United Capital Plc, a leading investment bank and pan-African financial services group, has successfully navigated through challenging market conditions in Q1-2023 to deliver impressive earnings growth across key income lines.
The group’s recently released Unaudited Financial Statements for the period ended March 31, 2023, reveals that United Capital delivered stable growth with Gross Earnings rising 27% year-on-year to N5.34 billion while Profit Before Tax (PBT) growing 5% year-on-year to N2.82 billion and PAT up 6% year-on-year to N2.44 billion.
Investment Income grew by 66% year-on-year and Net trading income expanded by 148% year-on-year.
Meanwhile, the group’s PBT and PAT grew 5% and 6% respectively to N2.68 billion and N2.57 billion, driven by strong revenue growth which helped offset the impact of a 62% rise in operating expenses amid high inflation and impairments.
The group’s total assets appreciated by 21% year-to-date, largely driven by a 22% growth in cash and cash equivalents and 24% growth in investment securities during the period under review.
However, United Capital’s Shareholders Fund decreased by 19% year-to-date relative to FY 2022’s value at N32.99 billion.
Commenting on the group’s performance, the Group Chief Executive Officer, Mr. Peter Ashade, stated that “our business diversification strategy, which we have pursued concertedly since 2019, and prudent risk management practice, is yielding desired results in line with our long-term vision, sustaining our earnings growth, protecting investors’ assets, and strengthening our business model to withstand macroeconomic shocks in the harsh operating environment.”
The group’s positive performance in Q1-2023 is a testament to its commitment to delivering value to shareholders and clients amidst challenging market conditions. With a positive outlook and laser-focused strategy to create new business opportunities, United Capital is poised to continue delivering decent returns to shareholders while meeting clients’ needs and capturing optimal economic value.
