United Capital Records 44% Jump in Profit to N11.26 Billion in 2021

United Capital Plc, a leading African financial and investment banking Group providing bespoke value-added service to its clients, grew profit after tax by 44 percent to N11.26 billion in the financial year ended December 31, 2021.

The company disclosed this in its audited financial statement released on Friday and obtained by Investors King.

Gross earnings rose by 40 percent to N18.07 billion in 2021, up from N12.87 billion filed in 2020. Operating income also expanded by 30 percent to N16.24 billion in the year under review. As expected, operating expenses inched higher to N5.94 billion.

Profit before tax jumped 53 percent from N7.95 billion in 2020 to N12.12 billion in 2021. Profit for the period rose from N7.81 billion in 2020 to N11.26 billion.

United Capital’s total assets surprisingly rose 104 percent year-on-year to N453.60 billion from N222.75 billion. However, total liabilities also more than double during the year under review. Rising to N423.05 billion from N198.32 billion, representing an increase of 113 percent.

Shareholders’ stood at N30.55 billion in 2021, a 25 percent increase when compared to N24.43 billion filed in 2021.

The company’s earnings per share rose 44 percent on a yearly basis to 188 kobo from 130 kobo.

Speaking on the audited financial results, Professor Chika Mordi, the Board Chairman stated: “We are proposing N1.50 dividend for every 50 kobo ordinary share, up 114% over 70 kobo dividend paid last year. This affirms our commitment to wealth creation for our shareholders”.

Commenting on the Group’s performance, the Group Chief Executive Officer, Mr. Peter Ashade, had this to say: “Our strong performance was driven by exponential growth in business activities across all the market segments that we serve as we successfully navigated a volatile operating environment to create best-in-class solutions for our clients.

“United Capital is on a progressive path as witnessed in our strong earnings growth and superior value delivery to shareholders over the years, amongst other metrics that are reflective of high performing organisations.

“All stakeholders can be assured of our commitment to sustain our organisational growth trajectory well into the foreseeable future as we navigate the tough operating terrain. We will continue to pursue developmental activities and actively engage regulatory authorities, investors and relevant stakeholder groups towards deepening the capital market, strengthening the broader financial system and driving financial inclusion as a means of accelerating the economic development of our dear country and empowering its citizens”.