Q3 2023: UBA’s Earnings Soar – 115% Growth, PBT Hits N502.1bn, Up 263%

In continuation of its impressive financial performance throughout the fiscal year, United Bank for Africa (UBA) Plc, often referred to as Africa’s Global Bank, has announced remarkable unaudited financial results for the third quarter ending on September 30, 2023. This performance has exhibited substantial growth across all vital performance metrics, reinforcing the success achieved in the previous two quarters.

**Gross Earnings Soar**

UBA’s gross earnings for the third quarter of 2023 surged by a substantial 115.2 percent, reaching a staggering N1.309 trillion. This is a significant jump from the N608 billion recorded in the same period the previous year. The bank’s unwavering commitment to excellence and sustainable growth is further exemplified by this robust financial performance.

**Impressive Operating Income**

The bank’s operating income also experienced an impressive surge. It increased by a remarkable 146 percent, climbing from N414 billion in September 2022 to N1.018 trillion in the corresponding period of 2023. These statistics clearly indicate that UBA’s strategic approach is delivering tangible results.

**Phenomenal Profit Growth**

The financial report submitted by UBA to the Nigerian Exchange Limited showcases a phenomenal 262 percent increase in Profit Before Tax (PBT), which closed at N502.01 billion for the third quarter of 2023. This achievement is a substantial leap from the N138.49 billion recorded in the same period in 2022. Moreover, the Profit After Tax also exhibited an astounding growth rate of 287.2 percent, ascending from N116 billion in the previous year to N449.29 billion in 2023. This exceptional performance has propelled the bank’s annualized return on average equity for Q3 2023 to an impressive 131 percent.

**Robust Balance Sheet**

UBA maintains a solid and robust balance sheet, with Total Assets swelling to N16.24 trillion. This represents a 49.5 percent increase compared to the N10.86 trillion recorded at the end of December 2022. The bank’s focus on technology-driven initiatives to enhance customer experiences has proven successful, as evidenced by the substantial rise in Customer Deposits to N11.63 trillion. This accounts for a 48.6 percent increase from N7.8 trillion at the end of the previous financial year.

Shareholders’ funds at UBA also remain substantial, registering at N1.778 trillion, which is a notable increase from the N922.1 billion recorded in December 2022. This reflects UBA’s capacity for internal capital generation and sustainable growth.

**UBA’s Commitment to Excellence**

UBA’s Group Managing Director/CEO, Mr. Oliver Alawuba, expressed his delight at the financial results, emphasizing the bank’s unwavering commitment to delivering value to shareholders and all stakeholders. He attributed the substantial improvement to factors like FX harmonization, efficient balance sheet management, and customer-centric strategies. He also highlighted the bank’s success in capturing business opportunities beyond Nigeria, across Sub-Saharan Africa and other international markets.

**Strategies for Sustained Growth**

Mr. Alawuba outlined UBA’s strategies to sustain and surpass its impressive performance throughout the year. The bank will continue to leverage customer-centric approaches, speed to market, and innovation to solidify its market presence across various jurisdictions. Additionally, UBA will expand and enhance digital and transactional banking offerings while forming strategic alliances to seize emerging opportunities.

“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,” Alawuba pointed out, reaffirming the bank’s commitment to long-term growth.

**Key Insights from UBA’s Executive Director**

Ugo Nwaghodoh, UBA’s Executive Director for Finance & Risk, also shared insights into the bank’s exceptional performance. He noted that the third quarter results demonstrate UBA’s strong momentum as it consistently improves across various business segments and key performance metrics. This remarkable performance can be attributed to higher asset yields, modest funding costs, and balance sheet optimization.

Nwaghodoh further discussed UBA’s strategy for delivering excellent results by the end of the 2023 financial year. Despite changing monetary and fiscal regimes in some markets, the bank remains committed to driving sustainable and improved performance across its various business segments.

**About United Bank for Africa**

United Bank for Africa Plc is a prominent Pan-African financial institution. It serves more than twenty-five million customers through a network of over 1,000 business offices and customer touch points across 20 African countries. With a global presence in New York, London, Paris, and Dubai, UBA connects people and businesses throughout Africa through its diverse banking services, including retail, commercial, and corporate banking, innovative cross-border payments, remittances, trade finance, and ancillary banking services.

In conclusion, UBA’s exceptional performance in the third quarter of 2023 demonstrates the bank’s unwavering commitment to sustainable growth and excellence. The bank’s impressive financial results, driven by strategic initiatives and customer-centric approaches, position it as a key player in the African financial landscape. With a strong balance sheet, substantial customer deposits, and a focus on emerging opportunities, UBA is well-prepared to continue delivering value to its shareholders and fostering economic growth across the continent and beyond.