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BIG STORY

UBA Records Significant Growth In Revenue, Profit And Key Metrics, With A PBT Of N404bn

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  • Further Demonstrates Pan-African and Global Growth
  • Declares Interim Dividend of 50k per share.
  • Gross Earnings Rises to N981.78 billion.
  • Bank’s Total Assets Hits N15.38 trillion.
  • Shareholders’ Funds at N1.712 trillion.

 

Africa’s Global Bank, United Bank for Africa (UBA) Plc, delivered an outstanding performance for the half year ended June 30, 2023, as announced in its audited financial report.

The results released to the Nigerian Exchange Limited (NGX) on Tuesday showed that the Group recorded double and triple-digit growth across its major income lines, as it continued to show substantial progress in increasing the contribution and market share from its subsidiaries in Africa and globally.

Specifically, at the end of the first two quarters of the year, and despite the tough global macroeconomic backdrop and geo-political challenges in

Africa, UBA Group reported a profit before tax of N404 billion, representing an extraordinary increase of 371 per cent, when compared to N85.75 billion recorded in the first half of 2022. This translated to an annualised Return on Average Equity of 57.7 per cent as against 17.1 per cent a year earlier.

In addition:

• The results also showed as of June 30, 2023, a profit after tax (PAT) of N378.24 billion, representing a leap of 437.8 percent over H1 2022.

• Operating Income grew by 206.6 per cent to N783.96 billion in June 2023; higher than N255.67 billion reported a year earlier.

• The Group delivered a 164 per cent growth in its Gross Earnings which rose to N981.78 billion as at June 2023, up from N372.36 billion recorded last year in June 2022.

• Total Assets continued a strong upward trajectory, rising above the N15trn mark, as it hits N15.38 trillion, representing a 41.7 per cent leap up from N10.86 trillion recorded at the end of last year.

• Customer Deposits also rose by a sharp 42.4 per cent to N11.14 trillion in the period under consideration; as against N7.8 trillion recorded at the end of 2022.

• Shareholders’ Funds increased to N1.712 trillion reflecting the Group’s strong capacity for internal capital generation.

In line with the Group’s culture of paying both interim and final cash dividends, the Board has approved an interim dividend of 50k per share, which represents over 150% increase over the prior year.

UBA’s Group Managing Director/Chief Executive Officer, Mr. Oliver Alawuba commenting on the results said the exceptional performance underscored the Group’s commitment to consistently deliver value to its shareholders; he added that the Group made progress in digital payments, retail penetration and also benefitted from the effect of revaluation gains, arising from the harmonization of foreign exchange rates at the different access windows in Nigeria.

He said, “The Group recorded strong double-digit growth in revenues and profits from its operations, the result also reflects the effect of sizeable revaluation gains, arising from the harmonization of currency exchange rates in Nigeria. Our reporting currency found a new exchange level at about N756 to 1US$ as of 30 June 2023, compared to N465 at the beginning of the year. The results again demonstrate the benefits of our long-held diversification strategy across Africa and globally. The growth of our international business, most recently in the UAE, only reinforces this earnings quality.

Continuing he added, “Our business is on a steady growth trajectory, as we further strengthen our risk management traditions and practices necessary technology investments to deliver premium service to our customers. We have also continued to finance landmark projects in critical sectors of the economies across Africa, facilitating intra-Africa trade with our valuable offerings and provide a versatile last-mile distribution network for Africa-bound donor and multilateral agency funds.”

“The three core geographical pillars of our business (Nigeria, Rest of Africa and Rest of the World) are making strong contributions to the Group profit, further justifying our global strategy and business positioning across Africa, UAE, France, UK and USA, and demonstrating the benefits of positioning UBA as the financial intermediary for Africa and the rest of the world.” Alawuba said.

On the plans for the rest of the year, Alawuba said, “As we approach the last quarter of the year, the Group remains strategically positioned to sustain the strong performance, consolidating on H1 2023 results, to deliver superior returns to our esteemed shareholders.”

UBA’s Executive Director Finance & Risk, Ugo Nwaghodoh, said the half year 2023 financial numbers reflect an excellent performance across key metrics, as the bank diligently executes its strategic priorities.

“Our HY2023 financial numbers reflect excellent performance across key metrics, as we diligently execute our priorities for the year. Annualized return on average equity at 57.7% was bolstered by improved operating income and revaluation gains.” he explained.

Nwaghodoh also pointed out that the Group maintains robust capital buffers to support business growth and loss absorbency. The Group’s shareholders’ funds stood at N1.7trillion, with a capital adequacy ratio of 36.4%”.

UBA is a leading pan-African financial institution, offering banking services to more than thirty-seven million customers across 1,000 business offices and customer touch points in 20 African countries. With presence in New York, London, and Paris and now the UAE, UBA is connecting people and businesses across Africa through retail, commercial and corporate banking, innovative cross-border payments and remittances, trade finance and ancillary banking services.

BIG STORY

Assault: Abia Rep, Alexander Ikwechegh, Trial Begins November 8

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A Kuje Magistrate Court has set November 8 for the trial of Alexander Ikwechegh, a House of Representatives member representing Abia State, after granting him N500,000 bail.

Ikwechegh, who was arraigned on Wednesday, before His Worship, Abubakar Umar Sai’id, for allegedly assaulting a Bolt driver, Stephen Abuwatseya, at his residence in Abuja, pleaded not guilty to the charges brought against him.

The Inspector General of Police, Kayode Egbetokun, arraigned Ikwechegh on three counts bordering on abuse of office, assault and threat to life.

After taking his plea, the lawmaker’s counsel proceeded to make an oral application for bail, which was granted by the court.

The magistrate said, “The court will grant the defendant a bail set at N500,000, with two sureties in like sum. The sureties must reside within the court’s jurisdiction and provide utility bills as proof of residence.”

The court proceeded to adjourn the hearing in the matter till November 8.

A video of Ikwechegh allegedly assaulting the Bolt driver had gone viral on social media on Monday.

In the video, Ikwechegh can be seen repeatedly slapping the driver.

Aside from the slaps, the lawmaker can be heard threatening the driver and assuring him of how he can make him disappear without a trace.

Meanwhile, a civil society organisation, Rule of Law and Accountability Advocacy Centre, in a statement, on Wednesday, condemned Ikwechegh’s action and described it as “a glaring example of abuse of power” most common with politicians.

The statement signed by RULAAC’s Executive Director, Okechukwu Nwanguma, said the lawmaker’s action was a shame not only on him but also on every member of the House of Representatives.

He stated, “The recent incident involving a federal lawmaker, Alex Ikwecheghi’s brutal treatment of Uber driver, Mr Stephen Abuwatseya, is a glaring example of the abuse of power that permeates Nigeria’s political landscape.

Ikwechegh’s actions, including verbal and physical assault, as well as intimidation of the victim, reveal a profound lack of humility and respect for the rights of others that should be expected from someone in a public office.

“This incident not only shames Ikwechegh but also reflects poorly on the House of Representatives, the police, and the broader political system.

The indiscriminate use of power to silence and control vulnerable citizens showcases a troubling trend among officials who seem to operate above the law.

The complacency of the police in this matter raises serious concerns about their integrity and commitment to justice, as they appear more willing to serve influential individuals than to uphold the rule of law.

“While the House of Representatives’ decision to investigate this behaviour is a positive step, it remains to be seen whether meaningful accountability will follow.

Historical precedents suggest a risk of sweeping the issue under the rug once public outrage subsides, which would do little to repair public trust in governance.”

Nwanguma noted that the societal implications of the incident were dire as it “transcends the individual and speaks to a culture of impunity that must be addressed,” imploring that justice must not only be served for Abuwatseya but also the many unnamed victims of similar abuses.

“This case must serve as a catalyst for change, leading to reforms that prioritise respect for human rights and the rule of law in Nigeria”, he stated.

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BIG STORY

JUST IN: Veteran Nollywood Actor, Charles Olumo Agbako Dies At Age 102

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Veteran Nollywood actor, Abdulsalam Sanyaolu, popularly known as Charles Olumo and “Agbako”, is dead.

His colleague, Jide Kosoko, announced “Agbako’s” demise in a post on his Instagram page on Thursday.

However, Kosoko failed to reveal the circumstances surrounding “Agbako’s” death.

The movie star wrote, “Good night ooo, Baba Charles. a.k.a “Agbako”, 102 years, “ba wasa ba”. R I P”

“Agbako” was born on February 19, 1923, in Abeokuta, Ogun State.

The thespian initially worked as a mechanic and amateur boxer before embarking on his acting career in 1953 at the Apostolic Church in Mushin, Lagos State.

Over the decades, “Agbako” has become a household name, especially in the Yoruba film industry, known for his roles in numerous films like ‘Taxi Driver’, ‘Jagun’, ‘Amin Orun’, ‘Aiye’, ‘Jayesinmi’, ‘Soworo Ide’, and ‘Igbo Dudu’.

His career, spanning over four decades, showcases his versatility and enduring passion for acting.

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BIG STORY

Striking Varsity Workers Threaten Showdown As Federal Government Rebuffs Talks

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The Joint Action Committee of the Non-Academic Staff Union of Educational and Associated Institutions and the Senior Staff Association of Nigerian Universities has declared that the ongoing strike is “a long-term battle” involving high-ranking university officials such as vice-chancellors, bursars, and registrars.

The JAC of SSANU and NASU began an indefinite strike on Monday due to the withholding of their salaries for four months.

Since then, activities in universities nationwide have come to a halt.

In an interview (with The Punch) on Wednesday, SSANU National President Mr. Mohammed Ibrahim confirmed that top university officials, including vice-chancellors, bursars, and registrars, have not received salaries for four months.

He emphasized that universities would remain “completely shut down” until the withheld salaries were paid.

Ibrahim further noted that compliance with the strike is widespread across all universities.

He revealed that the government has made “no invitation or any form of interference” regarding the strike.

“It is a long-term battle because this strike also involves vice-chancellors, bursars, registrars, and other senior administrators who were not paid,” he stated.

“The impact is significant, and no one from the government has reached out to us. We have withdrawn our services, and our members are resolute they will not return to work until all salaries are paid.”

According to him, compliance is “encouraging,” achieving “98 per cent adherence.”

“We have achieved 98 per cent compliance with the strike; it is a total strike if you look around. The remaining two per cent are those who held their congress today, and they will join fully tomorrow,” he explained.

Both Ibrahim and the Vice President of SSANU, Abdussobur Salaam, noted there had been no official government response on the strike.

The previous Minister of Education, Prof. Tahir Mamman, was recently relieved of his position, with Dr. Tunji Alausa set to assume the role. This transition follows President Bola Tinubu’s directive that former ministers must hand over their offices by October 30.

Prof. Mamman was among five ministers dismissed by the President after a Federal Executive Council meeting on Monday.

A primary issue awaiting the new minister, Dr. Alausa, upon taking office is the SSANU and NASU strike.

Salaam mentioned there has been “no official communication from the government regarding the ongoing strike by the union.”

“There’s no update on the ongoing strike, it continues. Some informal contacts were made between the minister of state for education and our union executives, but there’s been no real progress, just an informal appeal,” he said.

“This issue has persisted for a long time, with repeated promises that have not been fulfilled.”

“All our ultimatums have expired, and we still haven’t received any alerts. The recent invitation was just an informal call on the phone. We urge the authorities to take decisive action; we have come too far and can no longer accept empty promises. If we don’t get the alerts we won’t back down,” Salaam asserted.

A statement on Sunday, signed by SSANU National President Ibrahim and NASU General Secretary Peters Adeyemi, noted that the ultimatum given to the Federal Government regarding the withheld salaries had expired by midnight on Sunday.

The unions demand the payment of their four-month withheld salaries, improved remuneration, earned allowances, and implementation of the 2009 agreements with the government.

Additionally, on Wednesday, the National Association of Academic Technologists (NAAT) announced a nationwide protest over its withheld five-month salaries and unfulfilled agreements with the Federal Government.

NAAT plans to picket the Ministry of Finance on November 14 due to the lack of action on the President’s directive to pay withheld salaries.

The protest is scheduled to begin at midnight on November 6, 2024, with all union branches in universities, polytechnics, and colleges of education mobilizing to advance their demands.

NAAT President Ibeji Nwokoma, who declared the protest after a National Executive Council meeting in Abuja, issued a two-week ultimatum beginning on October 30, 2024, as a final opportunity for the Federal Government to address their grievances.

At a media briefing in Abuja, Nwokoma outlined longstanding demands, including payment of five and a half months of withheld salaries and full implementation of a 2009 agreement with NAAT.

He said the agreement includes key items like allowances for academic technologists, provisions for student training programs, and improved staff-to-student ratios.

NAAT urged the government to release funds for upgrading university laboratories and to address broader issues like underfunding and the increase in public universities.

The union had previously given a three-week ultimatum on September 30, 2024, which expired on October 21.

According to Nwokoma, the ultimatum concluded without acknowledgment from government agencies, including the Federal Ministries of Education and Labour and Employment.

NAAT expressed frustration at the government’s “insensitivity,” citing the President’s recent approval of withheld salaries that, according to NAAT, had yet to be implemented by the Ministry of Finance.

The NAAT president announced that within the two-week period, local branches would convene congresses to conduct a referendum on potentially escalating the protest into a full strike.

He warned that if the government failed to act by November 13, 2024, NAAT would begin an indefinite strike, potentially impacting academic schedules and crucial research activities across the higher education sector.

A prepared statement read, “It is quite unfortunate and regrettable too, that despite the President Bola Ahmed Tinubu’s waiver and approval to pay five-and-half month salaries owed NAAT members, the refusal by the Minister of Finance and Coordinating Minister of the Economy to effect this approval raises more questions than answers on the true commitment and sincerity on the part of the Federal Government in resolving the issues.”

“Several efforts were made in the past including a series of letters, protests, visits, notices of ultimatums and several Memorandum of Understanding (MoUs) freely entered between NAAT and Federal Government (i.e MOU of 2017, 2020, 2021 and 2022) as the result of efforts by Federal Ministry of Labour and Employment as conciliator of the Federal Government but all to no avail.”

“Consequent upon the above, the union, having reviewed the situation critically, decided to give the Federal Government an additional two (2) weeks ultimatum, with effect from 30th of October 2024.”

“Meanwhile, the National Executive Council has directed all her branches in universities, polytechnics and colleges of education to hold a nationwide protest to drive home our demands.”

“Within the two-week ultimatum, branches have been directed to hold congresses and conduct a referendum to decide if the union will proceed on strike once the 14-day ultimatum expires on the 13th of November 2024.”

“If at the end of the 14-day ultimatum no positive response from the government, the union will embark on a national protest which will culminate into a total and indefinite strike without recourse to government.”

“It is hoped that the government will avail itself of this window to resolve the issues on the ground, with the view to averting any industrial action.”

“This decision is in line with our concern for the tertiary education system so as not to disrupt the academic calendar which will eventually affect research and practical teaching; laboratory, workshop, farm and studio practices and the attendant monumental loss of resources.”

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