UBA Reports 28% Rise in Profit After Tax to N114Bn; To Pay Investors 35k Dividend

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The pan-African financial institution, United Bank for Africa (UBA) Plc announced 11% Gross Earnings growth in its 2020 Audited results for the period ended December 31st, 2020.

UBA delivered double-digit growth in gross earnings, as profit hits N132bn’, that this was contained in its audited results for the full-year ended December 31, 2020.

Despite the challenging business environment during the COVID-19 pandemic and the resultant effect on economies globally, the bank’s profit before tax was impressive at N131.9bn, compared to N111.3bn at the end of the 2019 financial year.

  • Gross Earnings grew by 11% to N620bn from N560bn in the previous quarter.
  • Profit before tax grew by 18.5% to N132bn.
  • Profit after tax grew by 28% to N114bn.
  • Net Assets grew by 21% from N598bn to N724bn.

UBA grew topline income by 9.03% Amid Higher Operating Expenses

The profit after tax rose remarkably by 27.7 per cent to N113.8bn compared to N89.1bn recorded at the end of the 2019 financial year.”

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The 2020 audited financials filed at the Nigerian Stock Exchange on Monday showed the bank’s gross earnings grew by 10.8 per cent to N620.4bn from N559.8bn recorded in the corresponding period of 2019.

The bank’s total assets also grew by 37 per cent to N7.7tn for the year under review.

On the cost side, it stated, operating expenses grew by 10.1 per cent to N249.8bn from N217.2bn in 2019, well below the average inflation rate of 13.2 per cent for the year, reflecting the bank’s cost-effectiveness.

Read Also:  DHL: Pandemic Poses New Challenges On Automotive Industry

The bank said in its tradition of rewarding shareholders, it proposed a final dividend of N0.35 kobo for every ordinary share of 50 kobo.

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The final dividend, which was subject to the affirmation of the shareholders at its annual general meeting, would bring the total dividend for the year to N0.52kobo as the bank had paid an interim dividend of N0.17 kobo earlier in the year, it stated.

UBA recorded 24 per cent growth (to N2.6tn) in loans to customers, while customer deposits increased by 48.1 per cent to N5.7tn, compared to N3.8tn recorded in the corresponding period of 2019, reflecting increased customer confidence, enhanced customer experience, successes from the ongoing business transformation programme and the further deepening of its retail banking franchise.

Commenting on the result, the Group Managing Director/Chief Executive Officer, Kennedy Uzoka, noted that 2020 was important for UBA Group, as it gained further market share in most of its countries of operation.

“We ended a very challenging year on a reassuring note. The bank recorded double-digit growth in both our top and bottom lines, as gross earnings and after-tax profit grew by 10.8 per cent and 27.7 per cent to N620.4bn and N113.8bn respectively.

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“Return on equity was 17.2 per cent, even as our cost-to-income ratio moderated to 61.3 per cent.”

He added that the earnings per share of N3.20 was 26.8 per cent higher than that of the preceding year.

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UBA Reports 28% Rise in Profit After Tax to N114Bn; To Pay Investors 35k Dividend - Brand SpurUBA Reports 28% Rise in Profit After Tax to N114Bn; To Pay Investors 35k Dividend - Brand Spur

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UBA Reports 28% Rise in Profit After Tax to N114Bn; To Pay Investors 35k Dividend - Brand SpurUBA Reports 28% Rise in Profit After Tax to N114Bn; To Pay Investors 35k Dividend - Brand Spur

Latest News

Strongest first quarter ever: Preliminary results of Deutsche Post DHL Group above market expectations

  • All divisions significantly increased EBIT in first quarter 2021; Group EBIT tripled to around EUR 1.9 billion
  • Free cash flow development continued positive trajectory and improved by more than EUR 1.4 billion to around EUR 1.0 billion
  • CEO Frank Appel: "The start into the new financial year was more dynamic than ever"


SINGAPORE - Media OutReach - 12 April 2021 - Deutsche Post DHL Group has today released preliminary results for the first quarter of 2021 and has raised the outlook for the current financial year. Preliminary operating profit (EBIT) for the first three months improved to around EUR 1.9 billion (Q1 2020: EUR 592 million). The positive development of the group's businesses seen in the fourth quarter 2020 has continued well through the first quarter 2021. In the first three months of the year the B2C shipment volumes remained high in all networks while the recovery in the B2B business continued.

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"The start to the new financial year was more dynamic than ever. It proves that we have successfully geared our business to the right growth drivers. One year into the pandemic we experienced in the first quarter 2021 a sustained momentum in e-commerce and a significant stabilization in global trade with increasing air- and sea-freight volumes. Consequently all divisions reported a significant jump in earnings above market expectations. Global trade continues to recover and vaccine distribution is in full swing which makes me very optimistic for the rest of 2021 and beyond," said Frank Appel, CEO of Deutsche Post DHL Group.

All divisions optimally positioned for continuing e-commerce boom and growth in global trade

Express: The division reached an EBIT of around EUR 955 million in the first quarter 2021 compared to EUR 393 million in Q1 2020.

Global Forwarding, Freight: EBIT in Global Forwarding, Freight stood at around EUR 215 million in Q1 2021, clearly above previous year's Q1 of EUR 73 million.

Supply Chain: EBIT at Supply Chain came in at around EUR 165 million in the first quarter 2021 compared to EUR 105 million in Q1 2020.

eCommerce Solutions: eCommerce Solutions recorded a first quarter 2021 EBIT of around EUR 115 million, clearly above last year's Q1 result of EUR 6 million.

Post & Parcel Germany: EBIT in Post & Parcel Germany in Q1 2021 was around EUR 555 million (Q1 2020: EUR 334 million).

Earnings momentum mirrored in positive cash flow development and improved outlook


The continued positive business development is underpinned by a strong cash flow development; free cash flow amounted to around EUR 1.0 billion in the first quarter 2021. In Q1 2020 this figure was still negative at EUR -409 million.

In light of the strong earnings momentum, guidance for 2021 is adjusted as follows:

Group EBIT for 2021 is now expected to be significantly above EUR 5.6 billion (previous forecast: more than EUR 5.6 billion). Equally, the result for the DHL divisions is now seen significantly above EUR 4.5 billion (previous forecast: more than EUR 4.5 billion). EBIT for the Post & Parcel Germany division is no longer expected at around EUR 1.6 billion but above EUR 1.6 billion. The expectation of a Group Functions EBIT of around EUR -0.4 billion remains unchanged. Full year 2021 Free Cash Flow is now expected to be significantly above EUR 2.3 billion (previous forecast: around EUR 2.3 billion).

The Group will introduce a revised detailed guidance with the comprehensive disclosure for Q1 2021 which will be published as planned on May 5, 2021.

Deutsche Post DHL Group

Deutsche Post DHL Group is the world's leading logistic company. The Group connects people and markets and is an enabler of global trade. It aspires to be the first choice for customers, employees and investors worldwide. To this end, Deutsche Post DHL Group is focusing on growth in its profitable core logistics businesses and accelerating the digital transformation in all business divisions. The Group contributes to the world through sustainable business practices, corporate citizenship and environmental activities. By the year 2050, Deutsche Post DHL Group aims to achieve zero emissions logistics.


Deutsche Post DHL Group is home to two strong brands: DHL offers a comprehensive range of parcel and international express service, freight transport, and supply chain management services, as well as e-commerce logistics solutions. Deutsche Post is Europe's leading postal and parcel service provider. Deutsche Post DHL Group employs approximately 570,000 people in over 220 countries and territories worldwide. The Group generated revenues of more than 66 billion Euros in 2020.


The logistics company for the world.

UBA Reports 28% Rise in Profit After Tax to N114Bn; To Pay Investors 35k Dividend - Brand Spur
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- Advertisement -UBA Reports 28% Rise in Profit After Tax to N114Bn; To Pay Investors 35k Dividend - Brand SpurUBA Reports 28% Rise in Profit After Tax to N114Bn; To Pay Investors 35k Dividend - Brand Spur