Lagos-based financial and investment services provider United Capital Plc has posted N5.97 billion ($14.53 million) in profit between Jan. 1 and Sept. 30 on the back of triple-digit growth in its fee and commission income.
Figures contained in the company’s recent financial statement revealed that its profit surged by 72 percent from N3.46 billion ($8.42 billion) in the first nine months of 2020 to N5.97 billion ($14.53 million) in 2021, while revenue increased by 60 percent to N11.33 billion ($27.58 million) in the period under review.
United Capital is a financial and investment services company based in Lagos, Nigeria. The financial services company provides services to corporations, governments, high net-worth individuals, and institutional and retail investors across Africa.
The recent surge in the company’s earnings was driven by a 112-percent increase in its fee and commission income, and another 43-percent increase in its investment income.
The strong performance displayed by the Lagos-based financial services provider’s operations led revenue to rise faster than its operating expenses, as the growth in profit margin elevated earnings during the period.
At the end of the nine-month period ending on Sept. 31, United Capital reported that its total assets value have risen by 80 percent since the start of the year from N222.75 billion ($542.06 million) to N400.75 billion ($975.22 million) while its total liabilities increased by 89 percent from N198.32 billion ($482.61 million) to N373.86 billion ($909.78 million).
Peter Ashade, the group CEO of United Capital, stated that the impressive financial performance highlighted its position as a company that provides a wide range of wholesale financing solutions to its clients and funding base.
He added that due to consistent performance over the years, the Nigerian Exchange reclassified the company’s shares from a Low Price Stock to Medium Price Stock in August 2021.
As of press time, Oct. 15, shares in United Capital on the Nigerian Exchange were worth N9.85 ($0.024), 4.23-percent higher than its opening price this morning.
The market value of Ashade’s stake in the company is presently worth N32.66 million ($79,449).