Amanze Chinonye
United Bank for Africa (UBA) Plc has reported a strong financial performance for the half-year ended June 30, 2025, with profit after tax (PAT) rising to N335.53 billion, up 6.06% from N316.36 billion in the same period last year.
The results, filed with the Nigerian Exchange Limited (NGX), highlight robust earnings growth and continued expansion of the bank’s balance sheet despite challenging macroeconomic conditions across Africa.
Strong Earnings and Asset Growth
UBA’s gross earnings grew 17.28%, from N1.371 trillion in June 2024 to N1.608 trillion, driven largely by a 32.89% increase in interest income, which rose from N1.003 trillion to N1.334 trillion. Total assets expanded 9.71% to N33.3 trillion, while customer deposits increased 11.9% to N27.6 trillion, signaling strong liquidity and operational resilience.
Join our WhatsApp ChannelProfit before tax dropped slightly to N388 billion from N401 billion in 2024, but the bank’s shareholders’ funds strengthened by 23%, from N3.41 trillion to N4.22 trillion, underlining a solid financial foundation for growth.
Management Perspective
UBA’s Group Managing Director/CEO, Oliver Alawuba, described the results as a reflection of the bank’s resilience and strategic execution:
“UBA’s first-half results highlight the strength of our business and the trust our customers continue to place in us. We delivered strong double-digit earnings growth across our markets, with Profit After Tax rising year-on-year to N335 billion, underscoring the resilience of our business and the success of our strategy.”
He further highlighted the ongoing Rights Issuance Programme, noting that Phase I successfully raised N234.3 billion, while Phase II is underway to meet capital requirements by year-end, supporting continued growth and expansion across the bank’s markets.
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Balance Sheet and Capital Strength
UBA’s Executive Director, Finance & Risk Management, Ugo Nwaghodoh, emphasized that strong top-line growth, improved deposits, and net interest income have strengthened the bank’s balance sheet:
“Deposits expanded by 11.9% to over N27.5 trillion, supporting balance sheet growth to N33.3 trillion, while shareholders’ funds rose 23.3% to N4.22 trillion. Capital adequacy and liquidity ratios remain well above regulatory thresholds, providing significant buffers to support continued growth.”
Strategic Focus
Looking ahead, UBA intends to focus on expanding market share, driving efficiency, scaling digital-led income streams, and maintaining disciplined risk management across its 20 African markets. The bank serves over 45 million customers through more than 1,000 business offices and customer touchpoints, with international presence in New York, London, Paris, and Dubai.
“Our priority is to pursue growth and expansion scale across markets, leveraging digital innovation while maintaining financial prudence,” Nwaghodoh added.
UBA’s performance is significant for Nigeria and the broader African banking sector:
- Investor confidence: The strong PAT and balance sheet growth signal resilience, attracting both local and international investors.
- Economic impact: Expanding deposits and lending capacity enhance credit availability for businesses and households, supporting economic growth.
- Financial stability: UBA’s capital adequacy and liquidity buffers strengthen the banking system amid macroeconomic uncertainties.
- Shareholder value: Rights issue and profitability improvements demonstrate commitment to long-term returns for shareholders.
UBA’s half-year results confirm its position as Africa’s Global Bank, poised to capitalize on growth opportunities while reinforcing financial stability and shareholder value.
Amanze Chinonye is a Staff Correspondent at Prime Business Africa, a rising star in the literary world, weaving captivating stories that transport readers to the vibrant landscapes of Nigeria and the rest of Africa. With a unique voice that blends with the newspaper's tradition and style, Chinonye's writing is a masterful exploration of the human condition, delving into themes of identity, culture, and social justice. Through her words, Chinonye paints vivid portraits of everyday African life, from the bustling markets of Nigeria's Lagos to the quiet villages of South Africa's countryside . With a keen eye for detail and a deep understanding of the complexities of Nigerian society, Chinonye's writing is both a testament to the country's rich cultural heritage and a powerful call to action for a brighter future. As a writer, Chinonye is a true storyteller, using her dexterity to educate, inspire, and uplift readers around the world.
