose

(1,092)

(267)

(10)

(59)

(1,427)

Reclassifications

150

Foreign currency translation and other movements

(15)

(9)

Balance as of 31 December 2025

2,200

891

245

449

3,785

1 Consists of provisions for losses resulting

from legal, liability and compliance risks.

2 Includes USD 493m of personnel-related

restructuring provisions as of 31 December

2025 (30 September 2025: USD 469m;

31 December 2024: USD 334m), USD 270m

of provisions for onerous

contracts related to real

estate as of 31 December

2025 (30 September 2025:

USD 280m; 31 December 2024:

USD 383m) and USD

128m of

restructuring provisions for onerous

contracts related to

technology as of 31 December

2025 (30 September 2025:

USD 88m; 31 December 2024:

USD 96m).

3 Mainly includes provisions for

reinstatement costs

with respect to leased properties.

4 Mainly includes provisions in relation to employee benefits, VAT,

onerous contracts related to technology, and operational

risks.

5 Primarily includes provisions used regarding

the settlement of the legacy matter related to

UBS’s cross-border business activities

in France as described

in item 1 of section b) of this

disclosure.

6 Includes reclassifications between IFRS 3

contingent liabilities

and IAS 37 provisions.

Information about provisions and contingent liabilities with respect to litigation, regulatory and similar matters, as

class,

included

in part

b).

There

are

material

contingent

liabilities

associated

with

the

other

classes

provisions.

UBS Group fourth quarter 2025 report |

Consolidated financial information | UBS Group

AG interim consolidated financial information

(unaudited)

Provisions and contingent liabilities

(continued)

b) Litigation, regulatory and similar matters

The Group operates in

a legal and regulatory

environment that exposes it to

significant litigation and similar risks

arising from disputes and regulatory proceedings. As a result, UBS (which

for purposes of this disclosure may refer

to UBS

Group AG

and/or one

or more

of its

subsidiaries, as

applicable) is

involved in

various disputes

and legal

proceedings, including litigation, arbitration,

and regulatory and criminal investigations.

Such matters are subject

to many uncertainties,

and the outcome and the

timing of resolution are

often difficult to

predict,

particularly in

the

earlier

stages

case.

There

are

also

situations

where

the Group

may

enter into

settlement

agreement.

This

may

occur

order

avoid

the

expense,

management

distraction

reputational

implications of

continuing to

contest liability,

even

for those

matters for

which

the Group

believes it

should be

exonerated. The uncertainties inherent in all such matters affect the amount and timing of any potential outflows

for both matters

with respect to

which provisions have

been established and

other contingent liabilities.

The Group

makes

provisions

for

such

matters

brought

against

when,

the

opinion

management

after

seeking legal

advice, it

is more

likely than

not that

the Group

has a

present legal

or constructive obligation

as a

result of

past

events, it

is probable

that an

outflow of

resources will

be required,

and the

amount can

be reliably

estimated. Where

these factors

are

otherwise satisfied,

provision may

established for

claims that

have

not

yet been

asserted

against the

Group, but

are nevertheless

expected to

be, based

the Group’s

experience with

similar asserted

claims.

any

those

conditions

not

met,

such

matters

result

contingent

liabilities.

the

amount

obligation cannot

be reliably

estimated, a

liability exists

that is

not recognized

even if

an outflow

of resources

probable. Accordingly, no

provision is

established even if

the potential

outflow of resources

with respect

to such

matters could be significant. Developments relating to a matter that occur after the relevant reporting period, but

prior

the

issuance

financial

statements, which

affect

management’s assessment

the

provision

for

such

matter

(because,

for

example,

the

developments provide

evidence of

conditions that

existed

the

end

the

reporting

period),

are

adjusting

events

after

the

reporting period

under

IAS

and

must

recognized in

the

financial statements for the reporting period.

Specific litigation, regulatory and other matters are

described below, including all such matters that

management

considers to be material and others that management believes to be of significance to the Group due to potential

financial,

reputational

and

other

effects.

The

amount

damages

claimed,

the

size

transaction

other

information is

provided where

available and

appropriate in order

to assist

users in

considering the

magnitude of

potential exposures.

In the case of certain matters below, we state that we have established a provision, and for the other matters, we

make no such statement. When we

make this statement and we expect

disclosure of the amount of a provision

prejudice seriously our

position with other

parties in the

matter because it

would reveal what

UBS believes to

the

probable

and

reliably estimable

outflow, we

not

disclose

that amount.

some

cases we

are

subject to

confidentiality obligations

that preclude

such disclosure.

With respect

to the

matters for

which we

do not

state

whether we have

established a provision,

either: (a) we

have not established

a provision; or

(b) we have

established

a provision

but expect

disclosure of

that fact

to prejudice

seriously our

position with

other parties

in the

matter

because it would reveal the fact that

UBS believes an outflow of resources to be probable

and reliably estimable.

With respect to certain litigation, regulatory

and similar matters for which we

have established provisions, we are

able to

estimate the expected

timing of outflows.

However, the aggregate

amount of the

expected outflows for

those matters for which we

are able to estimate expected

timing is immaterial relative to

our current and expected

levels of liquidity over the relevant time periods.

The

aggregate

amount

provisioned

for

litigation,

regulatory

and

similar

matters

class

disclosed

the

“Provisions”

table

part

above.

UBS

provides

below

estimate

the

aggregate

liability

for

its

litigation,

regulatory and

similar matters

as a

class of

contingent liabilities.

Estimates of

contingent liabilities

are inherently

imprecise and

uncertain as

these

estimates require UBS

make speculative

legal assessments

to claims

and

proceedings that involve

unique fact patterns

or novel legal

theories, that have

not yet been

initiated or are

at early

stages of

adjudication, or

as to

which

alleged damages

have

not been

quantified by

the claimants.

Taking into

account these uncertainties

and the other factors

described herein, UBS

estimates the future losses

that could arise

from litigation,

regulatory and

similar matters

disclosed below

for which

an estimate

is possible,

that are

not covered

by existing

provisions (including

acquisition-related contingent

liabilities established

under IFRS

3 in connection

with

the acquisition of Credit Suisse), are in the range

of USD 0bn to USD 1.5bn.

UBS Group fourth quarter 2025 report |

Consolidated financial information | UBS Group

AG interim consolidated financial information

(unaudited)

Provisions and contingent liabilities

(continued)

Litigation, regulatory

and similar

matters may

also result

in non-monetary

penalties and

consequences. A

guilty plea

to, or conviction of, a crime could have material consequences for UBS. Resolution of regulatory proceedings may

require UBS to obtain waivers of regulatory disqualifications to maintain certain operations, may entitle regulatory

authorities to limit, suspend or terminate

licenses and regulatory authorizations, and may

permit financial market

utilities to

limit, suspend

or terminate

UBS’s participation

in such

utilities. Failure

to obtain

such waivers,

or any

limitation, suspension

or termination

of licenses,

authorizations or

participations, could

have material

consequences

for UBS.

The

amounts

shown

the

table

below

reflect

the

provisions

recorded

under

IFRS

Accounting

Standards.

connection with

the acquisition

of Credit

Suisse, UBS

Group AG

additionally has

reflected in

its purchase

accounting

under IFRS

3 a

valuation adjustment

reflecting an

estimate of

outflows relating

to contingent

liabilities for

all present

obligations included in

the scope

of the

acquisition at fair

value upon

closing, even

if it

is not

probable that the

contingent

liability

will

result

outflow

resources,

significantly

decreasing

the

recognition

threshold

for

litigation

liabilities

beyond

those

that

generally apply

under

IFRS

Accounting Standards.

The

IFRS

acquisition-

contingent

liabilities

USD 0.5bn

December

2025

reflect

decrease

USD 0.2bn

from

30 September 2025

mainly as a result of reclassifications of

provisions under IAS 37.

Provisions for litigation, regulatory and similar matters, by business division and in Group Items

USD m

Global Wealth

Management

Personal &

Corporate

Banking

Asset

Management

Investment

Bank

Non-core

and Legacy

Group Items

UBS Group

Balance as of 31 December 2024

1,271

147

266

1,779

139

3,602

Balance as of 30 September 2025

1,201

129

298

1,270

198

3,096

Increase in provisions recognized in the income statement

107

133

Release of provisions recognized in the income statement

(19)

(2)

(22)

(29)

(72)

Provisions used in conformity with designated purpose

(869)

(111)

(108)

(3)

(1,092)

Reclassifications

150

Foreign currency translation and other movements

(12)

(2)

(1)

(15)

Balance as of 31 December 2025

317

283

1,388

196

2,200

1 Provisions, if

any, for

the matters described

in items 2

and 9 of

this disclosure are

recorded in Global

Wealth Management. Provisions,

if any,

for the matters

described in items

4, 5, 6,

7, 8, 11

and 12 of

this

disclosure are recorded in Non-core

and Legacy. Provisions,

if any, for

the matters described in item

1 of this disclosure are

allocated between Global Wealth

Management, Personal &

Corporate Banking and Non-

core and Legacy. Provisions, if any, for the matters described in item 3 of this disclosure

are allocated between the Investment Bank, Non-core and Legacy and Group Items. Provisions, if any, for the matters described

in item 10 of this disclosure

are allocated between the Investment

Bank and Non-core and Legacy.

2 Primarily includes provisions used regarding

the settlement of the legacy

matter related to UBS’s

cross-border

business activities in France as described in item 1 of this disclosure.

3 Includes reclassifications between IFRS 3 contingent liabilities and IAS 37 provisions.

1. Inquiries regarding cross-border wealth management

businesses

Tax and

regulatory authorities

in a

number of

countries have

made inquiries,

served requests

for information

examined

employees

located

their

respective

jurisdictions

relating

the

cross-border

wealth

management

services

provided

UBS,

Credit

Suisse

and

other

financial

institutions,

including

Credit

Suisse

offices

the

Netherlands and Belgium.

In proceedings

in France,

UBS AG

was found

guilty in

lower courts

of unlawful

solicitation of

clients on

French

territory and aggravated

laundering of the

proceeds of

tax fraud in

the period

between 2004

and 2012.

On appeal,

the French

Supreme Court, in

November 2023, upheld

the lower

court’s decision regarding

unlawful solicitation

and aggravated laundering of the proceeds of tax fraud, but overturned the awards of penalties, confiscation

and

civil damages

by the

lower court,

aggregating EUR 1.8bn,

and remanded

the case

to the

Court of

Appeal for

retrial regarding these overturned elements. In September 2025, UBS AG resolved the case

and subsequently paid

a fine of EUR 730m and EUR 105m in civil damages

to the French State.

UBS Group fourth quarter 2025 report |

Consolidated financial information | UBS Group

AG interim consolidated financial information

(unaudited)

Provisions and contingent liabilities

(continued)

In May 2014, Credit

Suisse AG entered into

settlement agreements with

the SEC, the Federal

Reserve and the

New

York Department of Financial

Services and agreed with

the US Department of

Justice (the DOJ) to

plead guilty to

conspiring

aid

and

assist

taxpayers

filing

false

tax

returns

(the

2014

Plea

Agreement).

Credit

Suisse

continued to report

to and cooperate

with US authorities

in accordance with its

obligations under the

2014 Plea

Agreement, including by

conducting a review

of cross-border services

provided by Credit

Suisse. In this connection,

Credit Suisse provided

information to US

authorities regarding potentially undeclared US

assets held by

clients at

Credit Suisse

since the

2014 Plea

Agreement. In

May 2025,

Credit Suisse

Services AG

entered into

a plea

agreement

(the 2025 Plea Agreement) with

the DOJ under

which it agreed to

plead guilty to one

count of conspiracy to

aid

and assist in the preparation of false income tax returns relating to legacy Credit Suisse accounts booked

in Credit

Suisse’s Swiss

booking center,

thereby settling

the investigation

into Credit

Suisse’s implementation of

the 2014

Plea Agreement.

In addition,

Credit Suisse

Services AG

entered into

a non-prosecution

agreement with

the DOJ

(the 2025 NPA) relating to

legacy Credit Suisse accounts booked in

Credit Suisse’s Singapore booking center. The

2025

Plea

Agreement

and

the

2025

NPA

provide

for

penalties,

restitution

and

forfeiture

USD

511m

the

aggregate. The 2025

Plea Agreement

and the 2025

NPA include ongoing

obligations of

UBS to furnish

information

and cooperate with DOJ’s

investigations of legacy Credit

Suisse accounts held by US

persons in its Switzerland and

Singapore booking centers and related accounts

in other booking centers.

Our balance

sheet at

31 December 2025

reflected provisions

in an

amount that

UBS believes

to be

appropriate

under the

applicable accounting

standard. As

in the

case of

other matters

for which

we have

established provisions,

the future outflow of resources in respect of such matters

cannot be determined with certainty based on currently

available information

and accordingly

may ultimately

prove to

be substantially

greater (or

may be

less) than

the

provision that we have recognized.

2. Madoff

In relation to

the Bernard

L. Madoff Investment

Securities LLC

(BMIS) investment

fraud, UBS AG, UBS

(Luxembourg)

S.A. (now UBS

Europe SE,

Luxembourg branch) and

certain other

UBS subsidiaries were

subject to

inquiries by a

number of

regulators, including

the Swiss

Financial Market

Supervisory Authority

(FINMA) and

the Luxembourg

Commission de

Surveillance

du Secteur

Financier. Those

inquiries concerned

two third-party

funds established

under

Luxembourg law, substantially all assets of which were with

BMIS, as well as certain funds

established in offshore

jurisdictions with either direct or indirect exposure to BMIS. These funds

faced severe losses, and the Luxembourg

funds are

in liquidation.

The documentation

establishing both

funds identifies

UBS entities

in various

roles, including

custodian, administrator,

manager, distributor

and promoter,

and indicates

that UBS

employees served

as board

members.

In 2009 and 2010, the liquidators

of the two Luxembourg funds

filed claims against UBS entities,

non-UBS entities

and

certain

individuals,

including

current

and

former

UBS

employees,

seeking

amounts

totaling

approximately

EUR 2.1bn, which includes

amounts that the

funds may be

held liable to

pay the trustee

for the liquidation

of BMIS

(BMIS Trustee).

A large number of alleged beneficiaries have filed claims

against UBS entities (and non-UBS entities) for purported

losses relating to the Madoff

fraud. The majority of these

cases have been decided

in favor of UBS or dismissed

for

want of prosecution.

In the

US, the

BMIS Trustee

filed claims

against UBS

entities, among

others, in

relation to

the two

Luxembourg

funds and one of

the offshore funds. The

total amount claimed against

all defendants in

these actions was

not less

than USD 2bn. In

2014, the US

Supreme Court rejected

the BMIS Trustee’s

motion for leave

to appeal decisions,

dismissing all

claims against

UBS defendants

except those

for the

recovery of

approximately USD 125m

of payments

alleged to be

fraudulent conveyances

and preference

payments. Similar

claims have

been filed against

Credit Suisse

entities seeking to recover

redemption payments. In

2016, the bankruptcy

court dismissed these

claims against the

UBS entities

and most

of the

Credit Suisse entities.

In 2019, the

Court of Appeals

reversed the dismissal

of the

BMIS

Trustee’s remaining claims. The cases were

remanded to the Bankruptcy Court for further

proceedings.

UBS Group fourth quarter 2025 report |

Consolidated financial information | UBS Group

AG interim consolidated financial information

(unaudited)

Provisions and contingent liabilities

(continued)

3. Foreign exchange, LIBOR and benchmark rates,

and other trading practices

Foreign-exchange-related regulatory matters:

Beginning in 2013, numerous authorities commenced investigations

concerning possible

manipulation of

foreign exchange

markets and

precious metals

prices. As

result

of these

investigations, UBS entered into resolutions with Swiss, US and

UK regulators and the European Commission. UBS

was granted conditional immunity

by the Antitrust Division

of the DOJ

and by authorities

in other jurisdictions

connection with potential competition law violations relating to foreign exchange

and precious metals businesses.

In December

2021, the

European Commission

issued a

decision imposing

a fine

of EUR 83.3m

on Credit

Suisse

entities based on findings of anticompetitive practices in the foreign

exchange market. UBS received leniency and

accordingly no fine was assessed.

Credit Suisse appealed the decision to

the European General Court and, in

July

2025, the court issued a judgment reducing

the fine to EUR 28.9m.

The judgment is now final.

Foreign-exchange-related civil litigation:

Putative class actions have been filed since 2013 in US federal courts and

other jurisdictions

against UBS,

Credit

Suisse and

other banks

behalf of

persons who

engaged in

foreign

currency transactions with any of the defendant banks.

UBS and Credit Suisse have resolved US federal court class

actions relating to foreign currency transactions with the defendant banks and persons who

transacted in foreign

exchange futures

contracts and

options on

such futures.

Certain class

members have

excluded themselves

from

that settlement

and filed

individual actions in

US and

English courts against

UBS, Credit

Suisse and

other banks,

alleging violations of US and European competition laws and unjust enrichment. UBS, Credit Suisse and the other

banks

have

resolved

those individual

matters.

addition,

Credit

Suisse

and

UBS,

together

with

other

financial

institutions, were named in

a consolidated putative

class action in

Israel, which made

allegations similar to those

made in

the actions

pursued in

other jurisdictions.

Credit Suisse

and UBS

entered into

agreements to

settle all

claims

in this action in April 2022 and February 2024, respectively. Credit Suisse’s settlement received

court approval and

became final in May 2025. UBS’s settlement

remains subject to court approval.

LIBOR and other benchmark-related regulatory

matters:

Numerous government agencies conducted investigations

regarding potential improper attempts by UBS, among others, to manipulate LIBOR and other benchmark rates at

certain

times.

UBS

and

Credit

Suisse

reached

settlements

otherwise

concluded

investigations

relating

benchmark interest

rates with

the investigating

authorities. UBS

was granted

conditional leniency

or conditional

immunity from

authorities in

certain jurisdictions, including

the Antitrust

Division of

the DOJ,

in connection with

potential antitrust or competition law

violations related to certain rates. In

December 2025, the Swiss Competition

Commission (WEKO) announced that it

had reached a final resolution with UBS.

LIBOR and

other benchmark-related

civil litigation:

A number

of putative

class actions

and other

actions are

pending

in the federal

courts in New

York against UBS

and numerous other banks

on behalf of

parties who transacted in

certain interest rate benchmark-based derivatives. Also

pending in the US

and in other jurisdictions are

a number

of other

actions asserting losses

related to

various products whose

interest rates were

linked to

LIBOR and other

benchmarks, including

adjustable rate

mortgages, preferred

and debt securities,

bonds pledged

as collateral, loans,

depository

accounts,

investments

and

other

interest-bearing

instruments.

The

complaints

allege

manipulation,

through various

means, of

certain benchmark

interest rates,

including USD LIBOR,

Yen LIBOR,

EURIBOR, CHF LIBOR,

and GBP LIBOR and seek unspecified compensatory

and other damages under various legal

theories.

USD LIBOR class and individual actions in the

US:

Beginning in 2013, putative class actions

were filed in US federal

district courts

(and subsequently

consolidated in

the US

District Court

for the Southern

District of New

York (SDNY))

by plaintiffs who

engaged in over-the-counter

instruments, exchange-traded

Eurodollar futures and

options, bonds

loans

that

referenced

USD LIBOR.

The

complaints

allege

violations

antitrust

law

and

the

Commodities

Exchange Act, as well as breach of

contract and unjust enrichment. Following

various rulings by the SDNY and the

Court

Appeals

for

the

Second

Circuit

dismissing

certain

the

causes

action

and

allowing

others

proceed, one class action with respect to transactions in over-the-counter

instruments and several actions brought

by individual

plaintiffs proceeded in

the district

court. In

September 2025, the

district court

granted defendants’

motion for

summary judgment

as to

all remaining

actions. Plaintiffs

have appealed.

UBS and

Credit Suisse

previously

entered into settlement agreements in respect of the class actions relating to exchange-traded

instruments, bonds

and loans. These

settlements have

received final

court approval,

and the actions

have been dismissed

as to UBS

and

Credit Suisse.

UBS Group fourth quarter 2025 report |

Consolidated financial information | UBS Group

AG interim consolidated financial information

(unaudited)

Provisions and contingent liabilities

(continued)

Other benchmark

class actions

in the

US:

The Yen

LIBOR/Euroyen TIBOR,

EURIBOR and

GBP LIBOR

actions have

been dismissed.

Plaintiffs have

appealed the

dismissals.

In August

2025, the

Second Circuit

affirmed in

part and

reversed in

part the

district court’s dismissal

of the

complaint in

the EURIBOR action,

returning the

action to the

district court.

September 2025,

the Second

Circuit affirmed

the dismissal

of the

complaint in

the GBP

LIBOR

action; the matter has concluded.

In January 2023, defendants

moved to dismiss the

complaint in the CHF

LIBOR action. In 2023,

the court approved

a settlement

by Credit

Suisse of

the claims

against it

in this

matter.

In September

2025, the

court dismissed

the

complaint against the remaining defendants,

including UBS.

Government bonds:

In 2021,

the European

Commission issued

a decision

finding that

UBS and

six other

banks

breached European

Union antitrust

rules between

2007 and

2011 relating

to European

government bonds. The

European Commission

fined UBS

EUR 172m, which

amount was

confirmed on

appeal in

March 2025.

UBS has

appealed to the European Court of Justice.

Credit default

swap auction

litigation –

In June

2021, Credit

Suisse, along

with other

banks and

entities, was

named

in a

putative class action

filed in

federal court in

New Mexico alleging

manipulation of credit default

swap (CDS)

final auction prices.

Defendants filed a

motion to enforce

a previous CDS

class action settlement

in the

SDNY. In

January 2024,

the SDNY

ruled that,

to the

extent claims

in the

New

Mexico action

arise from

conduct prior

30 June

2014,

those claims

are

barred

the SDNY

settlement.

The

plaintiffs

appealed

and, in

May

2025, the

Second Circuit affirmed the

SDNY decision.

Defendants filed a motion

for judgment on the

pleadings in December

2025.

With respect

to additional

matters and

jurisdictions not

encompassed by

the settlements

and orders

referred to

above,

UBS’s

balance

sheet

December

2025

reflected

provision

amount

that

UBS

believes

appropriate under

the applicable

accounting standard.

As in

the case

of other

matters for

which we

have established

provisions, the future outflow

of resources in respect

of such matters

cannot be determined with

certainty based

on currently available information and

accordingly may ultimately prove to

be substantially greater (or may be

less)

than the provision that we have recognized.

4. Mortgage-related matters

Government and

regulatory related

matters

DOJ RMBS

settlement

– In January

2017, Credit

Suisse Securities

(USA)

LLC (CSS LLC)

and its current

and former

US subsidiaries

and US affiliates

reached a

settlement with

the DOJ

to its

legacy

Residential Mortgage-Backed

Securities (RMBS)

business, a

business conducted

through 2007.

The

settlement resolved potential

civil claims

by the

DOJ related

to certain

of those

Credit Suisse

entities’ packaging,

marketing,

structuring,

arrangement,

underwriting,

issuance

and

sale

RMBS.

Pursuant

the

terms

the

settlement a civil monetary penalty

was paid to the

DOJ in January 2017. The

settlement also required the Credit

Suisse entities

to provide

certain levels

of consumer

relief measures,

including affordable

housing payments

and

loan forgiveness, and the DOJ and

Credit Suisse agreed to the appointment

of an independent monitor to oversee

the completion of

the consumer relief

requirements of the

settlement. In August

2025, CSS

LLC entered into

agreement with the DOJ to resolve all of Credit Suisse’s outstanding Consumer Relief Obligations under the 2017

settlement by paying USD 300m.

Civil litigation:

Repurchase litigations

– Credit

Suisse affiliates

are defendants

in various

civil litigation

matters related

to their roles as issuer, sponsor, depositor, underwriter and/or servicer of RMBS transactions. These cases currently

include

repurchase

actions

RMBS

trusts

and/or

trustees,

which

plaintiffs

generally

allege

breached

representations and

warranties

respect of

mortgage loans

and

failure

repurchase such

mortgage loans

required

under

the

applicable

agreements. The

amounts disclosed

below

not

reflect

actual

realized

plaintiff

losses to

date. Unless

otherwise stated,

these amounts

reflect

the original

unpaid principal

balance amounts

alleged in these actions.

UBS Group fourth quarter 2025 report |

Consolidated financial information | UBS Group

AG interim consolidated financial information

(unaudited)

Provisions and contingent liabilities

(continued)

DLJ Mortgage Capital, Inc. (DLJ) is a defendant

in New York State court in five actions:

An action brought by Asset

Backed

Securities

Corporation

Home

Equity

Loan

Trust,

Series

2006-HE7

alleges

damages

not

less

than

USD 374m. In December 2023, the trial

court granted in part DLJ’s motion

to dismiss, dismissing with prejudice

all

notice-based claims. On

appeal, the appellate

court modified the

trial court’s dismissal

in April

2025 to reinstate

certain of plaintiff’s notice-based claims and

otherwise dismissed plaintiff’s claims. Plaintiff has sought

leave from

the New York Court

of Appeals to further appeal

the dismissal of certain

of its claims. An

action by Home Equity

Asset Trust,

Series

2006-8, alleges

damages of

not

less than

USD 436m. An

action

by Home

Equity Asset

Trust

2007-1 alleges damages of

not less than USD 420m. In

August 2025, the parties agreed

to a settlement to resolve

this litigation for USD 66.39m. The settlement has

received court approval and is final. An

action by Home Equity

Asset Trust 2007-2

alleges damages of

not less than USD

495m. An action

by CSMC Asset-Backed

Trust 2007-NC1

does not allege a damages amount.

5. ATA litigation

Since November 2014, a

series of lawsuits have

been filed against a

number of banks, including

Credit Suisse, in

the US District

Court for the

Eastern District of New

York (EDNY) and the

SDNY alleging claims under

the United

States Anti-Terrorism Act

(ATA) and

the Justice

Against Sponsors

of Terrorism

Act. The

plaintiffs in

each of

these

lawsuits are, or are relatives of, victims of

various terrorist attacks in Iraq and allege

a conspiracy and/or aiding and

abetting based on allegations that various

international financial institutions, including the defendants, agreed to

alter, falsify

or omit

information from payment

messages that involved

Iranian parties for

the express

purpose of

concealing the

Iranian parties’ financial

activities and transactions

from detection

by US

authorities. The lawsuits

allege that

this conduct

has made

it possible

for Iran

to transfer

funds to

Hezbollah and

other terrorist

organizations

actively engaged

in harming

US military

personnel and

civilians. In

January 2023,

the Second

Circuit affirmed

September 2019

ruling by

the EDNY

granting defendants’

motion to

dismiss the

first filed

lawsuit. In

October 2023,

the US Supreme Court denied plaintiffs’ petition for a writ

of certiorari, and in September 2025 the EDNY

denied

plaintiffs’ motion

to vacate

the judgment;

the matter

has concluded.

Of the

other seven

cases, four

are stayed,

including one that

was dismissed as

to Credit Suisse

and most

of the bank

defendants prior to

entry of the

stay,

and in three cases defendants moved to dismiss

plaintiffs’

amended complaints.

6. Customer account matters

Several

clients

have

claimed

that

former

relationship

manager

Switzerland

had

exceeded

his

investment

authority

the

management of

their

portfolios, resulting

excessive

concentrations of

certain

exposures and

investment losses. Credit

Suisse AG has

investigated the claims,

as well as

transactions among the

clients. Credit

Suisse AG filed a criminal complaint against the former relationship manager with

the Geneva Prosecutor’s Office

upon which the

prosecutor initiated

a criminal investigation.

Several clients of

the former relationship

manager also

filed criminal complaints with the

Geneva Prosecutor’s Office. In February 2018,

the former relationship manager

was sentenced to five years

in prison by the Geneva criminal

court for fraud, forgery

and criminal mismanagement

and ordered

to pay

damages of

approximately USD 130m. On

appeal, the Criminal

Court of

Appeals of

Geneva

and, subsequently, the Swiss Federal Supreme

Court upheld the main findings of the

Geneva criminal court.

Civil lawsuits have

been initiated against Credit

Suisse AG and

/ or certain

affiliates in various jurisdictions,

based

on the findings established in the criminal

proceedings against the former relationship

manager.

In Singapore, in a

now-concluded civil lawsuit,

Credit Suisse Trust

Limited was ordered

to pay USD 461m,

including

interest and costs.

In Bermuda, in the civil

lawsuit brought against Credit Suisse Life

(Bermuda) Ltd., the Supreme Court of Bermuda

issued a judgment awarding damages of USD 607.35m to the plaintiff. Credit Suisse Life (Bermuda)

Ltd. appealed

the

decision.

June

2023,

the

Bermuda

Court

Appeal

confirmed

the

award

and

the

Supreme

Court

Bermuda’s

finding

that

Credit

Suisse

Life

(Bermuda)

Ltd.

breached

its

contractual

and

fiduciary

duties,

but

overturned the finding that Credit Suisse Life (Bermuda) Ltd. made fraudulent misrepresentations. In March 2024,

Credit Suisse Life (Bermuda) Ltd. was granted leave to appeal the judgment to the Judicial Committee of the Privy

Council and a hearing on

the appeal was held in

June 2025. The Bermuda Court of Appeal

also ordered that the

current

stay

continue

pending

determination

the

appeal

the

condition

that

the

damages

awarded,

plus

interest calculated at the Bermuda statutory

rate of 3.5%, remain in

the escrow account. In November

2025, the

Judicial Committee

of the

Privy Council

issued its

final judgment

on the

appeal, denying

Credit Suisse

Life (Bermuda)

Ltd.’s appeal

on liability,

but partially

granting its

appeal concerning

the quantum

of damages

and directing

the

parties to recalculate damages.

UBS Group fourth quarter 2025 report |

Consolidated financial information | UBS Group

AG interim consolidated financial information

(unaudited)

Provisions and contingent liabilities

(continued)

In Switzerland, certain civil lawsuits have been commenced against Credit Suisse AG in the

Court of First Instance

of Geneva since March 2023.

7. Mozambique matter

Credit

Suisse

was

subject

investigations by

regulatory and

enforcement authorities,

well

civil

litigation,

regarding certain

Credit Suisse

entities’ arrangement

of loan financing

to Mozambique

state enterprises,

Proindicus

S.A. and Empresa Moçambicana de

Atum S.A. (EMATUM), a distribution

to private investors of loan

participation

notes (LPN)

related to

the EMATUM

financing in

September 2013, and

certain Credit

Suisse entities’ subsequent

role in arranging the exchange

of those LPNs for Eurobonds

issued by the Republic of

Mozambique. In 2019,

three

former Credit Suisse employees pleaded guilty in the EDNY to accepting improper personal benefits in connection

with financing transactions carried out with

two Mozambique state enterprises.

October 2021,

Credit

Suisse reached

settlements with

the DOJ,

the US

Securities and

Exchange Commission

(SEC), the

UK Financial

Conduct Authority

(FCA) and

FINMA to

resolve inquiries

by these

agencies, including

findings

that Credit

Suisse failed

to appropriately

organize and

conduct its

business with

due skill

and care,

and manage

risks. Credit

Suisse Group

AG entered

into a

three-year Deferred

Prosecution Agreement

(DPA) with

the DOJ

connection with the criminal information

charging Credit Suisse Group AG

with conspiracy to commit wire

fraud

and Credit

Suisse Securities

(Europe) Limited

(CSSEL) entered

into a

Plea Agreement

and pleaded

guilty to

one count

of conspiracy to

violate the US

federal wire fraud

statute. Under the

terms of the

DPA, UBS Group

AG (as successor

to Credit Suisse Group

AG) continued compliance enhancement and remediation efforts agreed

by Credit Suisse,

and undertake additional measures as

outlined in the DPA.

In January 2025, as

permitted under the terms of

the

DPA, the DOJ elected to extend the term of

the DPA until January 2026.

8. ETN-related litigation

XIV litigation:

Since March 2018, three class action complaints

were filed in the SDNY on behalf of

a putative class

purchasers of

VelocityShares Daily

Inverse

VIX Short-Term Exchange

Traded Notes

linked

the

S&P

500

VIX

Short-Term Futures

Index (XIV

ETNs). The

complaints have

been consolidated

and asserts

claims against

Credit Suisse

for violations of various anti-fraud and

anti-manipulation provisions of US securities laws arising from

a decline in

the value

of XIV

ETNs in

February 2018. On

appeal from

an order

of the

SDNY dismissing all

claims, the

Second

Circuit issued an order that reinstated a portion of the claims.

In decisions in March 2023 and February 2025, the

court granted class certification for two of the three classes proposed by plaintiffs and denied class certification of

the third proposed class.

9. Credit Suisse anti-money laundering matters

In December 2020, the Swiss Office

of the Attorney General brought charges against Credit

Suisse AG and other

parties concerning the diligence and controls applied to a historical relationship with Bulgarian former

clients who

are

alleged to

have laundered

funds through

Credit Suisse

AG accounts.

June 2022,

following a

trial, Credit

Suisse AG was convicted in the Swiss Federal Criminal Court of certain historical organizational

inadequacies in its

anti-money-laundering framework

and ordered to pay

a fine of CHF 2m. In

addition, the court seized

certain client

assets in the amount of approximately CHF 12m

and ordered Credit Suisse AG to pay a

compensatory claim in the

amount of approximately

CHF 19m. Credit Suisse

AG appealed the decision

to the Swiss Federal

Court of Appeals.

Following the

merger of

UBS AG

and Credit

Suisse AG,

UBS AG

confirmed the

appeal. In

November 2024,

the

court issued a judgment that

acquitted UBS AG and annulled

the fine and compensatory claim

ordered by the first

instance court.

In February

2025, the

court affirmed

the acquittal

of UBS

AG, and

the Office

of the

Attorney General

has appealed

the judgment

to the

Swiss Federal

Supreme Court.

UBS has

also appealed,

limited to

the issue

whether

a successor

entity by

merger can

be criminally

liable for

acts of

the predecessor

entity. In

July 2025,

the Swiss

Federal

Supreme Court

granted the

appeal filed

by the

Office of

the Attorney

General and

ruled that

the Swiss

Federal

Court of

Appeals released

its judgment

without proper

reasoning. The

case was

remanded to

the Swiss

Federal

Court of Appeals to

deliver a full and

reasoned judgment. Separately, in

November 2025, the Swiss

Office of the

Attorney General filed criminal charges against UBS AG, as the successor to Credit Suisse AG, alleging that Credit

Suisse failed to maintain appropriate controls

to detect and prevent money

laundering in connection with certain

payments from accounts at

Credit Suisse by

parties associated with the

Mozambique transactions between 2013

and 2016.

UBS Group fourth quarter 2025 report |

Consolidated financial information | UBS Group

AG interim consolidated financial information

(unaudited)

Provisions and contingent liabilities

(continued)

10. Archegos

Credit

Suisse

and

UBS

have

received

requests

for

documents

and

information

connection

with

inquiries,

investigations

and/or

actions

relating

their

relationships

with

Archegos

Capital

Management

(Archegos),

including from FINMA

(assisted by a

third party appointed

by FINMA), the

DOJ, the SEC,

the US Federal

Reserve,

the

Commodity

Futures

Trading

Commission

(CFTC),

the

Senate

Banking

Committee,

the

Prudential

Regulation Authority (PRA),

the FCA,

the WEKO,

the Hong

Kong Competition Commission

and other

regulatory

and governmental agencies. UBS is cooperating with the authorities in these matters.

In July 2023, CSI and CSSEL

entered into a settlement agreement with

the PRA providing for the

resolution of the PRA’s investigation. Also

July 2023, FINMA

issued a

decree ordering remedial

measures and the

Federal Reserve Board

issued an Order

Cease and Desist. Under the terms of the order,

Credit Suisse paid a civil money penalty and agreed to

undertake

certain remedial

measures relating

to counterparty

credit risk

management, liquidity

risk management

and non-

financial risk management, as well as enhancements to board oversight and governance. UBS Group,

as the legal

successor to Credit Suisse Group AG,

is a party to

the FINMA decree and Federal Reserve Board

Cease and Desist

Order.

Civil

actions

relating

Credit

Suisse’s

relationship with

Archegos

have

been

filed

against

Credit

Suisse

and/or

certain officers and directors, including

claims for breaches of fiduciary

duties. In one such case, the parties

agreed

in July 2025 to a settlement of USD 115m that remains

subject to court approval. Because the action was

brought

by shareholders

on behalf

of and

for the

benefit of Credit

Suisse, after

deducting any Court-awarded

attorneys’

fees and

expenses and any

applicable taxes, the

cash recovery for

the settlement will

go to

UBS, as

successor to

Credit Suisse,

and will result in a net recovery for UBS.

11. Credit Suisse financial disclosures

Credit Suisse

Group AG

and certain

directors, officers and

executives have

been named

in securities

class action

complaints pending

in the

SDNY and

New Jersey

federal court.

These complaints,

filed since

2023 on

behalf of

purchasers of Credit

Suisse shares, additional

tier 1 capital notes,

and other securities,

allege that defendants

made

misleading

statements regarding:

(i) customer outflows

late

2022

and

early 2023;

(ii) the adequacy

of Credit

Suisse’s

financial

reporting

controls;

and

(iii) the

adequacy

Credit

Suisse’s

risk

management

processes,

and

include allegations relating

to Credit

Suisse Group AG’s merger

with UBS Group AG.

As of

November 2025, the

SDNY certified classes in two cases.

Credit Suisse has received requests for documents and information from regulatory and governmental agencies in

connection with inquiries,

investigations and/or actions

relating to

these matters, as

well as

for other statements

regarding Credit Suisse’s financial condition,

including from the SEC, the DOJ

and FINMA. UBS is cooperating with

the authorities in these matters.

12. Merger-related litigation

Certain Credit

Suisse Group AG

affiliates and certain

directors, officers

and executives have

been named in

class

action complaints pending

in the

SDNY. One complaint,

brought on

behalf of Credit

Suisse shareholders, alleges

breaches of fiduciary duty under Swiss law and civil RICO

claims under US federal law. In February 2024,

the court

granted

defendants’

motions

dismiss

the

civil

RICO

claims

and

conditionally

dismissed

the

Swiss

law

claims

pending defendants’ acceptance of

jurisdiction in Switzerland. In

March 2024, having received

consents to Swiss

jurisdiction from all defendants served with the complaint, the court

dismissed the Swiss law claims against those

defendants. Plaintiffs have

appealed the dismissal.

Additional complaints, brought on

behalf of holders

of Credit

Suisse additional

tier 1 capital

notes (AT1

noteholders) allege

breaches of

fiduciary duty

under Swiss

law, arising

from a

series of

scandals and

misconduct, which

led to

Credit

Suisse Group

AG’s

merger with

UBS Group

AG,

causing losses to

shareholders and AT1 noteholders. Motions

to dismiss these

complaints were granted in

March

2024 and September 2024

on the basis

that Switzerland is the

most appropriate forum for

litigation. Plaintiffs in

two of these cases appealed the dismissal and in

January 2025 withdrew their appeals.

UBS Group fourth quarter 2025 report |

Consolidated financial information | UBS Group

AG interim consolidated financial information

(unaudited)

Currency translation rates

The

following table

shows the

rates of

the main

currencies used

to translate

the financial

information of

UBS’s

operations with a functional currency other

than the US dollar into US dollars.

Currency translation rates

Closing exchange rate

Average rate

As of

For the quarter ended

For the year ended

31.12.25

30.9.25

31.12.24

31.12.25

30.9.25

31.12.24

31.12.25

31.12.24

1 CHF

1.26

1.10

1.25

1.13

1.21

1.13

1 EUR

1.17

1.04

1.16

1.06

1.13

1.08

1 GBP

1.35

1.34

1.25

1.33

1.34

1.27

1.32

1.28

100 JPY

0.64

0.68

0.63

0.64

0.67

0.65

0.67

0.66

1 Monthly income statement items of operations with

a functional currency other than the US dollar are translated

into US dollars using month-end rates.

Disclosed average rates for a quarter or

a year represent an

average of three month-end rates or an average

of twelve month-end rates, respectively,

weighted according to the income and expense volumes of

all operations of the Group with the same functional

currency for

each month. Weighted average rates for individual business divisions may deviate from the weighted average

rates for the Group.

UBS Group fourth quarter 2025 report |

Appendix

Alternative performance measures

An alternative performance measure (an APM) is a financial measure of historical or

future financial performance,

financial position

or cash

flows other

than a

financial measure

defined or

specified in

the applicable

recognized

accounting standards or in

other applicable regulations. A

number of APMs

are reported in

the discussion of

the

financial and operating performance of

the external reports (annual, quarterly

and other reports). APMs

are used

to provide

a more

complete

picture of

operating

performance and

to reflect

management’s

view of

the fundamental

drivers

the

business

results. A

definition

each

APM,

the

method

used

calculate

and

the

information

content are presented in alphabetical order

in the table below. These APMs may

qualify as non-GAAP measures as

defined by US Securities and Exchange Commission

(SEC) regulations.

APM label

Calculation

Information content

Cost / income ratio (%)

Calculated as operating expenses divided by

total

revenues.

This measure provides information about the

efficiency of the business by comparing operating

expenses with total revenues.

Cost / income ratio (underlying) (%)

Calculated as underlying operating expenses

(as

defined above) divided by underlying total

revenues

(as defined above).

This measure provides information about the

efficiency of the business by comparing operating

expenses with total revenues, while excluding items

that management believes are not representative of

the underlying performance of the businesses.

Cost of credit risk (bps)

Calculated as total credit loss expense / (release)

(annualized for reporting periods shorter than

12 months) divided by the average balance

of lending

assets for the reporting period, expressed in basis

points. Lending assets include the gross amounts

Amounts due from banks and Loans and advances

customers.

This measure provides information about the total

credit loss expense / (release) incurred in relation to

the average balance of gross lending assets for the

period.

Credit-impaired lending assets as a

percentage of total lending assets,

gross (%)

Calculated as credit-impaired lending assets divided

by total lending assets. Lending assets includes

the

gross amounts of Amounts due from banks and

Loans and advances to customers. Credit-impaired

lending assets refers to the sum of stage 3 and

purchased credit-impaired positions.

This measure provides information about the

proportion of credit-impaired lending assets in the

overall portfolio of gross lending assets.

Credit-impaired loan portfolio as a

percentage of total loan portfolio,

gross (%)

– Global Wealth Management,

Personal & Corporate Banking

Calculated as credit-impaired loan portfolio divided

total gross loan portfolio.

This measure provides information about the

proportion of the credit-impaired loan portfolio in the

total gross loan portfolio.

Fee-generating assets (USD)

– Global Wealth Management

Calculated as the sum of discretionary and

nondiscretionary wealth management portfolios

(mandate volume) and assets where generated

revenues are predominantly of a recurring nature, i.e.

mainly investment, mutual, hedge and private-market

funds where we have a distribution agreement,

including client commitments into closed-ended

private-market funds from the date that recurring

fees are charged. Assets related to our Global

Financial Intermediaries business are excluded, as

are

assets of sanctioned clients.

This measure provides information about the volume

of invested assets that create a revenue stream,

whether as a result of the nature of the contractual

relationship with clients or through the fee structure

of the asset. An increase in the level of fee-generating

assets results in an increase in the associated revenue

stream. Assets of sanctioned clients are excluded from

fee-generating assets.

Gross margin on invested assets (bps)

– Asset Management

Calculated as total revenues (annualized for reporting

periods shorter than 12 months) divided by

average

invested assets.

This measure provides information about the total

revenues of the business in relation to invested assets.

Integration-related expenses (USD)

Generally include costs of internal staff

and

contractors substantially dedicated to integration

activities, retention awards, redundancy costs,

incremental expenses from the shortening of useful

lives of property, equipment and software, and

impairment charges relating to these assets.

Classification as integration-related expenses does

not

affect the timing of recognition and measurement of

those expenses or the presentation thereof in the

income statement. Integration-related expenses

incurred by Credit Suisse also included expenses

associated with restructuring programs that existed

prior to the acquisition.

This measure provides information about expenses

that are temporary, incremental and directly related to

the integration of Credit Suisse into UBS.

UBS Group fourth quarter 2025 report |

Appendix

APM label

Calculation

Information content

Invested assets (USD and CHF)

Calculated as the sum of managed fund

assets,

managed institutional assets, discretionary and

advisory wealth management portfolios, fiduciary

deposits, time deposits, savings accounts,

and wealth

management securities or brokerage accounts.

This measure provides information about the volume

of client assets managed by or deposited with

UBS for

investment purposes.

Net interest income (underlying) (USD)

– Global Wealth Management,

Personal & Corporate Banking

Calculated by adjusting net interest income

reported in accordance with IFRS Accounting

Standards for items that management believes

are

not representative of the underlying performance of

the businesses.

This measure provides information about the amount

of net interest income, while excluding items that

management believes are not representative of the

underlying performance of the businesses.

Net interest margin (bps)

– Personal & Corporate Banking

Calculated as net interest income (annualized for

reporting periods shorter than 12 months) divided by

average loans.

This measure provides information about the

profitability of the business by calculating the

difference between the price charged for lending and

the cost of funding, relative to loan value.

Net new assets (USD)

– Global Wealth Management

Calculated as the net amount of inflows and

outflows

of invested assets (as defined in UBS policy) recorded

during a specific period, plus interest and dividends.

Excluded from the calculation are movements due to

market performance, foreign exchange translation,

fees, and the effects on invested assets of strategic

decisions by UBS to exit markets or services.

This measure provides information about the

development of invested assets during a

specific

period as a result of net new asset flows, plus the

effect of interest and dividends.

Net new assets growth rate (%)

– Global Wealth Management

Calculated as the net amount of inflows and

outflows

of invested assets (as defined in UBS policy) recorded

during a specific period (annualized for reporting

periods shorter than 12 months), plus

interest and

dividends, divided by total invested assets

at the

beginning of the period.

This measure provides information about the growth

of invested assets during a specific period

as a result

of net new asset flows.

Net new deposits (USD)

– Global Wealth Management

Calculated as the net amount of inflows and

outflows

of deposits recorded during a specific period. Deposits

include customer deposits and customer brokerage

payables. Excluded from the calculation are

movements due to fair value measurement, foreign

exchange translation, accrued interest and fees,

well as the effects on customer deposits of strategic

decisions by UBS to exit markets or services.

This measure provides information about the

development of deposits during a specific period

as a

result of net new deposit flows.

Net new fee-generating assets (USD)

– Global Wealth Management

Calculated as the net amount of fee-generating

asset

inflows and outflows, including dividend

and interest

inflows into mandates and outflows from mandate

fees paid by clients during a specific period.

Excluded

from the calculation are the effects on fee-generating

assets of strategic decisions by UBS to exit

markets or

services.

This measure provides information about the

development of fee-generating assets during

specific period as a result of net flows, excluding

movements due to market performance and

foreign

exchange translation, as well as the effects on fee-

generating assets of strategic decisions by UBS

to exit

markets or services.

Net new loans (USD)

– Global Wealth Management

Calculated as the net amount of originations,

drawdowns and repayments of loans recorded during

a specific period. Loans include loans and

advances to

customers and customer brokerage receivables.

Excluded from the calculation are allowances,

movements due to fair value measurement and

foreign exchange translation, as well as the

effects on

loans and advances to customers of strategic

decisions by UBS to exit markets or services.

This measure provides information about the

development of loans during a specific period

as a

result of net new loan flows.

Net new money (USD)

– Global Wealth Management,

Asset Management

Calculated as the net amount of inflows and

outflows

of invested assets (as defined in UBS policy) recorded

during a specific period. Excluded from the calculation

are movements due to market performance, foreign

exchange translation, dividends, interest and fees,

well as the effects on invested assets of strategic

decisions by UBS to exit markets

or services. Net new

money is not measured for Personal & Corporate

Banking.

This measure provides information about the

development of invested assets during a

specific

period as a result of net new money flows.

Net profit growth (%)

Calculated as the change in net profit attributable

shareholders from continuing operations between

current and comparison periods divided by net profit

attributable to shareholders from continuing

operations of the comparison period.

This measure provides information about profit

growth since the comparison period.

Operating expenses (underlying) (USD)

Calculated by adjusting operating expenses

reported in accordance with IFRS Accounting

Standards for items that management believes

are

not representative of the underlying performance of

the businesses.

This measure provides information about the amount

of operating expenses, while excluding items

that

management believes are not representative of the

underlying performance of the businesses.

UBS Group fourth quarter 2025 report |

Appendix

APM label

Calculation

Information content

Operating profit / (loss) before tax

(underlying) (USD)

Calculated by adjusting operating profit / (loss) before

tax as reported in accordance with IFRS Accounting

Standards for items that management believes

are

not representative of the underlying performance of

the businesses.

This measure provides information about the amount

of operating profit / (loss) before tax, while excluding

items that management believes are not

representative of the underlying performance of the

businesses.

Other revenues (USD and CHF)

– Global Wealth Management,

Personal & Corporate banking

Calculated by including other income as reported

accordance with IFRS Accounting Standards, profit or

loss related to non-client derivative instruments

and

profit or loss related to equity investments measured

at fair value through profit or loss.

This measure provides information about residual

business division revenues, after deduction of net

interest income, recurring net fee income and

transaction-based income.

Other revenues (underlying)

(USD and CHF)

– Global Wealth Management,

Personal & Corporate banking

Calculated by adjusting other revenues

as reported

for items that management believes are not

representative of the underlying performance of the

businesses.

This measure provides information about the amount

of other revenues,

while excluding items that

management believes are not representative of the

underlying performance of the businesses.

Pre-tax profit growth (%)

– Global Wealth Management,

Personal & Corporate Banking,

Asset Management,

the Investment Bank

Calculated as the change in net profit before tax

attributable to shareholders from continuing

operations between current and comparison periods

divided by net profit before tax attributable to

shareholders from continuing operations of the

comparison period.

This measure provides information about pre-tax

profit growth since the comparison period.

Pre-tax profit growth (underlying) (%)

– Global Wealth Management,

Personal & Corporate Banking,

Asset Management,

the Investment Bank

Calculated as the change in underlying net

profit

before tax attributable to shareholders from

continuing operations between current and

comparison periods divided by underlying net

profit

before tax attributable to shareholders from

continuing operations of the comparison period.

Underlying net profit before tax attributable to

shareholders from continuing operations excludes

items that management believes are not

representative of the underlying performance of the

businesses and also excludes related tax impact.

This measure provides information about pre-tax

profit growth since the comparison period, while

excluding items that management believes

are not

representative of the underlying performance of the

businesses.

Recurring net fee income (USD and CHF)

– Global Wealth Management,

Personal & Corporate Banking

Calculated as the total of fees for services provided

an ongoing basis, such as portfolio management

fees,

asset-based investment fund fees and custody

fees,

which are generated on client assets, and

administrative fees for accounts.

This measure provides information about the amount

of recurring net fee income.

Return on attributed equity (%)

Calculated as business division operating profit before

tax (annualized for reporting periods shorter than

12 months) divided by average attributed

equity.

This measure provides information about the

profitability of the business divisions in relation to

attributed equity.

Return on attributed equity

(underlying) (%)

Calculated as underlying business division

operating

profit before tax (annualized for reporting periods

shorter than 12 months) (as defined above)

divided by

average attributed equity.

This measure provides information about the

profitability of the business divisions in relation to

attributed equity, while excluding items that

management believes are not representative of the

underlying performance of the businesses.

Return on common equity tier 1 capital

(%)

Calculated as net profit attributable to shareholders

(annualized for reporting periods shorter than

12 months) divided by average common equity

tier 1

capital.

This measure provides information about the

profitability of the business in relation to common

equity tier 1 capital.

Return on common equity tier 1 capital

(underlying) (%)

Calculated as underlying net profit attributable to

shareholders (annualized for reporting periods shorter

than 12 months) divided by average common

equity

tier 1 capital. Underlying net profit attributable to

shareholders excludes items that management

believes are not representative of the underlying

performance of the businesses and also excludes

related tax impact.

This measure provides information about the

profitability of the business in relation to common

equity tier 1 capital, while excluding items that

management believes are not representative of the

underlying performance of the businesses.

Return on equity (%)

Calculated as net profit attributable to shareholders

(annualized for reporting periods shorter than

12 months) divided by average equity attributable

shareholders.

This measure provides information about the

profitability of the business in relation to equity.

Return on tangible equity (%)

Calculated as net profit attributable to shareholders

(annualized for reporting periods shorter than

12 months) divided by average equity attributable

shareholders less average goodwill and intangible

assets.

This measure provides information about the

profitability of the business in relation to tangible

equity.

UBS Group fourth quarter 2025 report |

Appendix

APM label

Calculation

Information content

Return on tangible equity (underlying)

(%)

Calculated as underlying net profit attributable to

shareholders (annualized for reporting periods shorter

than 12 months) divided by average equity

attributable to shareholders less average goodwill

and

intangible assets. Underlying net profit attributable

shareholders excludes items that management

believes are not representative of the underlying

performance of the businesses and also excludes

related tax impact.

This measure provides information about the

profitability of the business in relation to tangible

equity, while excluding items that management

believes are not representative of the underlying

performance of the businesses.

Revenues over leverage ratio

denominator, gross (%)

Calculated as total revenues (annualized for reporting

periods shorter than 12 months) divided by the

average leverage ratio denominator.

This measure provides information about the revenues

of the business in relation to the leverage ratio

denominator.

Tangible book value per share (USD)

Calculated as equity attributable to shareholders less

goodwill and intangible assets divided by the

number

of shares outstanding.

This measure provides information about tangible net

assets on a per-share basis.

Total book value per share (USD)

Calculated as equity attributable to shareholders

divided by the number of shares outstanding.

This measure provides information about net assets

on a per-share basis.

Total revenues (underlying) (USD)

Calculated by adjusting total revenues as reported in

accordance with IFRS Accounting Standards for items

that management believes are not representative of

the underlying performance of the businesses.

This measure provides information about the amount

of total revenues, while excluding items that

management believes are not representative of the

underlying performance of the businesses.

Transaction-based income

(USD and CHF)

– Global Wealth Management,

Personal & Corporate Banking

Calculated as the total of the non-recurring portion

net fee and commission income, mainly composed

brokerage and transaction-based investment fund

fees, and credit card fees, as well as fees for payment

and foreign-exchange transactions, together with

other net income from financial instruments

measured at fair value through profit or loss.

This measure provides information about the amount

of the non-recurring portion of net fee and

commission income, together with other net

income

from financial instruments measured at fair value

through profit or loss.

Transaction-based income (underlying)

(USD and CHF)

– Global Wealth Management,

Personal & Corporate Banking

Calculated as adjustment to transaction-based

income

for items that management believes are not

representative of the underlying performance of the

businesses.

This measure provides information about the amount

of transaction-based income, while excluding items

that management believes are not representative of

the underlying performance of the businesses.

This is

a general list

of the APMs

used in our

financial reporting. Not

all of

the APMs listed

above may appear

this particular report.

Information related to underlying return on common equity tier 1 capital (RoCET1) and underlying return on tangible

equity (%)

As of or for the quarter ended

As of or for the year ended

USD m, except where indicated

31.12.25

30.9.25

31.12.24

31.12.25

31.12.24

Underlying operating profit / (loss) before tax

2,871

3,590

1,768

11,729

8,831

Underlying tax expense / (benefit)

690

576

456

1,808

2,162

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

Underlying net profit / (loss) attributable to shareholders

2,175

3,008

1,303

9,891

6,609

Underlying net profit / (loss) attributable to shareholders

8,698

12,032

5,211

9,891

6,609

Tangible equity

83,265

82,916

78,192

83,265

78,192

Average tangible equity

83,091

82,585

79,084

81,544

77,973

CET1 capital

71,262

74,655

71,367

71,262

71,367

Average CET1 capital

72,958

73,682

72,790

71,958

75,666

Underlying return on tangible equity (%)

10.5

14.6

6.6

12.1

8.5

Underlying return on common equity tier 1 capital (%)

11.9

16.3

7.2

13.7

8.7

1 Annualized for reporting periods shorter than 12 months.

UBS Group fourth quarter 2025 report |

Appendix

Abbreviations frequently used in our financial reports

ABS

asset-backed securities

Aktiengesellschaft

AGM

Annual General Meeting of

shareholders

artificial intelligence

A-IRB

advanced internal ratings-

based

ALCO

Asset and Liability

Committee

AMA

advanced measurement

approach

AML

anti-money laundering

AoA

Articles of Association

APM

alternative performance

measure

ARR

alternative reference rate

ARS

auction rate securities

ASF

available stable funding

AT1

additional tier 1

AuM

assets under management

BCBS

Basel Committee on

Banking Supervision

BIS

Bank for International

Settlements

BoD

Board of Directors

CAO

Capital Adequacy

Ordinance

CCAR

Comprehensive Capital

Analysis and Review

CCF

credit conversion factor

CCP

central counterparty

CCR

counterparty credit risk

CCRC

Corporate Culture and

Responsibility Committee

CDS

credit default swap

CEO

Chief Executive Officer

CET1

common equity tier 1

CFO

Chief Financial Officer

CGU

cash-generating unit

CHF

Swiss franc

CIO

Chief Investment Office

CORC

Compliance and

Operational Risk Control

CRM

credit risk mitigation

CRO

Chief Risk Officer

CST

combined stress test

CUSIP

Committee on Uniform

Security Identification

Procedures

CVA

credit valuation adjustment

DBO

defined benefit obligation

DCCP

Deferred Contingent

Capital Plan

DFAST

Dodd–Frank Act Stress Test

DisO-FINMA

FINMA Ordinance on the

Disclosure Obligations of

Banks and Securities Firms

discount margin

DOJ

US Department of Justice

DTA

deferred tax asset

DVA

debit valuation adjustment

EAD

exposure at default

Executive Board

European Commission

ECB

European Central Bank

ECL

expected credit loss

EGM

Extraordinary General

Meeting of shareholders

EIR

effective interest rate

expected loss

EMEA

Europe, Middle East and

Africa

EOP

Equity Ownership Plan

EPS

earnings per share

ESG

environmental, social and

governance

ETD

exchange-traded derivatives

ETF

exchange-traded fund

European Union

EUR

euro

EURIBOR

Euro Interbank Offered Rate

EVE

economic value of equity

Ernst & Young Ltd

FCA

UK Financial Conduct

Authority

FDIC

Federal Deposit Insurance

Corporation

FINMA

Swiss Financial Market

Supervisory Authority

FMIA

Swiss Financial Market

Infrastructure Act

FRTB

Fundamental Review of the

Trading Book

FSB

Financial Stability Board

FTA

Swiss Federal Tax

Administration

FVA

funding valuation

adjustment

FVOCI

fair value through other

comprehensive income

FVTPL

fair value through profit or

loss

foreign exchange

GAAP

generally accepted

accounting principles

GBP

pound sterling

GDP

gross domestic product

GEB

Group Executive Board

GHG

greenhouse gas

GCORC

Group Compliance and

Operational Risk Control

GRI

Global Reporting Initiative

G-SIB

global systemically

important bank

HQLA

high-quality liquid assets

IAS

International Accounting

Standards

IASB

International Accounting

Standards Board

IBOR

interbank offered rate

IFRIC

International Financial

Reporting Interpretations

Committee

IFRS

accounting standards

Accounting

issued by the IASB

Standards

IRB

internal ratings-based

IRRBB

interest rate risk in the

banking book

ISDA

International Swaps and

Derivatives Association

ISIN

International Securities

Identification Number

UBS Group fourth quarter 2025 report |

Appendix

Abbreviations frequently used in our financial reports (continued)

KRT

Key Risk Taker

LAS

liquidity-adjusted stress

LCR

liquidity coverage ratio

LGD

loss given default

LIBOR

London Interbank Offered

Rate

LLC

limited liability company

LoD

lines of defense

LRD

leverage ratio denominator

LTIP

Long-Term

Incentive Plan

LTV

loan-to-value

M&A

mergers and acquisitions

MRT

Material Risk Taker

NII

net interest income

NSFR

net stable funding ratio

NYSE

New York Stock Exchange

OCA

own credit adjustment

OCI

other comprehensive

income

OECD

Organisation for Economic

Co-operation and

Development

OTC

over-the-counter

PCI

purchased credit impaired

probability of default

PIT

point in time

PPA

purchase price allocation

QCCP

qualifying central

counterparty

RBC

risk-based capital

RbM

risk-based monitoring

REIT

real estate investment trust

RMBS

residential mortgage-

backed securities

RniV

risks not in VaR

RoCET1

return on CET1 capital

RoU

right-of-use

rTSR

relative total shareholder

return

RWA

risk-weighted assets

standardized approach or

société anonyme

SA-CCR

standardized approach for

counterparty credit risk

SAR

Special Administrative

Region of the People’s

Republic of China

SDG

Sustainable Development

Goal

SEC

US Securities and Exchange

Commission

SFT

securities financing

transaction

SIBOR

Singapore Interbank

Offered Rate

SICR

significant increase in credit

risk

SIX

SIX Swiss Exchange

SME

small and medium-sized

entities

SMF

Senior Management

Function

SNB

Swiss National Bank

SOR

Singapore Swap Offer Rate

SPPI

solely payments of principal

and interest

SRB

systemically relevant bank

SVaR

stressed value-at-risk

TBTF

too big to fail

TCFD

Task

Force on Climate-

related Financial Disclosures

TIBOR

Tokyo

Interbank Offered

Rate

TLAC

total loss-absorbing capacity

TTC

through the cycle

USD

US dollar

VaR

value-at-risk

VAT

value added tax

This is a

general list of

the abbreviations

frequently used

in our financial

reporting. Not

all of the

listed abbreviations

may appear in this particular report.

UBS Group fourth quarter 2025 report |

Appendix

Information sources

Reporting publications

Annual publications

UBS

Group

Annual

Report

Published

English,

this

report

provides

descriptions

of:

the

Group

strategy

and

performance; the

strategy and

performance of

the business divisions

and Group functions;

risk, treasury

and capital

management; corporate

governance;

the compensation

framework, including

information about

compensation for

the Board of Directors and the Group Executive Board members; and financial information, including the financial

statements.

“Auszug aus

dem Geschäftsbericht

”: This

publication provides

a German

translation of

selected sections

the

UBS Group Annual Report.

Compensation

Report

This

report

discusses

the

compensation

framework

and

provides

information

about

compensation for

the Board

of Directors

and the

Group Executive

Board members.

It is

available in

English and

German (

“Vergütungsbericht

”) and represents a component of the UBS

Group Annual Report.

Sustainability

Report

Published

English,

the

UBS

Group

Sustainability

Report

provides

disclosures

environmental, social and governance (ESG)

topics.

Quarterly publications

Quarterly financial report

: This report provides an

update on performance and strategy (where

applicable) for the

respective quarter. It is available in English.

The annual

and quarterly

publications

are available

in .pdf and

online formats

ubs.com/investors

, under

“Financial

information”.

Printed copies, in any language, of the aforementioned

annual publications are no longer provided.

Other information

Website

The “Investor

Relations” website

ubs.com/investors

provides the

following information

about UBS:

results-related

news

releases;

financial

information,

including

results-related

filings

with

the

Securities

and

Exchange

Commission

(the

SEC);

information

for

shareholders,

including

UBS

dividend

and

repurchase

program

information, and for bondholders, including rating agencies reports; the corporate calendar; and presentations by

management for investors and financial analysts. Information is available online in English, with some information

also available in German.

Results presentations

Quarterly

results

presentations

are

webcast

live.

Recordings

most

presentations

can

downloaded

from

ubs.com/presentations

Messaging service

alerts

news

about

UBS

can

subscribed

for

under

“UBS

News

Alert”

ubs.com/global/en/investor-

relations/contact/investor-services.html

. Messages are sent in English, German, French or Italian, with an option to

select theme preferences for such alerts.

Form 20-F and other submissions to the US

Securities and Exchange Commission

UBS files periodic

reports with

and submits

other information

to the

SEC. Principal

among these

filings is the

annual

report on Form 20-F,

filed pursuant to

the US Securities

Exchange Act of 1934.

The filing of

Form 20-F is structured

as a wraparound document. Most sections of the filing can be

satisfied by referring to the UBS Group AG Annual

Report. However, there is

a small amount

of additional information in

Form 20-F that is

not presented elsewhere

and is particularly targeted at readers in the US. Readers are encouraged to refer to this additional disclosure. Any

document that is filed with

the SEC is available on the

SEC’s website:

sec.gov

. Refer to

ubs.com/investors

for more

information.

UBS Group fourth quarter 2025 report |

Appendix

Cautionary statement

regarding forward-looking statements

This report contains

statements that

constitute “forward-looking

statements”, including

but

not limited to management’s

outlook for UBS’s financial performance,

statements relating to the

anticipated effect of transactions

and strategic initiatives on

UBS’s business and future development and goals. While these forward-looking statements

represent UBS’s judgments, expectations and objectives concerning

the matters described, a number of risks, uncertainties and other important factors could cause actual developments and results to differ materially from UBS’s

expectations. In

particular,

the global

economy may

suffer

significant adverse

effects from

increasing political

tensions between

world powers,

changes to

international trade

policies, including

those related

to tariffs

and trade

barriers, and

evolving armed

conflicts. UBS’s

acquisition of

the Credit

Suisse Group

materially changed

its outlook

and strategic

direction and

introduced new

operational challenges. The

integration of

the Credit

Suisse entities

into the

UBS

structure is expected to continue

through 2026 and presents significant operational and

execution risk, including the risks that

UBS may be unable to achieve

the cost reductions and business

benefits contemplated by the

transaction, that it may incur

higher costs to execute the

integration of Credit Suisse

and that the

acquired business may have greater

risks or liabilities,

including those related to litigation, than

expected. Following the failure of

Credit Suisse, Switzerland is

considering significant changes

to its capital,

resolution and regulatory

regime, which, if

adopted, would significantly

increase our capital

requirements or impose

other costs on UBS. These factors create greater uncertainty about forward-looking statements. Other factors that may affect UBS’s performance and ability to

achieve its plans, outlook and

other objectives also include,

but are not limited to: (i) the

degree to which UBS is successful

in the execution of its

strategic plans,

including its

cost reduction

and efficiency

initiatives and

its ability

to manage

its levels

of risk-weighted assets

(RWA) and

leverage ratio

denominator (LRD),

liquidity coverage ratio

and other financial

resources, including changes

in RWA

assets and

liabilities arising from

higher market volatility

and the

size of the

combined Group; (ii) the

degree to which UBS

is successful in implementing

changes to its businesses

to meet changing

market, regulatory and

other conditions,

including any potential changes to banking examination and oversight practices and standards as a

result of executive branch orders or staff interpretations

law in the

US; (iii) inflation

and interest rate

volatility in

major markets; (iv) developments

in the macroeconomic

climate and in

the markets in

which UBS operates

or to which

it is exposed,

including movements in securities prices

or liquidity,

credit spreads, currency

exchange rates, residential and

commercial real estate

markets, general economic conditions,

and changes to national

trade policies on the

financial position or creditworthiness

of UBS’s clients and

counterparties, as

well as on client sentiment and levels of activity; (v) changes

in the availability of capital and funding, including

any adverse changes in UBS’s credit spreads and

credit ratings of UBS,

as well as availability and

cost of funding,

including as affected by

the marketability of a current

additional tier one debt

instrument, to

meet requirements

for

debt eligible

for total

loss-absorbing capacity

(TLAC); (vi) changes

in and

potential divergence

between central

bank policies

the

implementation of financial legislation and

regulation in Switzerland, the US,

the UK, the EU

and other financial centers

that have imposed, or

resulted in, or

may do so in the future, more stringent or entity-specific capital, TLAC, leverage ratio, net stable funding ratio, liquidity and funding requirements, heightened

operational resilience requirements, incremental tax requirements, additional levies, limitations on permitted activities, constraints on remuneration, constraints

on transfers

of capital

and liquidity

and sharing

of operational

costs across

the Group

or other

measures, and

the effect

these will

or would

have on

UBS’s

business activities; (vii) UBS’s ability to successfully implement resolvability and related regulatory requirements and the potential need to make further changes

to the legal structure or booking model of UBS in response to legal and regulatory requirements including heightened

requirements and expectations due to its

acquisition of the Credit Suisse Group; (viii) UBS’s ability to maintain and improve its systems and controls for complying with sanctions in a timely manner and

for the detection

and prevention of

money laundering to

meet evolving regulatory

requirements and expectations,

in particular in

the current geopolitical

turmoil;

(ix) the

uncertainty arising

from

domestic stresses

certain

major

economies; (x)

changes

UBS’s

competitive position,

including

whether

differences

regulatory capital and other requirements among the

major financial centers adversely affect UBS’s ability

to compete in certain lines of business;

(xi) changes in

the standards

of conduct applicable

to its businesses

that may result

from new regulations

or new enforcement

of existing standards,

including measures to

impose new and enhanced duties when interacting with customers and

in the execution and handling of customer transactions; (xii) the

liability to which UBS

may be exposed, or

possible constraints or sanctions that

regulatory authorities might impose on

UBS, due to litigation,

including litigation it has inherited

virtue of

the acquisition of

Credit Suisse,

contractual claims and

regulatory investigations, including the

potential for disqualification

from certain businesses,

potentially large fines or monetary penalties, or the loss

of licenses or privileges as a result

of regulatory or other governmental sanctions, as well as

the effect

that litigation, regulatory and

similar matters have on

the operational risk component

of its RWA; (xiii) UBS’s ability

to retain and attract

the employees necessary

to generate

revenues and

to manage,

support and

control its

businesses, which

may be

affected by

competitive factors;

(xiv) changes in

accounting or

tax

standards or policies, and determinations or interpretations affecting

the recognition of gain or loss,

the valuation of goodwill, the recognition of

deferred tax

assets and

other matters;

(xv) UBS’s ability

to implement

new technologies

and business

methods, including

digital services,

artificial intelligence

and other

technologies, and ability

to successfully compete

with both existing

and new financial

service providers, some of

which may not be

regulated to the same

extent;

(xvi) limitations on the

effectiveness of UBS’s

internal processes for

risk management,

risk control, measurement

and modeling, and

of financial models

generally;

(xvii) the occurrence of operational

failures, such as

fraud, misconduct, unauthorized trading, financial crime,

cyberattacks, data leakage and systems

failures,

the risk

of which

is increased

with persistently

high levels

of cyberattack

threats; (xviii) restrictions

on the

ability of

UBS Group

AG, UBS

AG and

regulated

subsidiaries of UBS AG to make payments or distributions,

including due to restrictions on the ability of its subsidiaries

to make loans or distributions, directly or

indirectly, or,

in the case of financial difficulties, due

to the exercise by FINMA or

the regulators of UBS’s operations in other

countries of their broad statutory

powers in relation to protective measures, restructuring and liquidation proceedings;

(xix) the degree to which changes in regulation, capital or

legal structure,

financial results or

other factors may

affect UBS’s ability

to maintain its

stated capital return

objective; (xx) uncertainty over the

scope of actions

that may be

required by

UBS, governments

and others

for UBS

to achieve

goals relating

to climate,

environmental and

social matters,

as well

as the

evolving nature

underlying science and

industry and the increasing

divergence among regulatory

regimes; (xxi) the ability

of UBS to access

capital markets; (xxii)

the ability of UBS

to successfully

recover from

a disaster

or other

business continuity

problem due

to a

hurricane, flood,

earthquake, terrorist

attack, war,

conflict, pandemic,

security breach,

cyberattack, power loss,

telecommunications failure or

other natural or

man-made event; and

(xxiii) the effect

that these or

other factors or

unanticipated events, including media reports and speculations, may have on its reputation and the additional consequences that this may have on its business

and performance. The sequence in which the factors above are presented is not

indicative of their likelihood of occurrence or the potential magnitude of their

consequences. UBS’s business and financial performance could be affected by other factors identified in

its past and future filings and reports,

including those

filed with the US Securities and Exchange Commission

(the SEC). More detailed information about those factors

is set forth in documents furnished by UBS and

filings made by UBS with the SEC,

including the UBS Group AG and UBS

AG Annual Reports on Form 20-F for

the year ended 31 December 2024. UBS is not

under any obligation to

(and expressly disclaims any

obligation to) update or

alter its forward-looking statements,

whether as a result of new

information, future

events, or otherwise.

Rounding |

Numbers presented throughout this report may not add up

precisely to the totals provided in the tables and text.

Percentages and percent changes

disclosed in text and tables are

calculated on the basis of unrounded

figures. Absolute changes between reporting periods disclosed in

the text, which can be

derived from numbers presented in related tables, are calculated on

a rounded basis.

Tables |

Within tables, blank fields generally indicate non-applicability or that presentation of any content would not be meaningful, or that information is not

available as of the relevant date or for the relevant period. Zero values generally indicate that the respective figure is zero on an actual or rounded basis.

Values

that are zero on a rounded basis can be either negative

or positive on an actual basis.

Websites |

In this report, any

website addresses are provided

solely for information

and are not intended

to be active links.

UBS is not incorporating

the contents

of any such websites into this report.

UBS Group AG

P.O. Box

CH-8098 Zurich

ubs.com

This

Form

6-K

hereby

incorporated

reference

into

(1)

each

the

registration

statements

Form

F-3

(Registration Number

333-283672), and

on Form

S-8 (Registration

Numbers 333-200634;

333-200635; 333-200641;

333-200665;

333-215254;

333-215255;

333-228653;

333-230312;

333-249143

and

333-272975),

and

into

each

prospectus outstanding

under any

of the

foregoing registration

statements, (2)

any outstanding

offering circular

UBS Group (AMUB) boosts 2025 profit, ups Credit Suisse cost-savings goal

Rhea-AI Filing Summary

Positive

Negative

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Banking sector equity analyst positive

FAQ

How did UBS Group (AMUB) perform financially in full-year 2025?

What were UBS Group (AMUB) results for the fourth quarter of 2025?

How far has UBS Group (AMUB) progressed integrating Credit Suisse?

What capital ratios did UBS Group (AMUB) report at December 31, 2025?

What dividend and share buybacks did UBS Group (AMUB) outline for shareholders?

What are UBS Group (AMUB) key financial targets after the Credit Suisse integration?