UBA announces over N2trn revenue, N607.69bn profit

The United Bank for Africa (UBA) has announced a 143 per cent increase in its gross revenue to N2.08 trillion for the 2023 financial year, making it the highest ever for the bank.

The bank also announced a Profit After Tax of N607.69bn and also proposed a N2.80 kobo per share dividend to shareholders.

These figures were revealed last Friday by Tony Elumelu, UBA’s Chairman of the Board of Directors, during the bank’s 62nd Annual General Meeting (AGM).

Elumelu noted that the bank sustained deposit mobilisation efforts, growing total deposits by 93 per cent to N17.36trn from N8.99trn which was reported in 2022.

He said, “The bank also maintained a well-structured and diversified balance sheet, with total assets and shareholders’ funds reaching N20.65trn and N2.03trn respectively.

“The impressive financial outcomes were propelled by a significant increase in net interest income due to a combination of a strong expansion in the loan portfolio, higher net interest margins and a substantial contribution from foreign exchange operations.

“Also, FX operations benefited from increased business activity and improved profit margins.

“Additionally, the bank’s loan book expanded by 61 per cent to N5.55trn from N3.44trn. Consequently, Non-Performing Loans (NPL) ratio reached 5.85 per cent.”

Oliver Alawuba, Group Managing Director/CEO of the bank, stressed that cost discipline was sustained.

He said, “This outcome is indicative of steady business-as-usual expenses, the impact of inflationary trends and deliberate increments related to planned strategic investments and the establishment of new business ventures.

“Notwithstanding the adverse macroeconomic conditions, the fundamental strength of underlying asset quality persists, as reflected in a Non-Performing Loans (NPL) ratio of 5.85 per cent.”