*As Microfinance Bank grows capital to N5.6b
WorldStage– United Capital Plc has recorded 77 per cent growth in profit after tax to N21.10 billion in the first half of the year from N11.89 billion recorded in the corresponding period of 2025 and 80 per cent growth in profit before tax (PBT) to N24.78 billion as against N13.79 recorded same period of 2025.
The Group Chief Finance Officer, Mr Shedrack Onakpoma, said this was driven by disciplined execution of the company’s growth strategy, improved operational efficiency and sustained investments in digital capabilities.
Onakpoma disclosed this on Wednesday during the company’s Investor Relations Roundtable with the theme “Decoding Performance: Insights into United Capital’s Growth Drivers and Outlook” held in Lagos.
He said the group’s gross earnings rose by 58 per cent to N37.49 billion, reflecting the resilience of its diversified business model and continued execution of its growth strategy.
He added that shareholders’ funds grew by 25 per cent to N187.09 billion, compared with N149.99 billion as of Dec. 31, 2025.
“The numbers tell a story beyond revenue growth and profitability. They reflect how we are building a resilient institution, creating sustainable value across multiple markets and laying the foundation for a lasting legacy,” he said.
Onakpoma said the stronger growth in profit relative to revenue highlighted the group’s operational efficiency and returns on its investments in digital infrastructure.
He noted that the company’s cost-to-income ratio improved to 44 per cent, from 50 per cent in the corresponding period of 2025.
He attributed the performance to growth across its core businesses, with fee and commission income rising to N14.3 billion from N11.3 billion, while investment income increased to N13.8 billion from N9.6 billion.
The finance chief said the group also strengthened its balance sheet by exiting underperforming assets and reducing high-cost borrowings, resulting in improved returns and greater financial resilience.
According to him, cash and cash equivalents increased to 24 per cent of total assets, from 16 per cent at the end of 2025, enhancing liquidity and positioning the group to seize emerging investment opportunities.
He said the interim dividend of 30 kobo per share reflected the company’s commitment to balancing shareholder returns with long-term growth.
Onakpoma reaffirmed United Capital’s commitment to disciplined execution, prudent risk management and sustainable value creation across Nigeria and other African markets.
Speaking on the economic outlook, the Chief Economist of United Capital Plc, Mr Ayodele Akinwunmi, said ongoing reforms by the Federal Government and the Central Bank of Nigeria (CBN) were strengthening macroeconomic fundamentals and creating attractive investment opportunities.
He said rising non-oil exports, increasing diaspora remittances and improved foreign exchange inflows were boosting investor confidence and supporting economic stability.
According to him, exports of refined petroleum products, aviation fuel and fertiliser were diversifying Nigeria’s foreign exchange earnings and easing pressure on the external sector.
“International investors are responding positively to ongoing reforms, while Nigerians in the diaspora are also increasing investments in the country.
“United Capital is actively supporting diaspora remittances and helping investors understand opportunities created by the reforms,” he said.
Akinwunmi also identified Nigeria’s lithium deposits as a strategic asset capable of positioning the country to benefit from the global transition to electric vehicles.
He said the company was engaging investors and corporate organisations to unlock opportunities across the solid minerals value chain through structured investments.
Looking ahead, Akinwunmi projected that interest rates would moderate in the second half of 2026, creating a more favourable environment for business expansion and lower borrowing costs.
He said United Capital expected the Nigerian equities market to deliver about 11.6 per cent growth in the second half of the year, driven by banking, building materials, consumer goods and oil and gas stocks.
He also projected that the naira would remain stable and could appreciate to about N1,360 per dollar by year-end, supported by stronger external reserves, reduced foreign exchange demand and increased capital inflows.
MICROFINANCE BANK
Menawhile, United Capital said that its microfinance bank has grown its capital base from N200 million at inception in 2024 to N5.6 billion, as it pursues a national banking licence and positions for deeper expansion across Nigeria.
The Group Chief Executive Officer of United Capital, Mr Peter Ashade disclosed this during the Group’s Investor Relations Roundtable with the theme “Decoding Performance: Insights into United Capital’s Growth Drivers and Outlook” on Wednesday in Lagos.
Ashade said the bank had applied for a national microfinance banking licence, expressing confidence that it would emerge as a major player in the sector.
“We have applied for a national licence and we are resolved that we will not be onlookers but game changers.
“We want to operate across Nigeria, and we are committed to investing in investor education to deepen financial inclusion and empower more Nigerians,” he said.
He also disclosed that the group’s assets under management had exceeded N2.3 trillion, reflecting its evolution into one of Africa’s leading integrated financial services institutions.
According to him, United Capital is positioning for its next phase of growth through strategic investments in research, technology, governance and Pan-African expansion, with future plans that include the acquisition of a commercial bank.
Ashade said the group had deliberately strengthened its leadership structure and institutional capacity to support its transition from a capital market operator to a diversified Pan-African financial services group.
He said the company recruited a chief economist to deepen its research capabilities and provide investors with credible insights into African economies.
“Research matters because investors want professionals to guide their investment decisions. Today, we do not write only about Nigeria; every week we produce research on Africa,” he said.
Ashade added that United Capital had also created the position of Director for Africa to drive its continental expansion strategy and identify business opportunities across the region.
He said the group’s African expansion was progressing steadily, with operations now spanning 12 countries.
According to him, the company remains disciplined in executing its growth strategy, with every investment guided by a clearly defined strategic framework.
He said United Capital was strengthening its technology, governance framework, workforce and operating model to support its long-term growth ambitions.
“What we see ahead is bigger than where we are today. We are equipping our people, technology, governance and structure because we cannot continue to run business as usual,” he said.
Ashade said the second half of 2026 would witness the launch of several new products and business initiatives designed to strengthen the group’s retail offerings and digital capabilities.
He urged investors to remain confident in the company’s prospects, expressing optimism about stronger earnings and sustained growth in the years ahead.
