Union Bank of Nigeria Plc’s profit before tax has grown by 14 percent at the end of its third quarter financial year.
The bank’s nine month result ending September 30, 2022 released,Friday, showed that that its profit before tax grew to N18.2 billion from N16.0 billion reported the comparative period of 2021.
Gross earnings also upped by 12.4 per cent to N140.6 billion against 125.2 billion recorded in the nine months of last year. The growth according to the bank was driven by higher earning assets.
The result, however, showed that net operating income after impairments upped by 7.3 per cent to N76.3 billion from N71.2 billion and driven by higher interest income.
Non-interest income declined by 32.7 per cent to N28.3 billion from N42 billion achieved in nine months in 2021.
Analysis of the bank’s result indicated that operating expenses grew by 5.2 per cent to N58.1 billion compared with N55.2 billion in the corresponding period of 2021.
The bank stated that the rise was an outcome of higher non discretionary regulatory costs, software expenses and power cost, Customers deposit went up by 12.7 per cent to N1.53 trillion from N1.36 trillion reported in December 2021.
Gross loan surged to N990.3 billion from N899.1 billion in December last year, representing growth of 10.1 per cent. Non- performing loans ratio down by 4.2 per cent from 4.7 per cent at the end of September last year.
Commenting on the results, Chief Executive officer, Mudassir Amray, said: “We had a good third-quarter performance, with strong growth in profits supported by additional net interest income. Our strategy remains on track, with good delivery in all areas.
“This was reflected in more consistent top-line growth, robust lending pipelines across our businesses, and rising lending to key sectors. Our performance reflects the continued impact of our strategy, with gathering revenue momentum.
“The progress that we have made means we are in a strong position. In nine month 2022, compared to nine month 2021, the Bank’s Gross Earnings, Net Interest Income and Profit Before Tax grew by 12.4 per cent, 59.8 per cent, and 14 per cent respectively.’