United Bank for Africa Plc has released its interim consolidated and separate financial statement for the third quarter period that ended September 31, 2022.
The report shows that the bank grew its profit by 10.95% to N116 billion, up from N104.5 billion recorded in Q3 2021.
During the period, the bank also grew its interest income by 22.26% to N420.234 billion as against N343.709 billion during the comparable period last year. The increase in interest income was driven by investment securities in treasury bills, bonds and others.
Also, net interest income rose by 23.23% from N229.265 billion to N282.513 billion in 2022.
Meanwhile, interest expenses rose by 20.34% to N137.721 billion, up from N114.444 billion recorded in the third quarter of 2021.
Fees and commission income grew to N138.079 billion in the third quarter of 2022 from N110.982 billion in 2021 on the back of an increase in credit-related fees and income, electronic banking income, and trade transaction income amongst others.
Electronic banking income stood at N47.957 billion, from N41.914 billion in 2021, hence contributing 34.73% of the total fees and commission income.
Electronic banking income represents income taken on transactions processed via electronic channels such as ATM, POS, and mobile banking as well as credit and debit card transactions. On the other hand, trade transaction income entails one-off charges related to letters of credit and other trade businesses, which are excluded from those included in determining effective interest rates on those carried at amortized cost.
Other financial highlights
- Net fee and commission income stood at N82.219 billion from N67.918 in 2021, a growth of 21.05%
- Operating income rose by 23.75% to N414.397 billion from N334.846 billion in 2021
- Profit before income tax was N138.493 billion, from N 123.354 billion the previous year, an increase of 12.27%
- Total operating expenses stood at N262.628 billion, from N206.013 billion in 2021, a growth of 27.48%
