Credit Suisse Swings to $2.4B Profit

Updated from 1:11 a.m. EDT

ZURICH, Switzerland (TheStreet) -- Credit Suisse(CS Quote) exceeded analysts' expectations as it swung to a third-quarter profit of 2.4 billion Swiss francs ($2.38 billion) from a year-earlier loss of 1.26 billion francs.

The Swiss bank, in a statement Thursday, said third-quarter return on equity was 25.1% and its tier 1 ratio was 16.4%.

The bank's private banking operations reported pretax income of 867 million francs in the third quarter, down 7% from the second quarter. Net revenue fell 4% on lower net interest income, while costs remained stable, the bank said.

Its private banking division took in net new assets of 13.1 billion francs in the quarter.

Investment banking reported pretax income of 1.7 billion francs in the third quarter, up 5% from the second quarter.

"Our third-quarter performance, including our strong return on equity of 25.1%, shows that our approach continues to work well and is providing the foundation for sustainable, high-quality, lower volatility earnings," said CEO Brady Dougan, in a statement. "Our strategy and business model and industry-leading capital strength, demonstrated by our tier 1 ratio of 16.4%, position Credit Suisse to prosper in the new competitive landscape."

-- Reported by Joseph Woelfel in New York .

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