United Bank for Africa Reports 40% Growth in Gross Earnings for H1 2024
United Bank for Africa (UBA) has announced a significant growth in its gross earnings for the first half of 2024, with a 40% increase to N1.37 trillion compared to N981.77 billion in the same period last year. The pan-African banking group declared an interim dividend of N2 per share, representing a 300% increase from the N0.50 declared in the same period of 2023.
According to the bank’s audited financial results for H1 ended June 30, 2024, filed with the Nigerian Exchange Limited on Monday, UBA’s interest income surged by 134.3% to N1.003 trillion, up from N428.2 billion in June last year. Total assets increased by 37.2% to N28.3 trillion, while customer deposits grew by 33.7% to N23.2 trillion.
Despite a slight dip in profit before tax to N402 billion, compared to N403 billion reported in June 2023, shareholders’ funds rose by 47% to N2.99 trillion, up from N2.03 trillion in December 2023.
Speaking on the results, UBA’s Group Managing Director/Chief Executive Officer, Oliver Alawuba, emphasized the bank’s commitment to delivering value to its shareholders. "UBA Group has continued to deliver strong double-digit growth in high-quality and sustainable banking revenue streams, driven by a focused growth in balance sheet, transaction, and digital banking businesses across geographies," he stated.
Alawuba also highlighted the bank’s significant investments in technology, data analytics, product research, and innovation to enhance customer experience and intensify its customer acquisition drive.
The bank’s Executive Director of Finance & Risk, Ugo Nwaghodoh, expressed satisfaction with the bank’s operational efficiency, with a cost-to-income ratio stabilizing around the 50% range. He noted that the bank is exploring options to drastically reduce its foreign currency-denominated cost components, robotize processes, and apply artificial intelligence.
UBA has made significant progress in managing heightened credit, operational, cyber, and information security risks while aligning with sustainability goals. The group is on course to shore up its share capital to support its medium-to-long-term aspirations, aligning with regulatory requirements in Nigeria and other jurisdictions.
With a presence in major cities like New York, London, Paris, and Dubai, UBA serves 35 million customers across 1,000 business offices and customer touchpoints in 20 African countries. In celebration of its 75th anniversary, UBA has rewarded 30 customers with over N17 million in its August draw.
