United Capital Plc recorded double-digit growth in turnover and profitability for the 2020 financial year, Checkout Magazine learnt.
According to a published audited report and account of United Capital for the year ended December 31, 2020 released at the Nigerian Stock Exchange (NSE), United Capital recorded turnover by 50 per cent while pre and post tax profits jumped by 61 per cent and 57 per cent respectively.
The board of directors of the investment banking group has earmarked N4.2 billion for distribution to shareholders as cash dividend for the 2020 business year, representing a dividend per share of 70 kobo. The dividend is payable to shareholders whose names appear on the register of members at the close of business on March 5, 2021.
The report showed that gross earnings rose from N8.59 billion in 2019 to N12.87 billion in 2020. Net operating income grew by 58 per cent from N7.90 billion to N12.49 billion in 2020. Profit before tax leapt from N4.95 billion in 2019 to N7.95 billion in 2020. Profit after tax jumped from N4.97 billion to N7.81 billion. Earnings per share rose correspondingly by 57 per cent from 83 kobo in 2019 to N1.30 in 2020.
The balance sheet also showed considerable improvements with total assets rising by 48 per cent from N150.46 billion in 2019 to N224.75 billion in 2020. Total liabilities grew by 52 per cent to N198.32 billion as against N130.88 billion in previous year. Shareholders’ fund rose by a quarter from N19.59 billion in 2019 to N24.43 billion in 2020.
Group Chief Executive Officer, United Capital Plc, Mr. Peter Ashade said the impressive returns amid the unprecedented environment worsened by the pandemic during the 2020 financial year strengthen the outlook of the company.
“Despite the tough operating environment, all stakeholder groups can be assured of our commitment to providing best-in-class solutions to diverse client segments and delivering superior returns to shareholders even as we work with regulatory authorities to strengthen the broader financial system as the domestic economy continues on the path to recovery in the year 2021,” Ashade said.
