United Capital’s net trading income grew 137.6 percent to N622.6 million in the half year ended June 2023, the highest in the last seven years, according to BusinessDay’s calculations.
Net trading income is the total revenue generated by a firm from its trading activities after deducting the direct costs associated with those activities. It represents the profit or loss made by a company from its core trading operations.
United Capital’s net trading income includes gains and losses arising both on the purchase and sale of financial instruments at FVTPL.
The investment bank’s net operating income stood at N9.26 billion in the half year of 2023, a 14.2 percent increase from N8.11 billion in the half year of 2022.
Investment income grew to N4.96 billion in the half year of 2023, a 24.3 percent increase from N3.99 billion in the similar period of 2022.
Investment income refers to the revenue earned by a company from its investments in various financial instruments, such as stocks, bonds, mutual funds, real estate, or other assets, held for the purpose of generating a return.
United Capital’s fee and commission income dropped by 4.9 percent to N3.67 billion in the half year of 2023 from N3.86 billion in the half year of 2022.
Profit after tax stood at N4.69 billion, a 5.6 percent increase from N4.44 billion while profit before tax stood at N5.54 billion in the half year of 2023, a 6 percent increase from N5.24 billion in the half year of 2022.
United Capital’s gross earnings grew to N11.01 billion in the half year of 2023, a 21 percent increase from N9.11 billion in the half year of 2022 which was majorly driven by 138 percent growth in net trading income.
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The firm’s total expenses grew 41.6 percent to N5.75 billion in the half year of 2023, as against N4.06 billion in the same period of 2022.
United Capital’s total assets stood at N805.77 billion in June 2023 34 percent year-to-date growth from N601.92 billion as of December 2022.
Total liabilities stood at N757.24 billion in June 2023, a 33 percent year-to-date growth from N568.93 billion in December 2022.
Net cash generated by operating activities stood at N171.77 billion in June 2023, 56.7 percent year-to-date growth from N109.63 billion in December 2022 while Net cash used in investing activities stood at N97.08 billion in June 2023, 383 percent year-to-date growth from N20.09 billion in December 2022.
Net cash generated from financing activities stood at N11.72 billion in June 2023 from a positive N8.04 billion in December 2022.
Cash and cash equivalents at the end of the period amounted to N214.53 billion in June 2023 from N149.68 billion in December 2022.
Shareholders’ fund stood at N48.54 billion, an 47 percent year-to-date decrease from N32.99 billion in December 2022.
United Capital’s annualised earnings per share stood at 156 kobos in the half year of 2023 from 148 kobos in the half year of 2022.
