United Capital posts 57% growth

United Capital Plc has reported a 50 per cent total revenue growth to N12.87bn for the year ended December 2020 from N8.59bn recorded in 2019.

This was disclosed in the bank’s audited financial results for the year ended December 31, 2020, released on Monday.

According to the results, the bank’s profit after tax increased by 57 per cent year-on-year to N7.81bn, compared to N4.97bn in 2019, while its profit before tax grew by 61 per cent to N7.95bn, relative to N4.95bn posted in 2019

Further analysis of the report showed an increase of 48 per cent in total assets, financed by a 52 per cent increase in liabilities, while shareholders’ funds grew by 25 per cent on the back of a strong 29 per cent growth in retained earnings.

United Capital recorded gross earnings of N12.87bn in the review period compared to N8.59bn in 2019, representing a 50 per cent growth year-on-year.

Its net operating income also grew by 58 per cent to N12.49bn, compared to N7.90bn in 2019.

Operating expenses were upped by 35 per cent to N4.93bn in the review period, compared to N3.64bn in 2019.

The company also grew its earnings per share by 56.62 per cent to130k as against 83k shared in 2019.

Commenting on the group’s performance, the Group Chief Executive Officer, Peter Ashade, said, “I am pleased to inform all stakeholders that United Capital Plc delivered impressive returns amid the unprecedented environment worsened by the pandemic during the 2020 financial year with remarkable double-digit growth in revenue, profit before tax and profit after tax and solid performance across key business parameters.

“This empowers us to adopt a more positive outlook for the year 2021 as we navigate the tough terrain compounded by a second wave of the COVID-19 pandemic, among other severe economic challenges.”

Continuing, he added, “Despite the tough operating environment, all stakeholder groups can be assured of our commitment to providing best-in-class solutions to diverse client segments and delivering superior returns to shareholders even as we work with regulatory authorities to strengthen the broader financial system as the domestic economy continues on the path to recovery in the year 2021.”