United Bank for Africa (UBA) achieved a 40 percent increase in gross earnings for the first half of 2024, reaching N1.37 trillion, up from N981.77 billion in the same period last year. The bank also declared an interim dividend of N2 per share, marking a significant 300 percent rise from the N0.50 declared in 2023. UBA’s audited financial results for the first half, ending June 30, 2024, were submitted to the Nigerian Exchange Limited on Monday, revealing impressive financial growth.
During the period under review, UBA’s interest income rose by 134.3 percent, reaching N1.003 trillion, a substantial increase from N428.2 billion recorded in June 2023. The bank’s total assets also surged by 37.2 percent, climbing to N28.3 trillion from N20.6 trillion in December 2023. Meanwhile, customer deposits saw a 33.7 percent increase, growing to N23.2 trillion. Despite these gains, UBA’s profit before tax slightly decreased to N402 billion, compared to N403 billion in June 2023, and pre-tax profit dipped to N316 billion from N378 billion in the first half of 2023.
Commenting on the results, UBA’s Group Managing Director and CEO, Oliver Alawuba, highlighted the bank’s focus on delivering value to shareholders through strong double-digit growth in its revenue streams. He emphasized UBA’s investments in technology, data analytics, product research, and innovation, all aimed at enhancing customer experiences and driving customer acquisition. Alawuba also noted the bank’s commitment to expanding its balance sheet, transaction, and digital banking services across various regions.
The bank’s Executive Director of Finance & Risk, Ugo Nwaghodoh, expressed confidence in UBA’s operational efficiency, with its cost-to-income ratio stabilizing around 50 percent. He noted the group’s efforts to optimize costs, particularly in managing foreign currency-denominated expenses, while embracing artificial intelligence and automation to streamline processes. Nwaghodoh also stressed UBA’s dedication to managing risks effectively and aligning with sustainability goals as the bank aims to bolster its share capital in line with regulatory standards in Nigeria and other regions.
