United Capital posts N21bn profit on gross earnings growth

Investment firm United Capital increased its profit in the nine months ended September 30th by 32 percent to N21.2 billion, from N15.98 billion in the same period in 2024, driven by growth in gross earnings.

This was revealed in the Unaudited Consolidated and Separate Financial Statements for the Period Ended 30 September 2025 filed with the Nigerian Exchange Limited.

The company, which offers investment banking, financial advisory, trusteeship, and fund management, among other financial services, reported gross earnings amounting to N41.54 billion in 9M 2025, compared to N28.17 billion in 9M 2024, a 47 percent increase year-on-year.

This performance was largely driven by growth in fee and commission income (57 percent), investment income (34 percent), and net trading income (185 percent).

Peter Ashade, the group chief executive officer, said this result underscores our resilience and reinforces our strong performance over the years.

“Despite the significant challenges we faced during the period under review, United Capital gross earnings rose by 47 percent year-on-year to N41.54 billion, profit before tax grew by 34 percent year-on-year to N25.01 billion, profit after tax rose by 32 percent year-on-year to N21.17 billion, total assets grew by 10% year-to-date to N1.87 trillion, while Shareholders’ Funds increased by 72 percent year-to-date to N229.91 billion,” he added.

Other operating expenses accounted for the largest share of United Capital’s total expenses, at N17.46 billion in 9M 2025. Personnel expenses followed, at N5.1 billion, and impairment of credit loss amounted to N940 million.

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Despite the challenging economic environment, United Capital recorded a 68 percent growth in its net operating income to N37.60 billion in 9M 2025, compared to N22.34 billion in 9M 2024.

The company’s other income, on the other hand, was negatively impacted by the exchange loss, falling to N1.4 billion from the N4 billion it reported last year.

From a balance sheet perspective, United Capital’s total assets increased by 10% year-to-date to N1.87 trillion as of September 2025, compared to N1.70 trillion as of December 2024. This growth was primarily driven by a 41 percent increase in cash and cash equivalents and a 2 percent increase in investment securities during the period under review.

The company’s managed funds grew by 27 percent year-to-date to N1.07 trillion in September 2025, compared to N846.60 billion in December 2024. This indicates continued trust in the company’s fund management capabilities.

Shareholders’ funds increased by 72 percent year-to-date to N229.91 billion as of September 2025 from N133.50 billion in December 2024, largely driven by 17 percent growth in retained earnings and 107 percent growth in the fair value reserve during the period.

The company’s cash flows for the 9M of 2025 were as follows: Net cash generated by operating activities amounted to N140 billion, net cash generated by investing activities amounted to N73 billion, and net cash used in financing activities amounted to N-46 billion.

As of the end of the period, the company’s cash and cash equivalents amounted to N474 billion.