UBA Gross Earnings Rise By 110%, Profit Hits N156bn In Q1

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United Bank for Africa Plc (UBA), Africa’s Global Bank, announced gross earnings of N570.2 billion and a profit of N142.5 billion in the first quarter of 2024.

Gross earnings rose by 110 per cent from N271.1 billion in the corresponding period in 2023, while Interest Income grew by 130 per cent to N440.7 billion, and Operating Income increased by 115 per cent, from N175.7 billion in 2023 to N378.59 billion.

According to a statement from the bank, it further consolidates the record performance delivered in the Group’s 2023 Full Year Audited Financials. UBA again saw Profit Before Tax rise significantly by 155% from N61.7 billion in Q1 2023 to N156.34 billion in Q1 2024, while Profit After Tax jumped from N53.5 billion to N142.5 billion, representing an impressive rise of 165% year-on-year.

Commenting on the results, UBA’s Group Managing Director, Oliver Alawuba, said the Group delivered a strong first quarter performance, building on the solid momentum of 2023 and the ongoing execution of its long-held strategy of customer focus, geographic diversification, and effective risk management and governance.

He said, “Our record Q1 profit before tax was delivered with triple-digit gross earnings growth, supported by extreme interest and non-interest income. Fees and commissions rose 118% year-on-year because of improved efficiencies and continued digital adoption.  This has helped improve efficiency and customer satisfaction, with the Group’s cost-to-income ratio held at 57.8%.”

“The Group’s balance sheet grew steadily, with Total Assets increasing by 23% to N25.4 trillion. Customer deposits closed at N18.4 trillion, recording a 23% increase year-on-year, largely attributed to current and savings accounts growth.”

 “Our unwavering commitment to sound governance, robust risk management, and financial strength positions us for continued growth while we contribute meaningfully to inclusive economic development across our network.”

Also speaking on the performance, UBA’s Executive Director, Finance and Risk, Ugo Nwaghodoh, said the Group’s operating results for the quarter showed the actions taken to enhance the Group’s performance continued to deliver.

He said, “Our first quarter results highlight our relentless customer focus and the strength of UBA’s geographic and product diversification, with good performance across all regions.  We continue to differentiate ourselves across all key financial metrics, with a keen focus on high-quality risk-adjusted revenues and cost discipline, while maintaining very sound asset quality.“

“We remain committed to reducing interest and operating expenses and expect to make steady progress toward our stated profitability targets as we move through the year,” Nwaghodoh said.

United Bank for Africa Plc is a leading Pan-African financial institution, offering banking services to more than twenty-five million customers across over 1,000 business offices and customer touch points in 20 African countries and four continents.

With a presence in the United States of America, the United Kingdom, France and the United Arab Emirates, UBA connects people and businesses across Africa through retail, commercial and corporate banking, innovative cross-border payments and remittances, trade finance and ancillary banking services.