UBA Plc has released its unaudited results for 9M 2025, reporting profit of N537.5 billion, compared to N525 billion for the same period last year, reflecting a 2.33% increase.
The bank also reported gross earnings of N2.5 trillion, up 2.96% YoY in 9M 2025 compared to N2.398 trillion in the same period of 2024, driven by interest income.
Key Highlights (9M 2025 vs. 9M 2024)
- Gross Earnings: N2.47 trillion (+2.9% YoY)
- Net Interest Income: N1.17 trillion (+6.2% YoY)
- Non-Interest Revenue: N310.1 billion (-28.8% YoY)
- Operating Profit (Pre-Impairment): N1.42 trillion (+0.6% YoY)
- Profit Before Income Tax: N578.6 billion (-4.12% YoY)
- Profit After Tax: N537.5 billion (+2.3% YoY)
- Total Assets: N32.49 trillion (+8% YoY)
- Customer Deposits: N23.80 trillion (+8.7% YoY)
- Loans and Advances to Customers: N7.20 trillion (+3.5% YoY)
Key drivers of performance
The significant profit growth was propelled by interest income, which increased by 10.1% to N1.98 trillion.
- A significant portion of UBA’s interest income stemmed from loans and advances to customers, which increased by 3.5% YoY to N7.20 trillion. The growth in the loan book, driven by both corporate and retail customers, contributed to higher interest earnings.
- Investment securities, including both amortized cost and fair value through other comprehensive income (FVOCI) instruments, also contributed substantially to the interest income growth.
Interest expenses rose by 16.27% to N808.72 billion due to higher deposit costs.
- However, the Group maintained a healthy net interest margin, with net interest income still strong at N1.17 trillion, up 6.18%
Non-interest income for the nine months stood at N310.1 billion, a decline of 28.8% compared to N435.8 billion in the same period of 2024.
- This decrease was primarily driven by a significant drop in net trading and foreign exchange income, which fell by 77.3% to N41.4 billion as well as a reduction in other non-interest income.
- However, fees and commission income grew by 4.3%, driven by higher volumes in customer transactions, expansion of lending and credit services, enhanced digital banking solutions, and increased revenues from trade finance and foreign exchange activities.
Impairment charges
Net impairment charge on loans and receivable was N56.89 billion, a significant decline from N123.48 billion in the same period in 2024. This represents a 54% decrease year-on-year.
After accounting for impairment, net interest income stood at N1.11 trillion in the first nine months of 2025. This represents a 2.7% increase from N1.08 trillion in the same period of 2024.
Overall, the reduction in impairment charges played a significant role in enhancing net interest income after impairment, helping the bank maintain strong profitability despite challenges in the non-interest income segment.
This improvement in credit quality positions UBA for sustainable growth in its core lending business.
Balance sheet:
UBA’s total assets increased by 8% to N32.49 trillion, driven by growth in cash and bank balances, loans and advances to customers, as well as investment securities.
- Cash and bank balances rose by N951.0 billion to N9.11 trillion from N8.16 trillion in December 2024.
- Loans and advances to customers expanded by 3.5% to N7.20 trillion.
- Investment securities grew by 8.5% to N13.59 trillion, up from N12.53 trillion in December 2024.
On the liabilities side of UBA’s balance sheet, the increase in total liabilities was driven by several key components:
- Customer deposits rose 8.7% to N23.80 trillion, reflecting continued trust in the bank.
- Shareholders’ funds grew to N4.301 trillion from N3.418 trillion as of December 2024
Market reaction
Following the release of its third-quarter results, UBA’s share price rose to N39.75, reflecting a 1.9% increase from its previous closing price of N39.00. Year-to-date, the stock has gained 16.9%.
