Union Bank grows gross earnings by 23% in H1 2017

Union Bank of Nigeria has posted a 23 per cent growth in gross earnings for the half year ended June 30, 2017.

The News Agency of Nigeria reports that the bank’s gross earnings for the period under review rose to N73.7 billion against N60.1 billion achieved in the preceding period.

This was contained in the bank’s half year result published by the Nigerian Stock Exchange.

Its profit before tax grew by six per cent to N9.5 billion compared to N8.9 billion achieved in the corresponding period of 2016.

Also, profit after tax stood at N9.2 billion as against N8.8 billion recorded in the previous period.

Interest income inched by 31 per cent to N58.3 billion in contrast with N44. 3 billion recorded in 2016 driven largely by Naira devaluation-fuelled foreign currency loan book growth.

Net interest revenue before impairment rose by per cent to N31.7 billion as against N30.9 billion in H1 2016.

Similarly, interest income was up by 19 per cent to N26.3 billion against N22.2 billion in H1 2016 driven by a reduction in impairment charges.

Emeka Emuwa, the bank’s Chief Executive Officer, was quoted as saying the “bank would continue to focus on enhancement of operational efficiency’’.

Emuwa said: “As our centenary celebrations continue and with the launch of our N50 billion rights issue in the second half of the year, 2017 will remain a very busy year for the bank.

“With our clear focus on enhancing the operational efficiency of the franchise, Gross Earnings grew by 23% in the first half of the year to N73.7 billion, from N60.1 billion in H1 2016.”

He added that in spite of stiff competition, its sales strategy and competitive brand continued to provide positive momentum, with customer deposits growing by 15 per cent to N759.3 billion in the period under review as against N658.4 billion recorded in December 31, 2016.

Emuwa stated that the bank focus in the second half of the year would

centre on rights issue launch.

He said: “We will remain nimble to take advantage of emerging opportunities while improving on service delivery to our customers.”

Emuwa stated that the bank would also focus on optimising funding costs and would continue to keep operating expenses in check, while applying sound risk management practices to minimise impairment costs.