By Pietro Lombardi

UBS Group AG released fourth-quarter results on Tuesday. Here is what you need to know.

NET PROFIT: Net profit for the quarter more than doubled to $1.71 billion from $722 million a year earlier. Analysts had expected profit of $966 million, according to a consensus forecast provided by the bank.

REVENUE: Operating income rose 15% to $8.12 billion, beating analysts' forecast of $7.37 billion.

WHAT WE WATCHED:

-CAPITAL RETURNS: This was a key focus for analysts and investors. The Swiss bank said it plans to launch a new three-year buyback program of up to 4 billion Swiss francs ($4.5 billion) in the first quarter. Including the conclusion of the existing program, the bank plans to repurchase up to $1.1 billion of shares in the first three months of the year. In a call with analysts, the bank's top brass said that this is a program and not a target, and that it has the flexibility to buy more shares. UBS will also propose a dividend of $0.37 a share for 2020.

-STRATEGY: The bank expects to give a strategic update in the second quarter. "There is one thing I know we can count on: Change is constant and we need to stay flexible and make UBS even more fit for the future," Chief Executive Ralph Hamers said. "Many of the things that attracted me to UBS [...] are the strengths we'll build on as we focus our efforts on defining our strategic priorities to unlock our full potential," he added.

-INVESTMENT BANK: The unit posted a fourth-quarter pretax profit of $529 million compared with a $22 million pretax loss a year earlier.

-PROVISIONS: Quarterly charges for credit losses of $66 million also beat expectations of $160 million.

Write to Pietro Lombardi at pietro.lombardi@wsj.com; @pietrolombard10

(END) Dow Jones Newswires

01-26-21 0609ET