UBA Profit Rises 40% As Half Year Earnings Hits N167 Billion

Declares 20 Kobo Interim Dividend

Lagos, Nigeria September 03, 2015 Pan-African financial services
group, United Bank for Africa Plc, has announced its audited 2015 half
year financial results.
The results showed strong growth in earnings and profits, as the Bank
continued to benefit from its determination to provide value to its large
customer base in Nigeria, its increasingly important Pan African network,
now contributing to over 23% of profit after tax and its prudent
management of costs and risk. In a time of increased economic challenge,
the Bank has continued to extend loans to Nigeria and to support
domestic Nigerian businesses.
In line with best practice in corporate governance, UBA has elected to
have its half year results audited, before its release to the Nigerian Stock
Exchange yesterday.
UBAs earnings grew strongly by 21% to N166.9 billion during the period,
compared to N138.2 billion in the same period of June 2014. The Banks
profit before tax (PBT) also rose 35.1% to N39.0 billion, while profit after
tax (PAT) was up a significant 40% to N32 billion within the same
period. As a reward to shareholders, the Bank has announced the
payment of an interim dividend of 20 kobo per share.
Speaking on the results, Phillips Oduoza, Group Managing Director/CEO
said, In spite of a challenging operating environment, our business
strategy has proved to be resilient, balancing prudence, with an ability to
significantly grow bottom line and continue to focus on operating
effectiveness. We look forward to continuing to support our customers and

working with them to achieve financial success for them and the wider
Nigerian and African economies.
Further analysis of the UBA 2015 half year results showed significant
improvement in operational efficiencies. The Banks net operating income
rose 21% to N108.7 billion in June 2015, compared to N90 billion in the
comparable period of 2014. The Bank has continued to focus on
operational efficiency, with a cost to income ratio of 64%; as against 68%
in the same period in 2014.
Oduoza explained, We delivered strong growth of 21% in gross
earnings and 40% in profit after tax, reflecting better extraction of value
across all business segments and our ongoing process optimization. It was
also satisfying to see our cost-to-income ratio decline further.
understand

that

many

in

Nigeria

are

facing

difficult

We

economic

circumstances and we are very much shouldering our responsibility to

support and grow wealth creation.
UBA maintained a healthy loan book, a tribute to both its risk
management and to the robustness of its clients businesses, with nonperforming ratio at just 1.8% of total loans granted, one of the lowest in
the banking industry.
Speaking on the performance of the banks African subsidiaries Group
Chief Financial Officer (CFO), Ugo Nwaghodoh said; Our business in Africa
(ex-Nigeria) is beginning to significantly impact our returns, contributing
23% of profit after tax, with an even stronger outlook.
He also disclosed that recent initiatives taken by the Bank to improve
operational efficiencies are yielding positive results, thus reinforcing our
optimism on the future of UBAs African business.
The UBA Group is one of Africas leading financial institutions, operating
in 19 African countries, as well as New York, London and Paris. The Group
provides a sophisticated suite of banking services to over 8 million
personnel and corporate clients across Africa, priding itself on bringing
financial

inclusion

to

the

Continent

generation of entrepreneurs//END

and

supporting

Africas

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