United Capital Plc’s profit before tax rose 66 percent to N41.58 billion in the first nine months of 2026, driven by stronger investment income, fees and trading revenue, as the investment banking group expanded shareholders’ funds and assets under management.
The group’s unaudited financial results for the period ended September 30, 2026, showed that profit before tax increased from N25.01 billion recorded in the corresponding period of 2025, while profit after tax climbed 65 percent to N34.83 billion from N21.17 billion.
Gross earnings rose 50 percent year-on-year to N62.47 billion, compared with N41.54 billion a year earlier, reflecting improved performance across key income streams.
Net investment income nearly doubled, increasing 95 percent to N22.03 billion from N11.32 billion in the corresponding period of 2025, making it the largest of the three major operating income streams disclosed in the results.
Fee and commission income grew 27 percent to N20.95 billion from N16.54 billion, while net trading income increased 29 percent to N12.60 billion from N9.74 billion.
The growth in these income streams helped lift net operating income by 48 percent to N55.58 billion from N37.60 billion, strengthening the group’s earnings capacity during the review period.
United Capital also recorded a turnaround in other income, which stood at N266.3 million compared with a loss of N1.47 billion in the corresponding period of 2025. Net gains on financial assets measured at fair value through profit or loss increased 22 percent to N6.62 billion from N5.42 billion.
However, rising operating costs partly offset the improvement in revenue. Total expenses, including personnel costs, other operating expenses, depreciation and amortisation, increased to N23.51 billion from N18.40 billion a year earlier.
Despite the increase in costs, the group’s profit before tax grew faster than its expenses, while its profit margin improved to 66.57 percent from 60.22 percent in September 2025.
Earnings per share also increased to 258 kobo from 157 kobo, representing a 65 percent rise and reflecting stronger profitability for shareholders.
Peter Ashade, group chief executive officer of United Capital, said the company ended the third quarter on a strong note, supported by earnings growth and improved performance across key financial metrics.
“Looking ahead to the final quarter of the year, we are well-positioned to build on our momentum, driven by a continued focus on strong execution, sustainable growth, and long-term value creation for our shareholders,” Ashade said.
Beyond earnings, the group strengthened its financial position, with shareholders’ funds increasing 58 percent to N237.08 billion as of September 2026, compared with N150 billion at the end of December 2025.
The increase was primarily driven by a 76 percent rise in fair value reserves and a 38 percent growth in retained earnings, according to the company’s results.
Total assets rose 3 percent to N1.81 trillion from N1.76 trillion at the end of 2025, supported largely by a 115 percent increase in cash and cash equivalents to N618.08 billion from N287.10 billion.
Managed funds, an indicator of the group’s asset management activities, grew 4 percent to N1.04 trillion from N993.64 billion over the same period.
The increase in cash holdings came alongside a decline in investment securities, which fell to N1.07 trillion from N1.34 trillion at the end of December 2025. Borrowed funds also declined to N320.08 billion from N372.30 billion, while total liabilities fell to N1.58 trillion from N1.61 trillion.
Chinwe Michael is a Nigerian business journalist and media professional with over 4 years of experience covering companies, financial markets, banking, fintech, economic policy, financial inclusion, and corporate affairs. She currently leads the Companies & Markets desk at BusinessDay, where she drives coverage of Nigeria’s corporate and capital markets, translates complex financial data into accessible stories, and mentors younger journalists. Prior to that, she was the head of the financial inclusion/fintech desk. With a background in banking and finance and extensive experience in media and communications, Michael has developed expertise in financial journalism, economic analysis, investigative reporting and market intelligence. Her work examines how monetary policy, corporate performance, capital flows, technology, and regulatory decisions affect businesses, investors, and households. She was selected from about 3,000 applicants as one of 20 journalists for Cohort 4 of the MTN Media Innovation Programme, gaining exposure to new approaches to journalism, technology, and media innovation. Her international journalism experience and engagement with professionals across Russia, Dubai, Saudi Arabia, and others in different sectors have further broadened her understanding of global communication and development.
