By Ngozi Onyeakusi — Union Bank of Nigeria (UBN) Plc has posted a profit before tax of N12.1 billion for the half year ended June 30, 2019.

This represents a growth of four per cent when compared with N11.7 billion recorded in the same period of 2018.

According to the lender, its gross earnings stood at N76 billion.

This was in contrast with ₦83.3 billion posted half year 2018, indicating a decline of nine per cent due to decrease in average earning assets.

Interest income was down by eight per cent to ₦57.3bn against ₦62.2 billion in the corresponding period of 2018.

Also, net interest income after impairment grew by three per cent to ₦30.5 billion against ₦29.7 billion in H1 2018, supported by an aggressive drive in collections.

Net operating income was slightly down by two per cent to ₦49.6 billion compared with ₦50.9 billion in the previous period of 2018.

Also, operating expenses was down by four per cent to ₦37.5 billion against ₦39.2 billion in H1 2018; reflecting the gains of the bank’s cost optimisation programme.

Commenting on the results, the bank’s Chief Executive Officer, Emeka Emuwa, said it was able to deliver growth in profit before tax in spite of the realities of a challenging economic environment.

“Notwithstanding the realities of operating in a challenging economic environment, the Group delivered a per cent growth in Profit Before Tax to ₦12.1 billion from ₦11.7 billion in H1 2018.

“To sustain growth in earnings, we remained steadfast in our commitment to delivering value and first-class customer experience to all our customers.

“We have developed a concerted and clear plan to increase our risk assets with our loan book growing by eight per cent to ₦563.0 billion compared to year-end 2018.

“The ability to take on more risk is hinged on our robust risk management and debt recovery processes working in sync which led to recoveries of over N5 billion in the period.