UBA Grows Profit by 26.8 Percent to N38.2 Billion in Q1 2021

The United Bank for Africa (UBA), one of Africa’s leading financial institutions, reported a 26.8 percent increase in profit after tax from N30.1 billion in the first quarter (Q1) of 2020 to N38.2 billion in the first quarter of 2021.

In the unaudited financial statements released on Monday, UBA grew gross earnings by 5.5 percent to N155.4 billion in Q1 2021, up from N147.2 billion filed in Q1 2020.

The lender leverage on growth in interest income and non-interest income as net interest income grew from 65.417 billion in the corresponding period of 2020 to N74.381 billion in Q1 2021.

Total non-interest income stood at N32.247 billion in the quarter, up from N28.527 billion achieved in Q1 2020.

Similarly, operating income expanded from N93.944 billion in the first quarter of 2020 to N106.648 billion in the first quarter of 2021.

However, operating expenses grew to N64.454 billion in Q1 2020, up from N58.657 billion in Q1 2021.

Profit before income tax rose to N40.581 billion in Q1 2021 from N32.726 billion in Q1 2020.

Speaking on the bank’s performance the Group Managing Director/CEO, UBA Plc, Mr. Kennedy Uzoka, said: “This impressive 2021 Q1 results reflect the capacity of our business to sustainably grow earnings even in a highly uncertain macroeconomic environment. We remain upbeat on the macroeconomic outlook of the countries in which we operate, especially as the COVID-19 vaccine distribution gains traction globally, whilst commodity prices and currencies continue to stabilise. Our robust capital and liquidity positions have positioned us to continue to support our customers across diverse sectors and markets, guided by prudent risk management practices.”

Uzoka also explained the lender’s efforts at executing its priorities for the year 2021, as it continues to leverage people, processes, and technology to deliver the best customer experience across all its channels and touchpoints.

“The bank is making strong progress in Nigeria where our continuous market share and efficiency gains are translating into higher profits. We are committed to sustaining this strong start throughout the year, leveraging our customer-First (C-1st) philosophy and unparalleled execution to deliver even stronger returns to our esteemed shareholders in 2021 and beyond;” Uzoka said.