Glamtush
No Result
View All Result
  • Home
  • News
  • Beauty
  • Business & Brands
  • Entertainment
  • Fashion
  • Features
  • Lifestyle
  • Politics
  • Sports
  • Telenovelas
  • Events
  • Home
  • News
  • Beauty
  • Business & Brands
  • Entertainment
  • Fashion
  • Features
  • Lifestyle
  • Politics
  • Sports
  • Telenovelas
  • Events
No Result
View All Result
Glamtush
No Result
View All Result
Home Features

Banks Recapitalization: Why Everyone Is Waiting For UBA Shares Offer – CKN

byGLAMTUSH
September 17, 2024
in Features, Opinions
Reading Time: 4 mins read
Share on FacebookShare on TwitterShare on PinterestShare on WhatsappShare on LinkedinShare on Telegram

In March 2024 the Central Bank of Nigeria announced the new guidelines on its recapitalization policy for banks in the country.

 

The CBN directed commercial banks with international authorization to increase their capital base to N500bn and national banks to N200bn.

READ ALSO

E-commerce Lessons For Scaling Nigeria’s Food Distribution

Primate Ayodele And Bayo Adelabu’s Campaign Group: Stating The Facts Right

Commercial banks with national licenses must meet a N200bn threshold, while those with regional authorization are expected to achieve a N50bn capital floor.

Likewise, non-interest banks with national and regional authorizations will need to increase their capital to N20bn and N10bn as well.

Within this period many banks have decided to go into the market in their quest to meet the Central Bank directives.

While it is not within me to state how successful their journey has been so far but from all indications and bearing in mind the current state of the economy, It may be a tough call for some of these banks.

Weeks back I wrote an opinion about a particular bank that has impressed me so much in recent time.

 

I also stated that due to my ugly experience with some banks shares in the past during the Charles Soludo’s recapitalization exercise, I made up my mind never to buy the shares of any Bank again.

But the recent impressive performance of UBA in the early part of 2024 made me change my mind.

 

Read This And Decide For Yourself

Solid Start To 2024, UBA Consolidates Gains As Gross Earnings Rise by 110%, Profit For [Quarter] Hits N156bn ..Delivering A YoY Growth Of 165%.

United Bank for Africa Plc (UBA), Africa’s Global Bank , released its financial results for the first quarter ended March 31st, 2024, showing very strong growth across key performance measures.

The Group’s results, which were released to the Nigerian Exchange Limited (NGX) on Friday May 3rd, 2024, saw outstanding year-on-year increases: Gross Earnings rose by 110%, from N271.1billion to N570.2 billion; Interest Income grew by 130%, to N440.7 billion. Operating Income increased by 115%, from N175.7 billion in 2023, to N378.59 billion.

Further consolidating the record performance delivered in the Group’s 2023 Full Year Audited Financials, UBA again saw Profit Before Tax rising significantly by 155% from N61.7 billion in Q1 2023, to N156.34 billion in Q1 2024; while Profit After Tax jumped from N53.5 billion to N142.5 billion, representing an impressive rise of 165% year-on-year.

Commenting on the results, UBA’s Group Managing Director, Oliver Alawuba, said the Group delivered strong first quarter performance, building on the solid momentum of 2023, as well as the ongoing execution of its long-held strategy of customer focus, geographic diversification and effective risk management and governance.

He said, “Our record Q1 profit before tax was delivered with triple digit gross earnings growth, supported by very strong interest and non-interest income. Fees and Commissions rose by 118% year-on-year on the back of improved efficiencies and continued digital adoption. This has helped drive improvement in efficiency and customer satisfaction, with the Group’s cost-to-income ratio held at 57.8%.”

“The Group’s balance sheet grew steadily with Total Assets increasing by 23% to N25.4 trillion. Customer deposits closed at N18.4 trillion, recording a 23% increase year-on-year, largely attributed to growth in current accounts and savings accounts.”

“Our unwavering commitment to sound governance, robust risk management, and financial strength positions us for continued growth, while we contribute meaningfully to inclusive economic development across our network.”

Also speaking on the performance, UBA’s Executive Director, Finance and Risk, Ugo Nwaghodoh, said the Group’s operating results for the quarter showed the actions taken to enhance the Group’s performance continued to deliver.

He said, “Our first quarter results highlight our relentless customer focus and the strength of UBA’s geographic and product diversification, with good performance across all our regions. We continue to differentiate ourselves across all key financial metrics, with a keen focus on high-quality risk adjusted revenues and cost discipline, while maintaining very sound asset quality.”

“We remain committed to reducing both interest expense and operating expenses and expect to make steady progress as we move through the year toward our stated profitability targets,” Nwaghodoh stated.

With such solid performance, the question on everyone’s lips is when will UBA open its shares.

To many keen watchers of the banking sector, it is obvious that a lot of Nigerians have been waiting for the shares of the bank to hit the market , many of them including my humble self see no other alternative.

Based on its steady performance as one the fastest growing and biggest banks in Africa , I know for sure that my ROI is well guaranteed.

The biggest advantage UBA has over and above its contemporaries in the sector is the solid base of its parent company the Heirs Holdings.

Currently one of the biggest conglomerate in Nigeria and Africa.

The group which recently marked its 13th year anniversary with an impressive result apart from engaging in Banking is also a major player in Power, Insurance, Hospitality, Oil and Gas, Medicals etc.

An investment in UBA shares is a sure banker for the future as far as I am concerned.

United Bank for Africa is one of the largest employers in the financial sector on the African continent, with 25,000 employees group-wide and serving over 45 million customers globally across over 1,000 business offices and customers touch points in 20 African countries and the United Kingdom, the United States of America, France and the United Arab Emirates (Four Continents).

UBA provides retail, commercial and institutional banking services, leading financial inclusion and implementing cutting edge technology.

With these impressive performance year in year out, there is no gain saying that the shares of the bank will be over subscribed whenever it hits the market.

I can’t just wait for the BIG ONE.

 

Chris Kehinde Nwandu is a Journalist , Blogger , Law Graduate and UK Chartered Arbitrator

Related Posts

Food Distribution
Features

E-commerce Lessons For Scaling Nigeria’s Food Distribution

May 14, 2025
Bayo Adelabu
Features

Primate Ayodele And Bayo Adelabu’s Campaign Group: Stating The Facts Right

May 13, 2025
Charles Akindiji Akinola
Features

7 Things You Need To Know About Dr. Charles Akindiji Akinola, Newly Nominated MD SWDC

May 8, 2025
Cardinal Okpaleke
Features

Cardinal Okpaleke: The Sole Nigerian Voice In The Next Papal Election, Despite Past Rejection

April 22, 2025
Aare Adetola EmmanuelKing At 50
Features

A Life Of Purpose: My 50-Year Journey Of Impact, Gratitude And Philanthropy – Aare Adetola Olaniyi Emmanuelking

April 2, 2025
SMEs
Features

From Struggle To Stability: How FinTech Is Helping Nigerian SMEs Overcome Cash Flow Challenges

March 30, 2025
Next Post
Ngozi Okobi

Super Falcons Midfielder Ngozi Okobi Welcomes First Child

GPBN Associates Member

Fidelity Bank

Zenith Bank

Tinubu

‘I’m The Head Of Nigerian Delegation,’ Tinubu Tells Obi, Fayemi At Vatican

May 18, 2025
Building Collapse

Lagos: One Rescued, Others Trapped As Building Collapses

May 18, 2025
Champions League

EPL: Arsenal Beat Newcastle 1-0 To Qualify For Champions League

May 18, 2025
WHO

Tanzanian Professor Elected WHO Regional Director For Africa

May 18, 2025
Four Siblings Murdered By Pastor

Tragedy: Four Siblings Murdered By Pastor With Pestle In Enugu

May 18, 2025
U-20 AFCON

U-20 AFCON: Flying Eagles Beat Egypt To Win Bronze Medal

May 18, 2025
Rape

Nigerian Pastor Exits South Africa Following Acquittal In Rape Trial Controversy

May 18, 2025
Awoniyi

Awoniyi Breaks Silence After Emergency Abdominal Surgery

May 18, 2025
AMCON

Over N4 Trillion Debt: AMCON, AMPS Interact To Drive Recoveries

May 18, 2025
Kainji-Birnin Kebbi Transmission Line Towers

Reconstruction Begins On Collapsed Kainji-Birnin Kebbi Transmission Line Towers – TCN

May 17, 2025

GLAMTUSH

 

Glamtush publishes the latest trends in fashion, beauty, and lifestyle, as well as those making the fashion world interesting and adorable.

RELEVANT PAGES

  • About Us
  • Advertise
  • Contact Us

REACH OUT

Do you have any news for us? Event Coverage, Press Releases or Adverts? Then reach out to us via glamtush@gmail.com or glamtush15@gmail.com

OFFICE ADDRESS

Lagos, Nigeria

Copyright © 2022 Glamtush

  • About Us
  • Advertise
  • Contact Us
  • Disclaimer
  • Glamtush – Nigeria News, Nigerian Newspapers, Naija News
  • Glamtush – Nigeria News, Nigerian Newspapers, Naija News
  • Terms And Conditions
  • Write for Us

© 2022 Glamtush

No Result
View All Result
  • Home
  • News
  • Beauty
  • Business & Brands
  • Entertainment
  • Fashion
  • Features
  • Lifestyle
  • Politics
  • Sports
  • Telenovelas
  • Events

© 2022 Glamtush