Q1: United Capital Records N1.9bn Revenue, N1.2 bn Profit before Tax

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Goddy Egene

United Capital Plc yesterday reported a revenue of N1.92 billion for the first quarter ended March 31, 2020, showing an increase of 32 per cent from N1.45 billion in the corresponding period of 2019. Operating income stood rose by 40 per cent from N1.35 billion in 2019 to N1.45 billion in 2020.

Profit before tax (PBT) improved by 53 per cent from N770 million to N1.18 billion in 2020, while profit after tax (PAT) rose by 54 per cent from N640 million to N990 million. The company ended the Q1 with earnings per share of 17 kobo compared with 11 kobo in the corresponding period of 2019.

Commenting on the results, Group Chief Executive Officer, United Capital, Mr. Peter Ashade, said the year 2020 has posed a lot of challenges but the company was able to endure the first quarter of the year.

“Thanks to our well-articulated and diligent implementation of our plans set out last year, we were able to deliver a 32 per cent year on year increase in revenue and 53 per cent increase in PBT. This increase was generated basically from our margin on investments and the 55 per cent increase achieved on our fees and commission income as well as a 149 per cent growth in net trading income. Our investment income shrank this quarter due to the drop in returns in the money market.”

“As we work into the coming quarters, we are constantly reviewing our strategy in light of the current global pandemic in the wake of COVID-19. As a group, we were able to invoke our business continue framework which has worked immensely well over the past few weeks as we have been able to stay afloat with our work-force working remotely to ensure the continued operations of our business,” he said.