Unity Bank reports N59.3bn gross earnings

Unity Bank Plc recorded gross earnings of N59.3bn for the full year ended December 31, 2023, representing a growth of 3.84 per cent year-on-year.

In its audited financial statements submitted to the Nigerian Exchange Limited on Tuesday, the bank also reported a 23 per cent increase in customer deposits to N402.9bn from N327.4bn.

Other highlights of the full-year results include total assets, which stood at N472.5bn, and net fee and commission income of N5.2bn.

In the period under review, interest income grew by 9.6 per cent to N53.7bn from N48.8bn in the corresponding period.

Commenting on the results, the managing director/chief executive officer of Unity Bank Plc, Oluwatomi Somefun, said the bank had earlier issued a profit alert reflecting revaluation losses arising from the naira devaluation.

She attributed the losses to “the acute shortage of forex that created an inclement business environment and, on the aggregate, set in an economic headwind.”

She, however, noted that “in the full-year statement, this has bottomed out, and the key performance indicators are rebounding from the low level of growth and negative trends that characterised the year.”

According to her, “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 recapitalisation plans, an aggressive drive for asset creation, product innovation, or digital banking.”

She added that the bank has the right indicators to reclaim lost ground, innovating with the development and soon-to-be-launched omnichannel digital app to improve reliability and customer experience and support diverse product functionality, which will impact earnings, income, and profitability.

As part of its recapitalisation strategy, Unity Bank secured the approval of the Central Bank of Nigeria for a business combination with another financial institution. The bank described the development as a milestone in its growth plans, stating that the partnership is built on a shared vision to redefine the banking experience.

The PUNCH reported that Unity Bank Plc has projected a N5.2bn post-tax profit in the third quarter of 2024.