Onome Amuge
United Bank for Africa (UBA) Plc has posted another quarter of resilient performance, consolidating its reputation as one of Nigeria’s most systemically significant lenders at a time when macroeconomic pressures and regulatory changes are testing the strength of the banking industry.
The bank’s gross earnings rose by 3 per cent year-on-year to N2.47 trillion, up from N2.40 trillion in September 2024, while net interest income increased by 6.2 per cent to N1.17 trillion.
However, profit before tax (PBT) declined by 4.1 per cent to N578.6 billion, from N603.5 billion a year earlier, as operating costs and currency revaluation pressures weighed on margins. Despite this, the bank managed to lift profit after tax (PAT) by 2.3 per cent, reaching N537.5 billion, supported by stronger non-interest income and disciplined cost optimisation.
The bank’s total assets rose by 7.2 per cent to N32.49 trillion, from N30.32 trillion in December 2024, while customer deposits expanded by 7.7 per cent to N26.54 trillion over the same period.
Shareholders’ funds rose 25.8 per cent to N4.30 trillion, boosted by retained earnings and recent capital-raising activities. The bank’s capital position now provides a significant buffer ahead of the CBN’s new recapitalisation threshold, which has spurred industry-wide fundraising across Nigeria’s tier-one lenders.
Oliver Alawuba, UBA’s group managing director and chief executive officer, described the bank’s performance as a testament to its strength, resilience, and diversification across markets.
“We delivered solid performance supported by prudent balance sheet management, innovation, and a well-diversified earnings base. With profit after tax rising to N538 billion, UBA continues to reflect consistent earnings momentum and a commitment to sustainable growth, despite persistent macroeconomic headwinds,” he said.
Alawuba also confirmed that the bank had completed Phase II of its Rights Issue, a key component of its recapitalisation programme. The move, he explained, “has strengthened our capital base and will support the continued, prudent expansion of our operations across markets.”
Ugo Nwaghodoh, UBA’s executive director, Finance and Risk, noted that the group’s performance reflects steady growth in earnings and continued investor confidence.
“Gross earnings rose to N2.47 trillion, driven by a 10.1 per cent increase in interest income and a 6.2 per cent uplift in net interest income. Total assets grew by 7 per cent to N32.5 trillion, supported by focused deposit mobilisation and increased investment in earning assets,” ,he said.
According to him, capital adequacy and liquidity ratios remain well above regulatory thresholds, giving UBA ample headroom for continued expansion. “Shareholders’ funds expanded by 26 per cent, underscoring the strength of our balance sheet and the confidence of investors in our long-term strategy,” he added.
Nwaghodoh said the group would remain focused on sustaining profitability, scaling its digital income streams, and strengthening operational efficiency to preserve margins in the face of tightening liquidity and rising costs.
