UBA profit rose to N757bn in 2023 — up from N201bn in 2022

The United Bank for Africa (UBA) says it recorded N757.7 billion in profit before tax (PBT) in 2023 — rising from N201 billion in 2022.

In a statement on Tuesday addressing its 2023 financial reports, UBA said its PBT grew by 277 percent year-on-year despite the highly challenging global economic and business environment.

UBA said the growth was a significant achievement in the history of the company.

The company said its profit after tax (PAT) grew by 257 percent from N170 billion in 2022, to N608 billion in the year under consideration.

According to the lender, gross earnings grew from N853.2 billion recorded at the end of 2022 to close at N2.08 trillion the previous year.

Furthermore, the bank’s total assets also rose remarkably by 90.22 percent, to N20.65 trillion in December 2023 – up from N10.86 trillion in 2022.

Commenting on the results, Oliver Alawuba, UBA’s group managing director and chief executive officer, said the bank’s results reinforce its resolve to expand its market share of customers, funding, as well as digital and transaction banking businesses across Africa.

“I am very pleased with the unprecedented results achieved by our Group in FY2023,” Alawuba said.

“The Group’s shareholder’s funds crossed N2 trillion from N922 billion in 2022, whilst total assets crossed the N20 trillion mark (90.2% YoY growth). 

“The Group is well positioned for further business expansion in FY2024 having closed FY2023 with capital adequacy ratio of 32.6%.

“Driven by our customer service and execution-led delivery model, we will continue to expand our market share and create value for our shareholders and meet the expectations of our various stakeholders.” 

On his part, Ugo Nwaghodoh, UBA’s executive director, finance and risk management, said 2023 was a particularly eventful year, with galloping inflation and currency depreciation ravaging key markets, amidst pockets of regional conflicts and security challenges.

“I am delighted however at the strong growth in earnings and profitability recorded in the year,” Nwaghodoh said.

“The Group conservatively set up significant impairment reserves against its overall risk assets portfolio considering the latent impact of the macroeconomic headwinds on our credit portfolio.”

On the expectation for the 2024 financial year, Nwaghodoh said the bank is committed to sustainable growth and maintaining its strong compliance and risk management practices culture as the company drives business through the next phase of growth.