UBA’s gross earnings rise143%, profit hits N757.7bn

United Bank for Africa (UBA) Plc has recorded a 143 per cent rise in gross earnings to N2.08 trillion in 2023 financial year from N853.2 billion in 2022

Following the same trend, profit before tax, shot up by 277 percent, to  N758 billion in 2023 from  N201 billion in 2022

Similarly  profit after tax (PAT) grew by 257 percent to N608 billion from N170 billion in 2022.

The bank disclosed this in its audited financial results for the full year ended December 31, 2023 filed  at Nigerian Exchange Limited (NGx).

The banks’ total assets also rose  by 90.22 percent, doubling the N10 trillion mark, to close at N20.65 trillion in December 2023; up from N10.86 trillion in 2022.

Following the triple digit growth in profitability, consequently, UBA Group Shareholders’ Funds rose from N922 billion as at December 2022 to close the 2023 financial year at N2 trillion, achieving an impressive growth of 120.2%, compared to prior year.

During the 2023 financial year, UBA Group cost-to-income ratio dropped from 59.2%, in 2022, to 37.2 per cent pointing at the Group’s improving efficiency.

In fulfilment of the promise made by the UBA Group Chairman, Tony Elumelu, to shareholders at the last Annual General Meeting, the Bank proposed a final dividend of N2.30 kobo for every ordinary share of 50 kobo, for the financial year ended December 31, 2023. The final dividend is subject to the ratification of the shareholders during its upcoming annual general meeting (AGM).

UBA recorded a 61.3 percent growth in loans to customers, moving up to N5.5 trillion in 2023, whilst customer deposits improved by 90.31 percent to N14.9 trillion, compared to N7.8 trillion recorded in the corresponding period of 2022, reflecting increased customer confidence, enhanced customer experience, successes from the ongoing business transformation programme and the deepening of its retail banking franchise.

 Commenting on the results, UBA’s Group Managing Director/Chief Executive Officer, Oliver Alawuba, said: “I am very pleased with the unprecedented results achieved by our Group in FY2023.  The Group is well positioned for further business expansion in FY2024 having closed FY2023 with Capital Adequacy Ratio of 32.6%.”

He added that the bank’s diversified business model (Pan-African and International strategy) is justified by the contribution of its Ex-Nigeria business to the Group’s results and reinforces its resolve to expand our market share of customers, funding, digital and transaction banking businesses across Africa.

“Driven by our customer service and execution-led delivery model, we will continue to expand our market share and create value for our shareholders and meet the expectations of our various stakeholders,” the GMD stated.

source: The Vanguard


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