…drives rising returns, robust capital buffers

United Bank for Africa (UBA) Plc has reaffirmed its credentials as one of Africa’s most investor conscious financial institutions, posting a profit after tax (PAT) of N335.53 billion in the first half of 2025 while simultaneously reinforcing its capital base through an ambitious Rights Issue exercise.

For shareholders, the results underline not only resilience in earnings but also clear signals of sustainable value creation. The Pan-African lender grew gross earnings by 17.3 per cent to N1.61 trillion, powered by a 32.9 per cent rise in interest income to N1.33 trillion.

Profit after tax rose 6.1 per cent year-on-year, lifting return on equity to one of the highest among Nigeria’s tier-1 banks.

Shareholders’ funds surged by 23 per cent within six months, climbing to N4.22 trillion from N3.41 trillion in December 2024, underscoring both balance sheet strength and the bank’s capacity to sustain robust payouts.

While profit before tax dipped marginally from N401 billion to N388 billion, analysts note that UBA’s capitalraising drive provides a powerful counterweight.

Phase I of its ongoing Rights Issue was successfully completed in early 2025, raising N234.3 billion. With Phase II underway, the bank remains on track to meet Nigeria’s heightened capital requirements by year-end, a development that de-risks future earnings and provides investors with greater confidence in long-term returns.

Commenting on the results, Group Managing Director/CEO, Oliver Alawuba, stressed that UBA’s strategy is firmly aligned with shareholder interests.

“We delivered strong double-digit earnings growth across our markets, with PAT rising year-on-year to N335 billion, underscoring the resilience of our business.

Our capital raising programme further strengthens our buffer for growth and positions us to meet regulatory thresholds ahead of schedule,” he said.