UBA unveils strategies to consolidate growth in 2024

United Bank for Africa (UBA) Plc, has outlined its strategies aimed at navigating the dynamic banking landscape while also consolidating growth prospects for the 2024 financial year.

UBA’s Group Managing Director/Chief Executive Officer, Oliver Alawuba, disclosed this to the banks’ local and international investors during its 2023 Full Year Investors’ Conference Call on Friday, following the release of the bank’s financial result for the year ended December 31st, 2023.

At the end of the 2023 financial year, UBA recorded an impressive leap in gross earnings, as it grew from N853.2 billion recorded at the end of 2022 to close at N2.08tn; representing 143 per cent growth.

Total assets also rose by 90.22 per cent, to close at N20.7 trillion up from N10.9 trillion in 2022. Profit before tax grew exponentially by 277 per cent, to close at N757.7billion, up from N200.9 billion recorded in 2022; while profit after tax (PAT) increased by 257 per cent from N170.2 billion in 2022, to N607.7 billion.

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The GMD expressed confidence that based on the bank’s strategic business investments in the last year, UBA remains on the trajectory of achieving and even surpassing its targets for the current financial year, adding that the bank’s strong diversity across Africa and beyond, gives it the needed edge to serve its teeming customers.

On the recently released Central Bank of Nigeria (CBN) circular on minimum capital for banks, the GMD said that as it stands, UBA remains among the top capitalised banks, as he added that the bank is actively exploring a well-defined strategy to boost its capital base and ensure compliance within the regulatory time frame.

He said; “This strategy may include a combination of options such as Rights Issue or Private Placement. The fact remains that we are confident in our ability to meet the CBN’s capital adequacy requirements and will keep investors informed as we progress.’

 “I want to reiterate that UBA is very well capitalised with shareholders’ funds in excess of N2 trillion. We will in due course, raise the required component of capital in line with the CBN directive.”