Culled—Proshare

29/8/2017/Proshare Markets

UBA Plc held its H1’17 Investors and Analyst Conference Call Earnings Presentation. Proshare NG participated along with leading market analysts and professionals.

The management of the bank in its IR presentation described the macro-economic overview for  Nigeria as gradually growing as the economy is slow but recording steady recovery. Also, an overview of the Nigerian market and regulatory environment was given as the key developments in selected African markets.

A snapshot on the bank’s half year 2017 financial results revealed that it recorded 34.5% growth in Gross Earnings; 58.1% growth in Net Interest Income; 39.2% growth in Net Operating Income; 65.5% growth in PBT and 56.2% growth in PAT while its cost to income ratio stood at 58.6% in H1 2017 from 64.2% in H1 2016.

The splitting of the bank’s gross earnings by geography revealed that Nigeria contributed 66% of the earnings while Africa and RoW contributed 34% of the earnings. Similarly, in terms of total assets, Nigeria contributed 71% while Africa and RoW contributed 29%.

In a nutshell, below are the key takeaways from the H1 2017 earnings presentation made by the bank’s management;

· The bank expects its net interest margin to be greater than 7% at the end of 2017FY.

· The  bank is connecting Africa and the world through its presence in key African markets and major global financial centres – New York, London and Paris.

· Maintains strong financial capacity – high capitalization (BASEL II capital ratio well above requirement) and strong liquidity.

· It has a sound governance, risk management and compliance culture  and adhere to international best practice; and

The  bank expects its NPL ratio to be at 4% for FY2017.