United Bank for Africa Plc’s profit before tax increased by 33.4 per cent to N76.2 billion in the first half of 2021, compared to N57.1 billion in the same period of 2020, resulting in an annualised return on average equity of 17.5 per cent, up from 14.4% the year before.
The bank announced this in a statement on its audited financial statements for the period ending June 30, 2021, titled “UBA posts 33% YoY profit growth, declares $20,000 interim dividend”.
Despite the adverse commercial and economic environment created by the global lockdown caused by the COVID-19 epidemic, the company reported it achieved excellent growth across all main income lines and performance KPIs.
The bank said the data, which were submitted with the Nigerian Exchange, indicated that the group’s profit after tax was N60.6 billion, up 36.3 per cent from N44.4 billion in the first half of 2020, and total earnings were N316 billion, up from N300.6 billion.
It said the group’s total assets had surpassed N8 trillion as of June 30, 2021, up from N7.7 trillion at the end of the previous financial year.
Customer deposits also surpassed N6 trillion, up 7.4% to N6.1 trillion in the period under consideration from N5.7 trillion in December 2020.
According to the statement, the group’s shareholders’ funds remained strong at N752.5 billion, up from N724.1 billion in December 2020, demonstrating the company’s excellent ability to generate internal capital.
The board of directors of UBA issued an interim dividend of 20 Kobo per share for every ordinary share of 50 Kobo held by its shareholders, in line with the bank’s tradition of paying both interim and final cash dividends.
Mr Kennedy Uzoka, UBA’s Group Managing Director/Chief Executive Officer, expressed satisfaction with the bank’s performance in the first half of the year.
He said, “This has been a strong first half for us, as global economic recovery exceeded expectations, creating a positive rub-off on consumer and corporate confidence, savings and investment activities”.
“We saw this positively impact our business, as we continued to leverage our key strategic levers – people, process and technology, and our customer 1st philosophy, to revolutionise customer experience at UBA”.