headquarters of Unity Bank Plc in Lagos

Unity Bank Grows Gross Earnings To N27.5bn In H1’2023

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Unity Bank Plc, a leading retail lender, announced impressive financial results for the first half of 2023, with a significant increase in gross earnings and deposits.

The bank’s performance, despite challenges posed by foreign exchange revaluation, signals its commitment to growth and expansion in Nigeria’s competitive banking sector.

In its Half-Year unaudited financial statement submitted to the Nigeria Exchange Group Limited, Unity Bank revealed that its deposits grew to N333.38 billion, marking a 2% increase compared to N327.42 billion recorded in the same period in 2022.

This growth in deposits reflects the bank’s dedication to deepening its presence in the retail market by offering a diverse range of banking products tailored to different segments of the retail sector.

Among the highlights of the unaudited financial statement, Unity Bank reported gross income and total assets of N27.5 billion, up from N27.4 billion, and N512.1 billion, up from N510.1 billion, respectively, for the first half of 2023.

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However, the bank’s net loans portfolio saw a significant decrease of 31%, falling to N198.6 billion as of June 30, 2023, from N289.4 billion at the end of December 2022. Despite these fluctuations, the bank maintained a moderate Non-Performing Loan (NPL) Ratio of below 3%, and its liquidity ratio remained strong at over 45%.

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Speaking on the financial results, Mrs. Tomi Somefun, the Managing Director/CEO of Unity Bank Plc, acknowledged that external factors, particularly the foreign exchange revaluation due to Nigeria’s recent FX liberalization policy, had impacted the bank’s profit for the period.

She stated, “In the light of the prevailing FX revaluation in the financial system, what we have is a market-driven impact which is adjustable, envisaged from the positive economic outcomes of the government policies in the near term.”

Despite these challenges, Unity Bank demonstrated resilience and growth in certain areas. The bank reported a 17% increase in FX trading income, rising to N239.8 million from N204.4 million in the corresponding period of 2022, highlighting its strategic focus on diversifying and expanding its earnings portfolio.

Additionally, fees and income commissions experienced a 10% growth, reaching N3.5 billion from N3.2 billion, attributed to the growing popularity of its digital banking platforms and customer acquisition in the retail sector.

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Mrs. Tomi Somefun further outlined the bank’s plans for the future, saying, “The negative shareholders’ fund has improved considerably through the injection of N135 billion, which moderated the negative shareholders’ fund from (-ve) N275 billion in December 2022 financial year-end to (-ve) N178 billion as at the end of June 2023, after absorbing the FX revaluation loss suffered in Q2/2023.” She emphasized the bank’s focus on recapitalization and its commitment to operating effectively in Nigeria’s fast-growing markets.

Unity Bank is optimistic that government policy initiatives will eventually lead to market corrections.

The bank is aggressively pursuing asset creation and liability generation in the short and medium term, expanding strategic partnerships, growing its commercial banking business, and investing in process automation, cost efficiency, targeted value chain relationships, and product marketing to enhance value creation in the market.

Despite current market challenges, analysts believe Unity Bank is on track to maintain its resilience and achieve its long-term growth objectives.


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