LAGOS, Nigeria – United Bank for Africa Plc (UBA) don release im audited financial statements for year wey end for December 31, 2024, wey show say dem make pre-tax profit of N803.7 billion, wey be 6% increase from N757.6 billion wey dem get last year. Dis one no be small achievement for UBA as im profit after tax jump by 26.14% to N766.5 billion from N607.6 billion for 2023. Dis na the highest profit wey any bank don record for Nigeria, wey dey confirm UBA status as one of di most stable banks for di country.
Over di past two years, UBA don accumulate profit of N1.37 trillion, compared to di N570.4 billion dem get for five years before 2023, according to Nairametrics estimates. As part of dis earnings announcement, di bank propose final dividend of N3.00 per share, making total dividend payout from 2024 profits to over N170 billion.
UBA, wey dey among di top financial institutions for Nigeria, also show say dem total assets don grow to N30.3 trillion, wey represent increase of N9.7 trillion from N20.65 trillion wey dem report for 2023. Dis one make dem first bank for Tier-1 lenders to release full-year results for 2024, especially as investors don dey look am closely amidst wetin dey happen for di stock market. Breakdown of di figures show say di bank earnings sabi more of interest income, as dem benefit from di high interest rate environment wey don dey happen for 2024.
Because di interest rate don dey high, di demand for treasury instruments don increase sharply. While banks dey enjoy di yield opportunity, borrowers dey show caution, causing reduction in di demand for credit. Although UBA score big profits from foreign exchange gains for 2023, dis year’s performance for dat area na different story, as net trading and forex gains don fall to N181.7 billion from N659.2 billion for di previous year.
UBA also propose N3 for dividend per share, combined with interim dividend of N2 makes total dividend N5 per share. Dis one too na record dividend for di bank. According to di bank disclosures, about 51.7% of group revenue now dey come from di Rest of Africa segment, businesses wey dey exist outside Nigeria but for di African continent.
Di bank’s total assets of N30.3 trillion place am among di top three biggest financial institutions for Nigeria, behind only Access Holdings and Zenith Bank. First Bank Holding Company never still release dem full-year 2024 results as at dis time. Under current regulations, banks no fit count retained earnings or profits as part of share capital for recapitalization purposes.
After di earnings release, UBA share price don rise by 4.48%, close at N38.45 per share. Dis response from investors dey show say dem like di strong financial performance and di dividend declaration wey di bank don make. UBA continue to dey invest for di diversified global network to achieve consistent earnings growth, and dem dey brave to explore new strategic markets to boost shareholder value.
