United Bank for Africa Plc has announced a 17 percent increase in Gross Earnings for the third quarter ended September 30, 2009. The latest financial results from the pan-African banking Group presented at the Nigerian Stock Exchange show that Gross income for the period was N198bn (2008 N169.5bn).
•Gross earnings up by 17%
•Strong growth in income from international operations
•Makes N41bn provision for potential loan losses
Other details of the results show that the bank made a Gross Profit of N36.4bn on the back of robust Deposit Base and Balance Sheet size of N1.26 trillion and N2.1 trillion respectively.
The result also showed that the bank posted a marginal loss of N5bn arising from an exceptional charge of N41bn largely attributable to full provisioning for risk assets, following the outcome of the recent joint CBN/NDIC special examination.
Commenting on the results, the Group Chief Financial Officer, Mr. Victor Osadolor said: “The underlying trends in our performance remain extremely positive, with the Group recording an improvement of 16.9% in Gross Earnings, while risk ratios remain very strong and above regulatory minimum. We will continue to pursue our strategy of disciplined growth and rigorous cost efficiencies. Our investments in Risk Management and Controls have started paying off and will become evident in subsequent results”.
In continuation of its expansion drive, United Bank for Africa Plc has just commenced operations in Kenya; East Africa’s largest economy. Strong growth in the performance of the Bank’s international operations demonstrated the growing success of UBA’s Pan African strategy with Gross Earnings from international operations increasing from 3.4% to 10% while deposit base rose from 9% to 16% during the period.
UBA Kenya Limited brings to twelve the number of African countries where the bank has commenced full scale banking operations. These Countries include; Ghana, Uganda, Cameroon, Cote d’Ivoire, Liberia, Sierra Leone, Senegal, Burkina Faso, Chad and Benin.
In addition, UBA will soon commence operations in seven other countries, including; Tanzania, Zambia, Gabon, Mali, Guinea Conakry, Congo Brazzaville and Democratic Republic of Congo (DRC), bringing the total presence to 19.
United Bank for Africa Plc is one of Africa’s leading financial institutions offering banking services to more than 7 million customers across 750 branches. With presence in New York, London and Paris, UBA is connecting people and businesses across Africa through retail and corporate banking, innovative cross border payments, trade finance and investment banking.
By William Freeman
ADVERTISEMENT