Credit Suisse Swings to Profit - TheStreet

Credit Suisse Swings to Profit

Switzerland's biggest bank earned 793 million Swiss francs ($745.8 million) in the fourth quarter, a number that came in shy of analysts' estimates.
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Updated from 1:27 a.m. EST

ZURICH (

TheStreet

) --

Credit Suisse

(CS) - Get Report

, Switzerland's biggest bank, earned 793 million Swiss francs ($745.8 million) in the fourth quarter, a number that came in shy of analysts' estimates.

Credit Suisse rival

UBS

(UBS) - Get Report

earlier this week reported it

swung to a profit in the fourth quarter

of 1.2 billion Swiss francs, topping analysts' estimates.

Credit Suisse said its return on equity in the fourth quarter was 8.3%. Earnings in the fourth quarter include a legal settlement in the U.S. of 500 million Swiss francs. Excluding this and other items, the bank said net income would have been 1.4 billion Swiss francs with return on equity of 14.6%.

In the fourth quarter of 2008, Credit Suisse reported a loss of 6 billion francs.

Credit Suisse's private banking operations posted pretax income of 900 million Swiss francs. Investment banking had pretax income of 1 billion Swiss francs.

On investment banking, Credit Suisse CEO Brady Dougan said the bank continues to "benefit from the action we took at the end of 2008 to reposition the business in a changed financial services sector.

"We achieved strong results in our underwriting and advisory businesses and solid results in cash equities and prime services in the fourth quarter of 2009. We also maintained or increased our market share across most products and regions," Dougan said.

Credit Suisse saw net new asset inflows of 12.5 billion Swiss francs, a stark contrast to that of UBS which said inflows fell and that it would continue efforts to stem client asset outflows.

-- Reported by Joseph Woelfel in New York.

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