By Ayomide Otitoju
Retail lender Unity Bank Plc has reported gross earnings of N59.3 billion for the financial year ended December 31, 2023, reflecting a 3.84% year-on-year growth.
In its audited financial statement submitted to the Nigerian Exchange Group (NGX), the bank recorded improvements across key performance indicators, including a 23% surge in customer deposits to N402.9 billion from N327.4 billion, underscoring sustained retail growth and customer confidence.
Key highlights of the results show total assets standing at N472.5 billion, while net fee and commission income reached N5.2 billion. Interest income also grew by 9.6% to N53.7 billion, up from N48.8 billion in the previous year.
Commenting on the performance, Unity Bank’s Managing Director/Chief Executive Officer, Mrs. Oluwatomi Somefun, noted that the bank had earlier issued a profit alert due to a revaluation loss arising from the naira devaluation, exacerbated by foreign exchange shortages and an unfavorable business climate. However, she stated that key performance indicators are now rebounding from the economic headwinds that characterized the year.
“As we begin to see margins closing, it indicates that the measures taken to revamp all aspects of the business—such as our recapitalization plan, aggressive asset creation drive, product innovation, and digital banking initiatives—are yielding positive results,” Somefun said.
She emphasized the bank’s strategy to leverage its growing retail franchise, positive market sentiment, and nationwide presence to sustain its recovery. She further revealed plans to launch an omnichannel digital banking app aimed at enhancing customer experience and driving earnings growth.
In a significant move to strengthen its financial position, Unity Bank recently secured approval from the Central Bank of Nigeria (CBN) for a business combination with another innovative bank in the country. The merger aligns with Unity Bank’s recapitalization efforts and is expected to create a stronger entity by integrating its extensive branch network with the digital expertise of its new partner.
Analysts maintain a positive outlook on Unity Bank’s performance, citing its resilience, growing investor confidence, and strategic initiatives to consolidate its position in Nigeria’s competitive banking sector.
