The United Bank for Africa (UBA) Plc has reported a profit before tax of N803.73bn for the 2024 financial year, driven by solid core earnings and improved operational efficiency.
According to the Bank’s audited financial results filed with the Nigerian Exchange Limited on Monday, the Bank posted a profit after tax of N766.57bn, up from N607.69bn in the previous year.
It added that the Bank Group’s total assets also saw a significant surge of 46.8 per cent, reaching N30.4tn from N20.65tn in the previous year.
Despite the macroeconomic headwinds of 2024, UBA’s gross earnings rose by 53.6 per cent to N3.19tn, compared to N2.08tn recorded in 2023.
According to the report, UBA Group shareholders’ Funds rose from N2.03tn as of December 2023 to close the 2024 financial year at N3.42tn, achieving an impressive growth of 68.39 per cent.
The banking group also proposed a final dividend of N3.00 for every ordinary share of 50 kobo for the financial year ended December 31, 2024. This brings the total dividend in the year to N5.00.
This high dividend is on the back of the impressive performance and in fulfilment of the promise made by the UBA Group Chairman, Tony Elumelu, to shareholders at the last Annual General Meeting.
Speaking on the result of the group in the 2024 financial year, UBA’s Group Managing Director/Chief Executive Officer, Oliver Alawuba, described the performance as being driven by high-quality income streams from funding intermediation, fees and commissions.
“Our continued investment in our global network has allowed us to deliver high-quality earnings while expanding our customer base. With total deposits increasing by 42.03 per cent from N17.4tn in 2023 to N24.7tn in 2024, our growth remains broad-based across all core businesses despite macroeconomic challenges,” Alawuba stated.
He noted that UBA’s operations outside Nigeria had expanded significantly over the last five years, now contributing 51.7 per cent of group revenue, compared to 31 per cent in 2019. He also revealed plans to deepen the bank’s international presence, particularly in France and other strategic markets.
“Our ex-Nigeria (Rest of Africa & International) operations have expanded significantly over the past five years, now contributing 51.7 per cent of Group revenue, up from 31 per cent in 2019, delivering diversification benefits and further boosting long-term shareholder value. This will continue to grow, as we further explore strategic markets that align with our overall vision. We are currently upgrading our business scope and authorisation in France and considering other viable markets in the short to medium term,” Alawuba affirmed.
According to local media reports, UBA operates in 20 African countries as well as in the UK, the US, France, and the UAE and it continues to strengthen its financial position and expand its reach, serving over 45 million customers globally.
GIK/APA