United Bank for Africa (UBA) Ghana Ltd posted a strong financial performance last year despite the economic headwinds that impacted the entire financial sector negatively.
Overall, the bank closed the year on a note of a significant growth, with its balance sheet up 16%, from GHC5.4 billion in 2021 to GHC6.2 billion in 2022.
The bank also managed to increase its shareholders’ funds from GHC1.13 billion in 2021 to GHC1.19 billion in 2022, a growth rate of 5.2%.
Customer deposits went up by 16% in 2022, reaching GHC4.7billion, up from GHC4.1 billion in the previous year.
Profitability
Although the bank’s profit after tax dropped significantly to GHC59.6 million in 2022 from GHC141 million the previous year, largely as a result of significant impairment losses resulting from the government’s Domestic Debt Exchange Programme (DDEP), its net operating income increased by 51.8%, from GHC449.5 million to GHC682 million in the year under review.
The increase in net operating income, the bank explained, was mainly due to a conscious effort to increase risk assets which saw an increase in gross loans and advances by GHC581.1 million from GHC1,135.1 million to GHC1,716.2 million, a 51.2% increase.
Again, for the second year running, the bank saw strong performance for net trading and revaluation income.
For instance, net trading and revaluation income increased by 70.7%, a remarkable improvement on the 22.8% increment in 2021.
Daily Graphic
