United Bank for Africa (UBA) Group Plc has reported a stellar financial performance in its unaudited financial results for the third quarter ending September 30, 2023.
The African financial giant recorded impressive growth across all key performance metrics, continuing the impressive trend set in the first two quarters of the fiscal year.
Gross earnings for the bank surged by an impressive 115.2%, reaching $1.98 billion, up from the $1.4 billion recorded in the same period the previous year. Operating income followed suit, rising by 146% from $951.87 million in September 2022 to $1.54 billion this year.
One of the most remarkable achievements in UBA’s financial report was the massive 263% increase in Profit Before Tax (PBT), which reached $757.84 million compared to $318.36 million reported in the third quarter of 2022. Profit after tax also saw a substantial rise of 287.2%, increasing from $266.64 million to $678.13 million, surpassing the annualized return on average equity for Q3 2023 at 131%.
UBA’s balance sheet remained robust, with Total Assets surging to $20.9 billion, reflecting a 49.5% increase from $14 billion at the end of December 2022.
This growth was attributed to the bank’s technology-driven initiatives, which have enhanced the customer experience. Customer deposits also witnessed a significant uptick, rising to $14.97 billion, up by 48.6% from $10.04 billion at the end of the previous financial year.
Shareholders’ funds showed remarkable strength at $2.29 billion, up from $1.19 billion at the close of December 2022, indicating the bank’s capacity for internal capital generation and growth.
Commenting on these outstanding results, UBA’s Group Managing Director/CEO, Mr. Oliver Alawuba, attributed the impressive performance to factors such as FX harmonization, efficient balance sheet management, and service-focused strategies.
He also highlighted the bank’s successful operations outside Nigeria and its ability to seize business opportunities across Sub-Saharan Africa.
Alawuba expressed the bank’s commitment to delivering value to shareholders and stakeholders and affirmed their plans for the future.
He stated, “Looking ahead, we are optimistic that the growth trajectory will be sustained in the final quarter of the year as we remain focused on consolidating the gains achieved so far in delivering enhanced returns to our shareholders.”
UBA’s Executive Director, Finance & Risk, Ugo Nwaghodoh, emphasized the strong momentum of the bank, reflecting a combination of higher asset yields, modest funding costs, and balance sheet optimization.
Nwaghodoh highlighted UBA’s determination to drive sustainable and improved performance across its various business segments.
United Bank for Africa Plc is a leading Pan-African financial institution, serving over twenty-five million customers across 20 African countries with more than 1,000 business offices and customer touchpoints.
It has a global presence, connecting people and businesses across Africa through a wide range of banking services, cross-border payments, trade finance, and more.
UBA’s exceptional financial performance in Q3 2023 underscores its strong commitment to delivering value and sustainable growth.