UBA remains Nigeria’s most profitable bank in H1 2023

The United Bank for Africa (UBA) is Nigeria’s most profitable bank in the first half of 2023 with an extraordinary profit of N378, 235 billion as profit as against the N70,333 billion it made in the first half of 2022, representing a 437.7 per cent profit growth.

The bank also appears to be the bank that made the most money when it came to its net trading income, excluding interest and commissions, raking in N427 billion.

Zenith Bank Plc came second with a 161.8 per cent increase in profits as its forex business also helped boost profits.

The bank realized N291,731 billion as profits in the first half of 2023 as against the N111,413 it posted in the first half of 2022.

GTB’s profits increased by a staggering 261.6 per cent growth in pre-tax profits also on the back of its strong forex business. Despite the incredible growth in profits, it remained in third position.

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According to the bank’s audited report for the first half of 2023, it posted N280,482 billion as profits in the period under review as against the N77,557 it made in the first half of 2022.

Access Bank secured the fourth rank with a solid 41.8 per cent profit growth, increasing its profits from N95,486 billion in the first half of 2022 to N135, 439 in the first of 2023.

FBNH exhibited a considerable 230.7 per cent profit growth, also mostly due to gains in its forex division. Its 230.7 per cent spike in profits was the third highest in the period under review.

It places 5th on the table as Nigeria’s profitable bank with a first half of 2023 profits of N187,237 billion as against the N56,602 billion it generated in the first half of 2022.

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Stanbic IBTC placed 6th with a N67,919 profit in the period under review as against the N30,669 billion the bank made in the first of 2022, representing about 121.5 per cent growth.

Fidelity Bank’ retained the seventh position with a profit of N61, 995 billion representing 165.9 per cent compared to the N23,307 billion it generated in the first half of 2022.

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FCMB experienced a significant 159.4 per cent surge in profits, making N35,410 billion as profits as against the N13,663 it generated in the first half of 2022.

They are however still rooted at the 8th position as they were last year.

Union Bank of Nigeria shows a modest 7.9 percent profit increase to N12,633 billion as against the N11,711 billion generated in corresponding period.

The profit growth is the lowest in the sector. The bank is also going through a transition period with new owners taking over.

Sterling Bank posted a profit of N10,680 billion in the first half of 2023 as against the N8,013 it posted in the first half of 2022, representing a 33.3 per cent year-over-year profit growth.

The bank retained the last position the same as it did in the corresponding period in 2022.

Much of the rise in profits has been due to reported gains on foreign exchange balances held by the banks through several swaps and hedging instruments held by the banks.