Union Bank of Nigeria has reported a profit before tax of N79.8 billion and gross earnings of N333 billion for the half year ended June 30, 2024, representing a 20% growth in profit before tax and 58% growth in gross earnings compared to the corresponding period in 2023.
Despite the challenging environment following the Central Bank of Nigeria’s intervention in January 2024, the bank has demonstrated resilience and commitment to delivering results.
The bank’s Managing Director and Chief Executive Officer, Yetunde Oni, attributed the success to the bank’s strategic priorities, which include scaling its digital play, driving hypergrowth in target sectors, optimizing wholesale bank structure, aggressively ensuring recoveries of past-due obligations, and orchestrating a robust ecosystem play through existing and new partnerships.
The bank has also launched its digital lending platform, UnionKash, which has enabled over 14,000 customers to access soft loans since its launch in the first quarter of the year.
Union Bank’s focus on building a controlled, compliant, and profitable organization has positioned it to capitalize on emerging market opportunities.
Acting Chief Financial Officer Oluwagbenga Adeoye noted that the bank’s financial performance is a testament to its resilience, despite the slow start to the year due to high inflation, exchange rate volatility, and increased power costs.
Union Bank has implemented cost-efficiency initiatives to maintain a cost-to-income ratio below 50%.
In the second half of the year, the bank is expected focus on improving efficiency and driving non-interest income.
With a strong governance framework, regulatory compliance, and sustainable profitability, Union Bank is confident of finishing the year strong and sustaining returns on equity and assets.
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