In the 2023 financial year, one of the top retail lenders in Nigeria, Unity Bank Plc, improved its gross earnings by 3.84 per cent to N59.3 billion, with a significant growth in customer deposits, 23 per cent, to N402.9 billion from N327.4 billion in the preceding fiscal year, showing a sustained retail growth and customer confidence.
In the results released to the Nigerian Exchange (NGX) Limited, the bank posted a rise in interest income by 9.6 per cent to 53.7 billion from N48.8 billion a year earlier.
According to the chief executive of Unity Bank, Mrs Oluwatomi Somefun, the bank was able to rebound from the low level of growth and negative trends that characterized the year because of the strategies deployed by the team.
Recall that Unity Bank had issued a profit alert to reflect revaluation loss arising from Naira devaluation which was due to the acute shortage of forex that created an inclement business environment and, on the aggregate, set in an economic headwind.
“As we begin to see the margins being closed, it is an indication that the measures, being taken to revamp all aspects of the business, are being well received by the market: be it workable recapitalization plan, aggressive drive for asset creation, product innovation, or digital banking.
“We will need to covet the improvements and further build upon it. As a corporate brand, we have a lot that is keeping us going: the positive sentiments and optimism, the growing franchise of the business and steady growth in different segments of the retail market across all the geo-political zones of Nigeria,” she stated.
“We have the right indicators to reclaim lost grounds – innovating with the development and soon to be launched an omnichannel digital app to improve reliability, customer experience, support diverse products functionality which will impact earnings, income and profitability,” she added.
The Central Bank of Nigeria (CBN) recently approved a business combination with another innovative bank in Nigeria, marking a significant milestone in the lender’s growth strategy as it advances its recapitalization plans.
This partnership is built on a shared vision to redefine the banking experience for our customers and will drive the transformation of the consolidated entity.
By leveraging Unity Bank’s extensive branch network and strong customer relationships alongside the entity’s digital expertise and commitment to innovation, it aims to create a seamless integration of traditional and modern banking services.
Amid a review of key highlights that support the steady growth of the retail business, analysts are of the view that the bank has continued to reflect a good outlook in terms of perception and confidence in the market, which by and large creates an entity with remarkable resilience whilst investors’ sentiments remain positive.