United Capital Reports N6.7 Billion Profit in Q1 2025 as Revenue More Than Doubles
United Capital Plc has announced impressive financial results for the first quarter ended March 31, 2025, reporting a profit before tax (PBT) of N6.7 billion. This represents a remarkable 64.51% year-on-year (YoY) growth, signaling a strong start to the fiscal year.
Record Revenue Growth
The financial services group saw gross earnings more than double, growing by 113% YoY to N13.10 billion. Notably, this already accounts for over 30% of the Group’s full-year gross earnings in 2024, positioning the company for potentially strong annual performance.
CEO’s Optimistic Outlook
Group CEO Mr. Peter Ashade commented on the performance: “This performance reflects our unwavering dedication to creating wealth, transforming lives, and increasing shareholders’ value.” He credited the company’s strong business model and purpose-driven execution for these outstanding results.
Key Revenue Drivers
The revenue growth was broad-based, anchored on three primary income streams:
- Investment income surged by 491.28% YoY to N6.408 billion
- Fees and commission income rose by 71.71% YoY to N4.461 billion
- Net trading income grew by 138.13% YoY to N1.505 billion
Profitability Metrics
Despite a 209.49% increase in total expenses to N6.994 billion, the Group maintained strong profitability:
- Profit after tax climbed by 64.33% YoY to N5.89 billion
- Annualized EPS improved to N1.31, up 63.75% YoY
Balance Sheet Strength
Key balance sheet highlights include:
- Total assets grew marginally by 1% to N1.72 trillion
- Shareholders’ funds rose by 21% to N161.52 billion
- Total liabilities decreased by 1% to N1.57 trillion
Market Performance
United Capital’s share price showed signs of recovery, closing at N18.25 on April 29, 2025. While still showing a Year-to-Date (YtD) loss of 10.5%, this represents an improvement from earlier declines.
Future Outlook
The Q1 2025 results demonstrate United Capital’s ability to generate strong earnings through diversified income streams and effective balance sheet management. With significant growth in shareholders’ equity and improving financial metrics, the company appears well-positioned to deliver sustained value to investors throughout the year.
Full credit to the original publisher: Nairametrics