UBA reports N6.77trn total assets in H1 2020

United Bank for Africa Plc (UBA) Plc has released half-year ended June 30, 2020, audited results with the Bank’s total assets growing by 20.9 percent to an unprecedented N6.77 trillion for the half-year under review from N5.6billion reported in the full-year ended December 31, 2019.

UBA recorded a remarkable 6.1 percent growth to N2.18 trillion in loans to customers in H1 2020 from N2.06trillion reported in the full-year ended December 21, 2019, whilst customer deposits increased by 25.2 percent to N4.8 trillion, compared to N3.8 trillion recorded in the corresponding period of 2019.

This reflects increased customer confidence, enhanced customer experience, early wins from the ongoing business transformation programme, and the deepening of its retail banking franchise.

From the profit & loss figures, the group results showed a profit after tax of N44.43billion, 21.7 percent below N56.74billion reported in H1 2019.

The results to the Nigerian Stock Exchange (NSE) on Tuesday disclosed an 18.7 percent decline in profit before tax to N57.13billion in H1 2020 as against N70.27billion reported in H1 2019.

According to the bank, the directors in pursuant to the powers vested in it by the provisions of Section 379 of the Companies and Allied Matters Act (CAMA) of Nigeria, also proposed an interim dividend of N0.17 per share (30 June 2019: N0.20 per share) from the retained earnings account as at 30 June 2020.

On the cost side, Operating Expenses grew by 20.56 percent to N132 billion, as against N109.6 billion in H1 2019, driven by 22.6 percent gain in “Other operating expenses” that closed the period under review at N77.97billion from N63.6billion reported in H1 2019.

Speaking about the bank’s first quarter results, the Group Managing Director/CEO of the UBA Plc, Mr. Kennedy Uzoka had expressed satisfaction with the Bank’s performance, which according to him remains encouraging despite the challenging business environment.

He said, “In response to the spread of COVID-19 several national governments have announced a partial or total lockdown in a number of our markets, post-Q1 2020. Fortunately, we have built robust electronic channel platforms to enable us effectively serve our customers from the convenience of their homes. Despite the lock down, our banking channels have remained open to our customers 24/7, even as we continue to align and adapt our operating model to ensure we service our customers excellently and safely.”