21/4/2016/UBA

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22/4/2016/UBA

Following a 3-day Forum which was held in Lagos, Nigeria between April 6 & 8,  2016, United Bank for Africa (UBA) Plc Chairman Mr. Tony Elumelu formally inaugurated a Group Board Meeting as a platform for group integration, bonding and knowledge sharing.

90 participants comprising of the entire Board of United Bank for Africa Plc (UBA), Chairmen and CEOs of UBA subsidiaries in Africa and the United Kingdom, Group Strategic Business and Support Heads, amongst other special invitees and guest facilitators, were in attendance.

The Group Forum serves as an interactive platform for knowledge sharing on issues ranging from Corporate Governance, Institutional History, Board Effectiveness, Brand Projection, Empowerment and Accountability amongst others.

Speaking during the Forum, Elumelu said, “As long term investors and Africa enthusiasts, we are committed to the markets in which we operate and to the wider African economy.  We will continue to work with credible partners and governments across Africa to identify and develop those critical growth poles required for the sustainable development of all African economies”.

The maiden forum coincided with the 54th Annual General Meeting (AGM) of UBA which held on April 8, 2016. Participants were also able to celebrate the Bank’s stellar financial performance and the staff who made this possible at the annual UBA CEO Awards ceremony, which was held the next day.

The Group Board Forum resolved to reposition UBA as the leading pan-African Bank across all key indices – brand equity, human capital, customer service and profitability whilst also inculcating a culture of responsiveness in UBA. Other top of the agenda items included Know Your Customer (KYC) and Anti-Money Laundry (AML) policies and compliance standards across the Group. There was a general agreement among participants that there will be zero tolerance for any regulatory infraction across all operations.

UBA reported credible financial results in 2015 in what all recognize was a challenging macro environment. Gross earnings were N315bn whilst operating profits stood at N69bn. UBA Africa operations currently contribute about 25% of these earnings but are poised to contribute much more and should over time account for as much as 50% of overall Group profitability.

For this to happen “we must inculcate a culture that enforces individual accountability, a high sense of urgency and a customer first orientation in getting things done. Responsiveness and accountability are key attributes of High Performing Organisations” Elumelu said.

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20/4/2016/UBA

Pan Africa financial services group, United Bank for Africa Plc has announced its unaudited results for the first quarter of 2016 showing gross earnings of N74 billion and profit before tax of N18 billion for the three months ended March 2016.

The Group sustained its strong profitability, recording an annualized 20% return on average equity (RoAE).

“I am pleased to report yet another impressive performance for the period. In addition to achieving better pricing on our assets and liabilities, we leveraged enhanced service channels in growing transaction banking volumes and fee income” said Phillips Oduoza, the GMD/CEO of UBA Plc, while commenting on the results.

He explained that the bank recorded an impressive 12% year-on-year growth in net interest income and sustained net operating income at N50 billion for the first three months of the year.

“I am particularly pleased with the increased contribution of the African subsidiaries, which represented 28% of our Group’s top- and bottom- lines in the first quarter of the year”

 He admitted that the first quarter has been challenging, with a host of macroeconomic pressures ranging from inflationary threats to fuel shortages; all of which impacted the business environment.

However, he said UBA remained committed to creating value for its esteemed customers; a strategy which will sustain its strong profitability through the year. More so, the Group remained focused on sustaining the quality of the bank’s balance sheet, Mr. Phillips added.

“We grew the loan book by a modest N13 billion or USD65 million in the quarter and maintained our decent asset quality metrics , 1.7%  non-performing loans (NPL) ratio and 0.4% cost of risk” Oduoza said.

He expressed hope that the implementation of the 2016 budget in Nigeria, the bank’s single largest market, will lead to improved economic activities and business opportunities and he assured that UBA is committed to creating superior and sustainable value for all shareholders by leveraging on its unique Pan-African platform in gaining a fair share of its target markets.

Ugo Nwaghodoh the Group CFO, in his explanation of the bank’s strong performance attributed it to efficiency gains from operations and sales.

“We effectively balanced our growth appetite with profitability, thus creating value.  Year-to-date, we achieved a 40bps improvement in net interest margin (NIM), as we recorded a notable 50bps moderation in funding cost to 3.5%. It is my pleasure to report that low cost, savings and current accounts now represent 80% of our deposit funding” Nwaghodoh explained.

He also said that despite a rise in headline inflation to 12.8% in Nigeria, UBA’s focus on cost efficiency initiatives resulted in a 1.2% year-on-year decline in operating expenses.

“This performance reinforces our ability to sustainably create superior return for our shareholders over the medium to long term”

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