United Capital Plc has released its unaudited financial statement for the second quarter ended 30th June 2023.
The Group reported a gross income of N11.01 billion for the period, representing 21% increase compared to the N9.11 billion recorded during the same period of the previous year.
The revenue was boosted by interest income and also trading income which increased by 24.36% and 137.6% respectively compared to what was recorded in the corresponding quarter last year.
High Operating Cost
During the period under review, total expenses increased by 41.38% while there was increase in personnel expenses.
The company paid 20.34% more salaries than they did in the same period last year as staff cost increased to N1.31 billion from N1.08 billion last year.
Other operating expenses such as rent, cost of equipment, management fees and other administrative expenses also went up by 69%.
The increase in expenses had impact on bottom line profit as Profit After Tax increased marginally by 5.7% to close the period at N4.69 billion from N4.43 billion recorded in same period last year.
See the summary of the Q2 2023 result below:
Gross Income
- 2023 Q2: N11.01 billion
- 2022 Q2: N9.11 billion
- Change: 20.85%
Investment income
- 2023 Q2: N4.96 billion
- 2022 Q2: N3.99 billion
- Change: 24.31%
Total Operating Expenses
- 2023 Q2: N5.74 billion
- 2022 Q2: N4.06 billion
- Change: 41.38%
Profit before tax
- 2023 Q2: N5.54 billion
- 2022 Q2: N5.24 billion
- Change: 5.72%
Profit After Tax
2023 Q2: N4.69 billion
2022 Q2: N4.43 billion
Change: 5.87%
The result is not impressive.
United Capital is resilient.
The subsequent performance up to year end may surpass that of the Q2.
The Board members are prudent in the management of the company.