Union Bank Posts N11.3bn In Half Year, 2020
Union Bank of Nigeria Plc, first half year ended June 30, 2020, result posted showed a profit before tax of N11.3 billion, which was higher than N11.2 billion in the first half of 2019.
The bank also reports gross earnings of N79.9 billion, a 10 per cent rise from N72.42 billion recorded in the first half of 2029.
According to the lender’s statement, interest income rose six per cent to N57.2 billion as against N53.8 billion also driven by increase in earning assets, while customer deposits rose 12 per cent to N995.2 billion as against N886.3 billion in December 2019, among other statistics.
” The slowdown limited growth in key income lines including fees and commissions and cash recoveries. However, we continue to reinforce the use of our digital channels with 90 per cent of transactions completed digitally in first half 2020 as against 57 per cent in first half 2019), which translated to a 42 per cent growth in e-business fees from N2.5 billion in first half 2019 to N3.6 billion in first half of 2020.
“We deliberately grew our loan portfolio both in the retail and commercial/corporate banking space resulting in a six per cent growth in interest income.
” Given the constrained operating environment, we continue to proactively monitor our loan portfolio and support our customers in line with the Central Bank’s guidance on forbearances. Nevertheless, growing our loan book remains a strategic focus area for us for the rest of the year as we continue to identify new opportunities emerging in the face of the pandemic,” the bank said.
Speaking on the H1 2020 numbers, Chief Financial Officer, Joe Mbulu said:“Our H1-2020 Bank numbers reflect the performance of our continuing operations1 for the period. Notwithstanding increasing inflation and unexpected costs related to the changes to our operating structures during COVID-19 lockdown, we have been able to keep operating expenses under control during H1 2020. This is indicative of the strength of our Long-Term Efficiency Acceleration Programme (LEAP) which continues to optimise key cost lines.”
