United Capital Plc has announced its unaudited financial results for the second quarter ended June 30, 2025, posting a Profit Before Tax (PBT) of N7.06 billion, representing a 42.24% year-on-year (YoY) growth.
This strong Q2 performance pushed half-year PBT to N13.79 billion, up 52% YoY compared to N9.1 billion reported in H1 2024.
Gross earnings for the second quarter rose by 18.33% YoY to N10.63 billion, taking the H1 2025 gross earnings to N23.76 billion—more than 50% of the Group’s total revenue for the entire 2024 financial year.
Reflecting confidence in its performance and outlook, the Board of Directors declared an interim dividend of N0.30k per 50 kobo ordinary share, amounting to N5.4 billion.
The dividend is subject to applicable withholding tax and will be paid to shareholders whose names appear on the Register of Members as of August 11, 2025.
Commenting on the results, Group Chief Executive Officer, Mr. Peter Ashade, stated:
“I am pleased to inform all stakeholders that United Capital Plc ended the first half of the year on a strong and positive note, continuing our track record of excellence and strong financial performance, as demonstrated by our remarkable earnings growth and robust performance across key financial metrics, despite the prevailing macroeconomic challenges and market volatility.
During the period under review, we recorded significant financial growth, with gross earnings increasing by 57% year-on-year to N23.76 billion. Profit before tax grew by 52% year-on-year to N13.79 billion, while profit after tax rose by 54% year-on-year to N11.89 billion.”
Key drivers and highlights
The Group attributed the impressive top-line performance to its strong execution capability and enhanced risk management framework.
A deeper dive into the Q2 report shows that fees and commission income remain a key driver, contributing over 64% of total gross earnings during the quarter.
Additionally, operating profit was buoyed by both the revenue growth and moderated expense growth, especially in Q2, pushing operating profit to N6.5 billion.
Balance Sheet:
As of June 30, 2025, United Capital Plc reported a balance sheet size of N1.59 trillion, reflecting a 7% decline from the N1.70 trillion recorded at the end of December 2024.
On the liabilities side, total liabilities dropped 9% year-to-date to N1.42 trillion, down from N1.57 trillion in December 2024.
According to the company, this decline was largely due to a 2% reduction in borrowed funds and a significant 75% decrease in other liabilities.
However, managed funds—a key component of the group’s business—rose by 10%, from N846.60 billion to N932.27 billion.
One of the standout positives in the balance sheet is the growth in shareholders’ equity, which rose by 25% in just six months to N166.91 billion, up from N133.50 billion in December 2024.
This growth was primarily driven by a 7% increase in retained earnings and a 36% rise in the fair value reserve—an indication of stronger asset revaluations and earnings retention.
In line with this, the Group’s return on equity (ROE) improved significantly, rising 15% year-on-year to 15.83% in H1 2025.
Other key highlights: (Q2 2025 vs. Q2 2024)
- Investment income: N3.143 billion -12.92% YoY
- Fees and Commission income: N6.889 billion +84.90% YoY
- Profit after tax: N5.996 billion +44.45% YoY
- Managed Funds: N932.271 billion +10.12%
United Capital’s share price appears to be on a recovery path, recording a year-to-date gain of 3.43% as of July 25, 2025, after posting a 6.92% decline in H1 2025 and an 11% loss in 2024.
The stock closed at N21.10. This market recovery aligns with the company’s forward-looking stance.
In its outlook statement, United Capital reaffirmed its confidence in the future, stating:
“As we look ahead to the second half of the year, we remain focused and firmly committed to sustaining this strong performance.
With a solid foundation, a clear strategic direction, and our retail and Pan-African play in full force, United Capital is well-positioned to continue delivering superior returns to shareholders and providing best-in-class solutions to all our stakeholders.”
