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Africa Prudential Reports N403.147 Million Profit After Tax in Q1 2022

Africa Prudential grew profit after tax by 6% to N403.147 million in the first quarter of 2021



African Prudential - Investors King

Africa Prudential Plc on Friday reported a 6% increase in profit after tax to N403.147 million for the first quarter (Q1) ended March 31st, 2022.

The company’s unaudited financial statement obtained by Investors King revealed that gross earnings grew by 10% from N825.632 million in Q1 2021 to N907.777 million in Q1 2022. Profit after tax rose by 15% to N552.256 million from N478.202 in Q1 2022.

Revenue from contracts with customers stood at N448.328 million in Q1 2022, a 25% year-on-year increase from N357.342 billion filed in Q1 2021.

See other details of Africa Prudential income statement:

• Revenue from contracts with customers: N0.45 Billion, compared to N0.36 Billion in Q1 2021 (25% YoY Growth);
• Interest Income: N0.46 Billion, compared to N0.47 Billion in Q1 2021 (2% YoY Decline);
• Gross Earnings: N0.91 Billion, compared to N0.83 Billion in Q1 2021 (10% YoY Growth);
• Profit Before Tax: N0.55 Billion, compared to N0.48 Billion in Q1 2021 (15% YoY Growth);
• Profit After Tax: N0.40 Billion, compared to N0.38 Billion in Q1 2021 (6% YoY Growth);
• Earnings Per Share: 20kobo. (19kobo in Q1 2021).

Balance Sheet:

• Total Assets: N17.10 Billion, compared to N15.76 Billion as at Q1 2021 (11% YoY Growth);
• Total Liabilities: N8.94 Billion, compared to N6.99 Billion as at Q1 2021 (28% YoY Growth);
• Shareholders’ Fund stood at N8.16 Billion, a 7% YoY decline from N8.77 Billion as at Q1 2021.

Items of Note;

Comparing Q1 2022 to Q1 2021, we observed the following key items worthy of note:
• Revenue from contracts with customers: During the period under review, revenue from contracts with customers grew significantly by 25%, driven by a 212% year-on-year growth in digital technology services despite the 60% decline in Fees from Corporate Actions.
• Interest income: We recorded a slight 2% year-on-year decline in interest income owing to a 4% decline in the interest on loans and advances and an 86% decline in interest on short-term deposits during the period. On the other hand, Interest earned on bonds increased 44% year-on-year, cushioning the effect of the significant decline from other interest income sources.
• Total operating expenses: Despite the slight decrease in total operating expenses by 2% YoY our cost-to-income ratio reduced by 3 percentage points to 39% relative to 42% in the corresponding period.
• Profit After Tax: Profit before Tax was up15% YoY, while Profit before Tax showed a 6% growth due to a higher tax charge (27% in Q1 22 relative to 20% in Q1 21). Comparing Q1 2022 to Q1 2021, the following were observed in the

Balance Sheet:

• Total Assets: During the period, the book value of total assets grew 9% year-on-year driven by an 11% increase in cash and cash equivalents and a 28% increase in Trade and other receivables.
• Total Liabilities: The company’s total liabilities also increased by 28% year-on-year due to a 27% growth in customers’ deposits and a 110% growth in creditors and accruals.
• Shareholder’s Wealth: Due to faster growth in liabilities relative to assets, total equity declined by 7% YoY.

Commenting on the result, the Managing Director/CEO of Africa Prudential, Mr. Obong Idiong, had this to say: “We are pleased to start the year with the positive Q1 results. The recorded growth in our business is a testament to the impact of our deliberate effort at enhancing our traditional mono revenue lines to multiple income lines, innovating new ways to deliver value in an agile manner, and adopting cost efficiency in every facet of our operation.”

“The 212% growth in digital technology income reiterates the effectiveness of our switch to a new business model and we remain positive about the potential growth from this revenue stream in the coming quarters and long term. As the year progresses, we remain focused on increasing shareholder’s wealth and commit to delivering an exceptional customer experience to our expanding clientele base.”

Is the CEO/Founder of Investors King Limited. A proven foreign exchange research analyst and a published author on Yahoo Finance, Businessinsider, Nasdaq,, Investorplace, and many more. He has over two decades of experience in global financial markets.

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Nigerian Ports Authority Secures $700m Loan from Citibank for Lagos Ports Rehabilitation



Nigerian ports authority

The Nigerian Ports Authority (NPA) has successfully secured a $700 million loan from Citibank to facilitate the rehabilitation of the Lagos ports.

The finance was facilitated by the UK Export Finance to revitalize the Apapa and Tincan Island Ports, two pivotal gateways for maritime trade in Nigeria.

The announcement was made during a signing ceremony held in Lagos, marking a pivotal moment in Nigeria’s efforts to modernize its port infrastructure.

Mohammed Bello-Koko, the Managing Director of the NPA, expressed optimism regarding the prompt commencement of the reconstruction efforts following the finalization of the funding agreement.

The rehabilitation project is expected to address longstanding challenges faced by the Apapa and Tincan Island Ports, including congestion, inadequate infrastructure, and operational inefficiencies. By modernizing these key maritime hubs, Nigeria aims to bolster its trade capabilities, enhance port efficiency, and stimulate economic growth.

Speaking at the ceremony, Bello-Koko highlighted the strategic significance of the Citibank Facility, citing its favorable terms and affordable interest rates as key advantages for the NPA.

Bello-Koko outlined the NPA’s broader strategy to upgrade port facilities beyond Lagos, with discussions underway to secure additional funding for the enhancement of Eastern Ports such as Calabar, Warri, Onne, and Rivers Ports, as well as the reconstruction of Escravos Breakwater.

The collaboration between the NPA and Citibank underscores the importance of public-private partnerships in driving infrastructural development.

Ireti Samuel-Ogbu, Managing Director of Citibank Nigeria Limited, reaffirmed the bank’s commitment to supporting the NPA and the Federal Government in bridging the infrastructural gap.

Samuel-Ogbu commended the NPA’s strategic initiative and underscored Citibank’s dedication to facilitating the project’s success.


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Banking Sector

UBA Announces Final Dividend of N2.30 per Share for FY 2023, Totaling N95.8 Billion



UBA House Marina

UBA (United Bank for Africa) shareholders are set to receive dividends as the bank announces a final dividend of N2.30 per share for the fiscal year 2023.

This translated to a total payout of N95.8 billion, more than the N37.6 billion paid out in 2022.

Despite the robust increase in dividend payments, UBA’s dividend payout to profit after tax (PAT) ratio experienced a decline of 6.3 percentage points, dropping from 22.1% in 2022 to 15.8% in 2023.

Shareholders will receive the dividends based on their shareholdings as of the close of business on Friday, May 10, 2024. The payment is scheduled for May 24, 2024.

UBA urges shareholders who have not completed the e-dividend registration process to obtain the E-Dividend Mandate Form to ensure a smooth disbursement process.

The bank’s unclaimed dividends increased to N14.9 billion in 2023, an 18% increase from the previous year.

The bank reported a profit after tax of N607.7 billion, representing a 257% increase from the N170.3 billion recorded in 2022. This increase in profitability includes a net FX revaluation gain of N26.6 billion.

However, it’s worth noting that the Central Bank of Nigeria (CBN) directive prohibits banks from utilizing FX revaluation gains for dividends payment or operational expenses.

Shareholders are advised to complete the e-dividend registration process or contact the registrar, Africa Prudential Plc, for assistance regarding outstanding dividend warrants or share certificates.

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President Tinubu Launches National Single Window Project



Bola Tinubu

President Bola Tinubu inaugurated the National Single Window Project to streamline trade processes and combat bureaucratic bottlenecks.

The initiative promises to unlock significant economic benefits and bolster Nigeria’s position as a global trade leader.

Addressing stakeholders at the Council Chamber of the State House in Abuja, President Tinubu outlined the transformative potential of the Single Window Project.

He explained that Nigeria stands to gain approximately $2.7 billion annually by implementing the initiative, while also saving an estimated $4 billion lost to inefficiencies and corruption plaguing the trade sector.

The National Single Window Project, codenamed a digital trade compliance initiative, will serve as a cross-government website facilitating trade by providing a unified portal for Nigerian and international trade actors.

This centralized platform will offer access to a full range of resources and standardized services from various Nigerian agencies, promising to expedite cargo movement and optimize inter-African trade.

President Tinubu’s directive to dismantle obstacles hindering trade efficiency reflects a commitment to fostering a transparent, secure, and business-friendly environment.

He underscored the urgency of eliminating red tape, bureaucracy, delays, and corruption at Nigerian ports, asserting that the economy cannot afford to sustain such losses.

The President’s call to emulate success stories from countries like Singapore, Korea, Kenya, and Saudi Arabia highlights the transformative potential of the Single Window system.

By joining the ranks of nations that have significantly improved trade efficiency through similar initiatives, Nigeria aims to unlock new avenues for economic growth and prosperity.

Tinubu stated that the National Single Window Project transcends Nigeria’s borders, presenting opportunities for regional integration and inter-African trade optimization. By linking Nigeria’s system with those of other African nations, the initiative seeks to expedite cargo movement and enhance trade facilitation across the continent.

Managing Director of the Nigerian Ports Authority, Bello Koko, provided insights into the practical implications of the Single Window initiative.

He affirmed that imports would be cleared at all seaports within 24 hours, a significant improvement compared to neighboring countries where clearance often takes up to 72 hours.

Koko outlined how the initiative would streamline paperwork, enhance information sharing among government agencies, and foster greater efficiency in trade transactions.

With representatives from key government agencies and bodies forming the project secretariat, the National Single Window Project reflects a collaborative effort to drive comprehensive reform in Nigeria’s trade sector.

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