We’re Staying Laser Focused On Driving Double Digit Growth- Unity Bank MD

The board of Unity Bank Plc recently presented its audited financials for the year ended December 31, 2022 as well as the unaudited numbers for the first quarter ended March 31, 2023 to the Nigeria Exchange Limited, offering stakeholders hope for improved full-year 2023 performance.
The Q1 numbers showed improved performance with gross earnings rising by 17% to N15.9bn, compared to N13.6bn in the corresponding period of 2022, from which net profit grew by 21% to N1.04bn from N869.2m in the corresponding period of 2022.
Commenting on the financials, the bank’s Managing Director/Chief Executive, Mrs. Tomi Somefun said the new focus is on building back momentum, while staying laser-focused on strategic choices and key growth drivers to push all the indices and elevate growth to double-digit territory.
Already, she noted that “the performance posted for Q1’23 in terms of the PBT, gross earnings, and other key indicators are strong reinforcement of adequate measures being adopted and a testament of our resolve to sustain and equally improve upon the fundamental initiatives adopted to strengthen growth throughout the course of the financial year”, she added.
Continuing, she stressed that “since late 2022, the Bank has begun significant investment in technology and innovation in line with its strategic pursuits to win in the retail space with our focus on digital and lifestyle banking, dynamic product development, and accelerated onboarding.”
As part of Unity Bank’s transformation journey, the CEO said it will double down on investments in the coming months so as to “achieve the aspirations of significantly reducing customer pain points and simplifying customer experience; increasing the rate of customer acquisition; expanding the frontiers of partnerships; and ultimately developing new and sustainable income lines for the bank.”
This, she noted is now beginning to reflect in the key performance indicators despite economic headwinds and volatilities that characterized the operating environment in the 2022 financial year.
According to her, Unity Bank will further give attention to fast-paced process automation, cost and resource efficiency, targeted value chain relationships, and brand visibility as it expands the range of products and services to meet the evolving needs of its esteemed customers.
“There are highs and lows as we look at the gross earnings, with 13.7% growth, increase in liquid assets by 7.5% and deposits recording moderate growth of 1.6%, while maintaining steady growth in profitability”, she noted.
“Overall, the financial statement thus threw up both strong and less optimal points which inform the outlook for our business”, she stressed.
According to the 2022 full year number, Profit Before Tax of N1.1bn, from gross earnings of N57bn, which rose by 13.1% from N50.2bn in the corresponding period of 2021.
A major highlight of the financial year is the robust growth in total comprehensive income to N1.2bn from N744m in the corresponding period of 2021, just as interest and similar income rose by 7.5% to N48.9bn, compared to N43.2bn in the corresponding period of 2021.
Similarly, income from fees and commissions recorded significant growth, rising by 25.7% to N7.68bn from N6.1bn within the period under review, while Profit After Tax for the period stood at N941.4m.
The bank’s loan book expanded by 7.5% to N289.4bn from N269.3bn within the period under review, as customer deposits saw marginal 1.6% growth to N327.4bn, from N322.2bn in the corresponding period of 2021, as the bank pushes for deeper penetration of its retail footprint with the rollout of products targeting different segments of the market.
Analysts are of the view that the growing retail footprint driving the repositioning strategy of the Bank aligns with the market expectations, which is also reflected in the increasing uptake of the Bank’s offering.