Shareholders of United Bank for Africa (UBA) Plc have approved the Board of the bank’s proposal to pay a dividend of N1.10 per share for the financial year ended Dec. 31, 2022.
The shareholders gave their approval at the bank’s 61st Annual General Meeting (AGM) held virtually on Thursday.
The bank had earlier paid an interim dividend of 20 kobo per share during the 2022 half year.
It also declared a dividend of 90k at the end of the 2022 financial year, bringing the total to N1.10 per share.
Commenting, a shareholder of the bank, Mr Faruk Umar, commended the management of UBA for the excellent results which culminated into a good dividend pay-out.
“I am very impressed by the growth in our bank’s earnings which is now very competitive and shows that our share price is currently grossly undervalued.
“We are happy that the bank’s presence is strengthened with its widespread into the African continent and sure that the dividend would increase next year,” he said.
Another shareholder, Mr Olatunde Akinade, lauded UBA for the impressive performance and its management for encouraging gender equality by allowing more female representation on its board.
“We are happy to see that we have a higher female representation on our board, even higher than their male counterparts.
“It shows that UBA is a listening financial institution that walks the talk when it speaks about female empowerment,” Akinade said.
In his address, UBA Group Chairman, Mr Tony Elumelu, said the bank delivered a gross earnings of N853 billion at the end of 2022 financial year, indicating 29.2 per cent increase on the prior year.
Elumelu said the bank recorded an operating income of N591 billion, representing an increase of 33.6 per cent from N443 billion in 2021.
He stated that the Profit Before Tax increased by 31.2per cent to N201 billion from N153 billion recorded in 2021, while Profit After Tax rose by 43.5 per cent to close the year at N170 billion from N119 billion in 2021.
According to him, in line with the bank’s overall objective of stimulating growth in the real sector, its grew its loan portfolio by N605 billion or 21.4 per cent from the prior year.
“We appreciate all our regulators, customers and shareholders who have partnered with us in this exciting journey of growth.
“In 2023, we hope to do even better than we did in the year 2022. We have therefore prioritised our plans for the year which is all about execution, especially as this year marks a significant milestone for the group,” he said.
Commenting, UBA’s Group Managing Director/Chief Executive Officer, Mr Oliver Alawuba, said the bank was positioned to take Africa to the world and bring the world to Africa through capital, investment funds, trade flows and remittances flows.
Alawuba said that UBA remains on the trajectory of achieving and even surpassing its targets for the 2023 financial year.
He added that the bank would continue to maintain a close focus on cost efficiency and strictly control operating expenses across the group, which included its new strategic investments.
“We are committed to delivering improved performances in the years ahead and also remain focused on simplifying trade and cross-border payment across the continent.
“With UBA is one of the leading banks championing the Pan-African Payment and Settlement System (PAPSS).
“An AfCFTA agenda and brainchild of Afrexibank which is currently operating in six pilot countries in West Africa – Nigeria, Ghana, Sierra Leone, Guinea Liberia and Gambia,” Alawuba said.
UBA provides retail, commercial and institutional banking services, leading financial inclusion and implementing cutting edge technology and operates in 20 African countries, including the United Kingdom, the United States of America, France and the United Arab Emirates.