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UBA’s profit grows to N54.8billion in 2012

By on May 13, 2013

UNITED Bank for Africa (UBA) Plc has announced its audited financial results for the full year 2012, even as its profit rose by over 905 per cent to close at N54.8billion from the N6.8billion loss it recorded in the previous year.

The bank explained that the loss recorded in 2011 was on account of loan provisioning that it did to clean up its balance sheet.

According to the result released at the Nigerian Stock Exchange to stockbrokers and the financial community, improvement was recorded in all indices in a performance that has seen the complete turnaround of the pan-African financial services institution.

The result showed that profit before tax increased by over 295 per cent to N52.00billion in 2012, compared to a loss of N26.60 billion posted in the previous year, whilst Total Comprehensive Income attributable to equity holders grew outstandingly by 5,058 per cent to N55.53billion, compared with a loss of  N1.12 billion in 2011.

Gross Earnings in 2012 for UBA grew significantly by 34.45per cent to peak at N220.1 billion; representing approximately N56.40 billion additional revenue from the N163.7 billion achieved in the preceding year whilst the bank was able to keep total operating expense lower by 3.30 per cent during the period under review.

Commenting on the performance, the Group Managing Director of the bank, Mr. Phillips Oduoza, said, “we achieved those results despite a tough operating environment, demonstrating the strength and resilience of our business model. UBA had a strong year in 2012. Our success was again driven by the strength of our customer-focused, Corporate and Treasury driven business model. We are confident about our ability to deliver sustainable earnings growth in the future. We will continue to strategically invest in our businesses, manage our expenses and contain cost, whilst continually seeking ways to exceed expectations  of our stakeholders.

“As always, our employees and their dedication to our customers and clients remains the driving force behind our success and I thank them for their tremendous contributions. The bank had a good performance for full year 2012, putting us in a position to commence the journey back to industry leadership and setting the stage for the attainment of our long term strategic intent of being a leading Bank on the African continent” he stated

The Group Chief Finance Officer, Mr. Ugochukwu Nwaghodoh, said the bank has continued to focus on customer service delivery, efficient capital management and returns maximization with return on equity exceeding 30 per cent in 2012, one of the highest in the industry.

“Our ability to serve clients globally with solutions tailored to their needs gives us a strong advantage in today’s rapidly changing and highly competitive market place. Adopting a unique business platform across Africa, as a group, has also ensured that we present a single face to our customers and clients around Africa . This does not only help foster collaboration throughout the Group, it also strengthens our ability to deliver value adding and innovative solutions to our customers and clients through our integrated model.” Nwaghodoh said.

With operations in 19 African countries and presence in New York , London and Paris, UBA provides banking services to over seven million customers through expansive retail distribution outlets. Its ability to deliver tailored financial solutions based on high-value customised products and services sets it apart from peers.