Yemisi Izuora
The United Bank for Africa (UBA) Plc, successfully grew its profit by 26.14% year on year to N766.568 billion in 2024 from a total amount of N607.696 billion the group posted in financial year 2023.
In its audited report released on the Nigerian Exchange, the pan African banking group performance was supported by significant improvement in revenue amidst high interest rate environment in its key markets.
The Banks net interest income rose sharply to N1.530 trillion, up by 116% year on year from N707.540 billion in the financial year 2023. Net fees and commission income also increased sharply in the year.
According to its audited report, UBA generated N355 billion as net fee and commission income in 2024, an increase of about 88% above N189.059 billion achieved in 2023. Its pretax profit came in at N803.726 billion, up by 6% year on year from N757.680 billion in 2023. A sharp moderation in tax expenses strengthened the bank’s bottom line.
Tax expenses dropped to N37.158 billion in 2024 as against N149.984 billion the company recorded in 2023. The left the group net income at N766.568 billion, up by 26.14% year on year from N607.696 billion in 2023. The banking group proposed a final dividend of N3.00 per share, up from N2.30 per share declared in 2023, from the retained earnings account as at 31 December 2024.
This proposed final dividend and the N2.00 per share interim dividend paid in October 2024, brings the total dividend for the year to N5.00, amounting to a pay-out ratio of 26.6% versus16.32% in 2023.
The proposed dividend will be presented to shareholders for approval at the next Annual General Meeting and paid subsequently subject to withholding tax at an appropriate rate, UBA said in its audited report.