United Bank for
Africa (UBA) Plc held its 53rd Annual General Meeting (AGM) on Friday, 24th
April, 2015 at the Oriental Hotel in Lagos where shareholders commended the
board and management over the 2014
performance of the Bank.
Shareholders also approved
the annual reports and accounts presented by the Board and all resolutions
presented at the AGM, including the dividend proposal.
Shareholders were
particularly excited at the increasing penetration of the Bank in other African
countries, praising the emergence of UBA as the best bank in Cameroun and
Senegal for the fourth and third consecutive year respectively.
The shareholders
agreed with the Board’s recommendation of N0.10 dividend per share, which
allows the Bank to retain much of its earnings for the benefit of growing its
business in the years ahead.
They expressed optimism in the ability of the
Bank to deliver sustainably high returns to them over the medium to long
term.
A cross section of UBA Board members at the AGM
"I
congratulate the board appointment of Tony Elumelu as the chairman. He has
proven himself as a dogged businessman and we know he will preserve and enhance
the bank’s corporate governance practices. I am also happy with the bank’s
performance, I have no doubt that it will continue to improve,” said Mukhtar
Mukhtar, one of the bank’s shareholders.
Another
Shareholder, Alhaji Kabiru Tambari praised Management for focusing on both the
short and long term growth of the bank, saying that shareholders are not only
interested in the profit the Bank makes this year but also in the ability of
the Bank to sustain its leadership position over the long term.
The Chairman, Board
of Directors of UBA Plc, Tony O. Elumelu, CON, also thanked shareholders for
their support and reiterated the commitment of the Board and Management in
sustaining the leadership and dominant position of UBA on the continent.
He also said that
UBA will adhere strictly to the best practice in corporate governance. Elumelu explained
that the bank’s dividend policy in the current financial year was guided by the
need to be prudent.
Shareholders at the UBA AGM
“Though UBA is
adequately capitalized with capital adequacy ratios in excess of regulatory
requirement, we proactively raised additional capital during the year to further
boost our capital base and it would not have been prudent to pay so much dividend after raising capital from the market. Shareholders should however
expect higher dividend in future” said Elumelu.
Speaking on the
bank’s financial performance, Elumelu said, “we recorded a gross earnings of
N290 billion in the year, an appreciable growth of 10% over our performance in
2013. This improved performance was buoyed by the increased volume of
transaction across all our service channels and growing share of our customers’
wallet. Notwithstanding the relatively high cost of doing business in Africa in
the year, we remained prudent in our operations, thus ensuring our
profitability in the year. Given increased extraction gains from our unique
Pan-African platform, we are optimistic on delivering a stronger performance in
2015.”
Mr. Tony Elumelu is
also optimistic about the bank’s pan-African operations, especially as the
threat of Ebola virus eases.
He disclosed that
the bank donated towards the fight of Ebola in countries where it operate, as a
responsible corporate entity that is committed to the development of the host
communities.
“It is important to
note that we didn't close shop in any of the Ebola affected countries
throughout the period of these crises and none of our staff was affected, given
the proactive measures put in place by the Management of the Bank” Elumelu told
shareholders.
Phillips Oduoza,
the Group Managing Director and Chief Executive Officer of UBA Plc, also affirmed
that UBA is gaining critical mass across
the African continent and the benefit is fast reflecting in the contribution of
the African subsidiaries to the Group’s profit.
“In 2014, the
African subsidiaries contributed one-fifth of our earnings, a unique
diversification benefit which UBA offers its shareholders. We will profitably
and prudently grow our market share in all the 19 African countries (including
Nigeria), where we operate, as we look forward to delivering superior returns
to our shareholders” Oduoza said.
United Bank for
Africa Plc is one of Africa's leading financial institutions offering banking
services to more than 8 million customers across 700 branches in 19 African
countries and 3 global financial centres. With presence in New York, London and
Paris, UBA connects people and businesses across Africa and the rest of the
world through retail, commercial and corporate banking, innovative cross border
payments, trade finance and remittances.
