UBA declares N607.69bn PAT, gross revenue climbs to 2.08trn in 2023

The United Bank for Africa (UBA) Plc on Friday held its Annual General Meeting (AGM) delivering a strong financial year as it recorded a gross revenue of N2.08 trillion. This is just as it recorded an impressive profit after tax of N607.69 billion for the year ended on 31 December 2023.

Consequently, UBA announced that shareholders will receive a final dividend of N78.7 billion for FY 2023, representing N2.30 per ordinary share held. 

In the company’s notice to the NGX, it was specified that the final dividends will be disbursed to shareholders whose names are recorded in the Register of Members as of the close of business on Friday, May 10, 2024. 

Chairman, Board of Directors of the bank, Mr. Tony Elumelu, said the global financial institution sustained its deposit mobilization efforts during the year under review, growing total deposits by 93 per cent to N17.36 trillion from N8.99 trillion in 2022.

“Additionally, the loan book expanded by 61% to N50.55 trillion from N3.44 trillion. The bank maintained a well- structured and diversified balance sheet, with total Assets and shareholders’ funds closing at N20.65 trillion and N2.03 trillion respectively.

“Behind each of these figures, is the everyday work of our dedicated staff, providing tangible solutions to real-world needs, diversifying value to customers, businesses, and governments.

“UBA supports consumers across Africa and globally, seeking secure and convenient payment methods, businesses requiring modern payment acceptance solutions, and issuers and acquirers in need of innovative offerings for their customers.

“Furthermore, we facilitate governments in promptly distributing payments to individuals during crucial times of need” he stated.

According to Elumelu, the Board believes in the power of small and medium-sized enterprises (SMEs) to drive economic prosperity across the African continent, hence it is taking concrete steps to fuel their growth. 

He said: “In a historic partnership with the Africa Continental Free Trade Area (AfCFTA) Secretariat, UBA pledged up to USS6 billion in financing over the next three years to empower eligible SMEs across Africa. This game-changing investment targets four key sectors crucial for reducing import dependence and fostering intra-African trade: Agro-processing, Automotive, pharmaceuticals and Transport/Logistics. 

“Our commitment goes beyond just providing financial support. We understand the need to de-risk these sectors and equip SMEs with the necessary skills and expertise to thrive. In addition, technology will play a crucial role in providing customers access to propositions created to deliver on our strategy”. 

The Chairman further assured that UBA stands poised to continue its leadership trajectory, building on a rich 75-year legacy of serving its customers and catalyzing Africa’s growth. 

“This legacy is woven from decades of insightful market understanding and a steadfast commitment to the communities we serve. It has equipped us with the key human, technological, and operational capabilities that form our firm foundation. 

“These capabilities, coupled with our strong brand and meticulously crafted propositions, position us not just to compete but to thrive in the ever-evolving financial landscape. As 202 unfolds, UBA remains resolute in its unwavering commitment to innovation, clarity of purpose, operational rigour, and, most importantly, shared value creation. We are confident that by staying true to these core principles, UBA will continue to deliver exceptional value to our stakeholders and play a pivotal role in shaping a brighter future for Africa. 

Shareholders of the bank, expressed gratitude to the leadership for driving the bank to profitability during the period under review.

Dr. Farouk Umar, a shareholder, said: “I am really very happy with the leadership of the bank. Tony Elumelu has done very wonderful things and I am very confident that the bank will be able to recapitalize. You can see that UBA made the highest profit among all the banks, and the tax paid to government is over N150 billion so the bank is contributing to the development of the economy” 

Another shareholder, Olatunde Balogun, said the UBA is the best investment he has ever made in his life, recalling how he invested when his salary was nothing to write home about, but got a bonus from the bank the same year making his shares climb to 300 from 100 ordinary shares.