United Bank for Africa (UBA) Plc has recorded a historic N2.4 trillion in gross earnings for the first nine months of 2024, reflecting an 83.2% growth from the same period in 2023. The bank’s profit before tax rose by 20.2% to N603.48 billion, while net profit increased to N525.31 billion. UBA’s robust performance was driven by significant growth in core earnings, including net interest income, which surged 149% to N1.103 trillion, and fee and commission income, which doubled. Analysts lauded the results, citing the bank’s adept navigation of inflationary pressures and macroeconomic headwinds, supported by technology-driven customer engagement strategies and expanded deposit bases.
The bank’s balance sheet expanded by 54% to N31.80 trillion, with customer deposits rising 52.7% to N26.50 trillion. UBA demonstrated strong growth across all deposit categories, reflecting its growing appeal to both retail and corporate clients. Loans and advances also increased by 46.8% to N7.68 trillion. Despite macroeconomic challenges, including Nigeria’s 32.7% inflation rate, UBA maintained cost-to-income efficiency, though operating expenses nearly doubled due to inflationary pressures and regulatory costs. Shareholder returns remained robust, with interim dividends for 2024 highlighting the bank’s strong profitability and commitment to delivering value.
Looking ahead, UBA’s leadership expressed confidence in sustaining growth through strategic investments in technology, operational efficiency, and risk management. The bank recently launched an N239.4 billion rights issue to strengthen its capital base in line with regulatory requirements, signaling readiness for continued expansion across African and global markets. Analysts predict further earnings growth driven by UBA’s resilient asset base and adaptability to fluctuating economic conditions, affirming its status as a leading player in the banking sector.
