UNITED CAPITAL : PRESS RELEASE

UNITED CAPITAL PLC

UNAUDITED RESULTS FOR THE PERIOD ENDED MARCH 31, 2024

AN IMPRESSIVE START: UNITED CAPITAL PLC RECORDS 47%

GROWTH IN PROFIT AFTER TAX

LAGOS, NIGERIA - April 15, 2024 - United Capital Plc, (NGX: UCAP, Bloomberg:

UCAP:NL, Financial Times: UCAP: LAG) has announced its unaudited Financial Results for the period ended March 31, 2024. Gross earnings rose by 15% year-on-year to N6.14 billion, profit before tax grew by 45% year-on-year to N4.09 billion, profit after tax rose by 47% year-on-year to N3.59 billion, total assets increased by 5% year-to-date to N974.47 billion while Shareholders' funds grew by 19% year-to-date to N108.38 billion.

	Earnings			Q1 2024		Q1 2023			Change
Gross Earnings (N'bn)	6.14	5.34		15%
PBT (N'bn)	4.09	2.82		45%
PAT (N'bn)	3.59	2.44		47%
	Financial Position			March 2024		December 2023			Change
Total Assets (N'bn)	974.47	931.95		5%
Total Liabilities (N'bn)	866.08	841.23		3%
Shareholders' Funds (N'bn)	108.38	90.71		19%
	Financial Ratios			Q1 2024		Q1 2023			Change
**EPS (kobo)	239	163		47%
*Price-Earnings Ratio	9.70	6.88		41%

*UCAP share price at 31/03/2024 **Annualized

Commenting on the Group's performance, the Group Chief Executive Officer, Mr. Peter Ashade, had this to say:

"The United Capital group delivered on its promise to create wealth, transform lives and improve shareholders value in the first quarter of the year. The group delivered Profit after Tax of N3.59 billion, a 47% year-on-year increase with a sustained year-to- date growth of 19% in Shareholders' value from N90.71 billion to N108.38 billion.

The healthy performance witnessed in the first quarter of the year despite the difficult operating environment reflects the strength of our business model including the effective execution of our transformative and purpose driven strategy. Our unique organisational structure positions us well to serve our customers in the most beneficial way thereby capturing a holistic view of our customer needs.

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Going into the remaining quarters of the year, we are confident that through the diligent execution of our well-thought-out strategies, we are on track to attain new heights. Our Stakeholders can be rest assured of our resolve to continue to deliver excellent services while staying true to our global commitment to achieve a net-zero world."

This Earnings Press Release should be read in conjunction with the Unaudited Financial Statements for the period ended March 31st, 2024. The Earnings Press Release and the Unaudited Financial Statements for the period ended March 31st, 2024 are available on our website at https://www.unitedcapitaplclgroup.com/investor-relations/. This analysis is dated April 15th, 2024. Unless otherwise indicated, all amounts are expressed in the Nigerian Naira, and have been primarily derived from the Group's Financial Statements, prepared in accordance with the International Financial Reporting Standards ("IFRS"). The accounting policies used in the preparation of these financial statements are consistent with those used in the Group's Unaudited Financial Statements for the period ended March 31st, 2024. Additional information relating to the Group is available on the Group's website http://www.unitedcapitalplcgroup.com/

KEY PERFORMANCE HIGHLIGHTS

Income Statement:

• Gross Earnings: N6.14 billion in Q1 2024, compared to N5.34 billion in Q1 2023 (15% growth year-on-year)
• Operating expenses: N2.26 billion in Q1 2024, compared to N2.66 billion in Q1 2023 (15% decline year-on-year)
• Profit Before Tax: N4.09 billion in Q1 2024, compared to N N2.82 billion in Q1 2023 (45% growth year-on-year)
• Profit After Tax: N3.59 billion in Q1 2024, compared to N2.44 billion in Q1 2023 (47% growth year-on-year)
• Annualized Earnings Per Share: 239 kobo in Q1 2024, compared to 163 kobo in Q1 2023 (47% growth year-on-year)

Statement of Financial Position:

• Total Assets: N974.47 billion, compared to N931.95 billion as at December 2023 (5% year-to-date growth)
• Total Liabilities: N866.08 billion, compared to N841.23 billion as at December 2023 (3% year-to-date growth)
• Shareholders Fund: N108.38 billion, compared to N90.71 billion as at December 31 2023 (19% year-to-date growth)

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Gross Earnings (N' billion) 6.14

15%

5.34

Q1 2023

Q1 2024

Profit After Tax (N' billion)

3.59

47%

2.44

Q1 2023

Q1 2024

Comparing Q1 2024 with Q1 2023, the following are worthy of note:

• Gross Earnings: United Capital's gross earnings rose by 15% year-on-year to N6.14 billion in Q1 2024 compared to N5.34 billion in Q1 2023 majorly driven by growth in Fee and Commission income (+42% year-on-year), Net trading income (+60% year- on-year) and other income (+1608% year-on-year).
• PBT and PAT: During the period under review, profit before tax increased by 45% year-on-year to N4.09 billion while profit after tax rose by 47% year-on-year to N3.59 billion driven by 15% growth in gross earnings.
• Total Assets: United Capital's total assets appreciated by 5% year-to-date to N974.47 billion in March 2024 compared to N931.95 billion in December 2023 largely attributable to 121% growth in cash and cash equivalents during the period under review.
• Total Liabilities: The company's total liabilities grew by 3% year-to-date to N866.08 billion in March 2024 compared to N841.23 billion in December 2023 driven by 2% year-to-date growth in managed funds and 135% year-to-date increase in other liabilities.
• Shareholders' Fund: United Capital Shareholders' funds increased by 19% year-to- date to N108.38 billion in March 2024 compared to N90.71 billion in December 2023 largely driven by 45% year-to-date growth in fair value reserve.

COMPANY UPDATE:

Following the release of our Q1 2024 result, we shall be hosting an Investors and Analysts conference call in due course to discuss our performance and overall outlook for the next quarter of 2024. The date and further details with respect to the conference call would be circulated in due course.

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STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME FOR THE PERIOD

ENDED 31 MARCH 2024

	31 March 2024	31 March 2023
	=N=' 000	=N=' 000
Gross Earnings	6,136,337	5,344,033
Investment income	1,083,831	2,721,303
Fee and commission income	2,582,731	1,823,405
Net trading income	631,970	396,007
Net operating income	4,298,532	4,940,715
Other income	1,203,117	70,439
Net gain/(loss) on financial assets at fair value through profit or	634,688	332,879
loss
Total Revenue	6,136,337	5,344,033
Personnel expenses	(930,674)	(589,614)
Other operating expenses	(2,120,651)	(1,575,800)
Depreciation of property and equipment	(43,881)	(51,664)
Amortisation of intangible & right of use assets	(31,680)	(38,675)
Impairment for credit losses	867,184	(407,618)
Total Expenses	(2,259,702)	(2,663,370)
Operating profit before income tax	3,876,635	2,680,663
Share of accumulated profit of associates	213,220	136,393
Profit before income tax	4,089,855	2,817,056
Income tax expense	(503,676)	(375,879)
Profit for the period	3,586,179	2,441,177
Other comprehensive income, net of income tax
Items that will not be reclassified subsequently to profit or loss
Fair value gain on investments in equity instruments measured	19,000,957	324,377
at FVTOCI (net of tax)
Items that may be reclassified subsequently to profit or loss
Fair value gain on investments in debt instruments measured at	334,561	(46,218)
FVTOCI (net of tax)
Other comprehensive income for the period, net of taxes	19,335,518	278,159
Total comprehensive income for the period	22,921,697	2,719,337
Profit for the period attributable to:
Equity holders of the Company	3,586,179	2,441,177
Total comprehensive income attributable to:
Equity holders of the Company	22,921,697	2,719,337
Earnings per share-basic (kobo) annualized	239	163
Earnings per share-diluted (kobo) annualized	239	163

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STATEMENT OF FINANCIAL POSITION AS AT 31 MARCH 2024

	31 March	31 December
	2024	2023
	=N=' 000	=N=' 000
ASSETS
Cash and cash equivalents	321,120,060	145,255,523
Investment securities	554,208,814	693,984,483
Trade and other receivables	91,629,836	85,463,551
Right of use assets	162,898	94,692
Intangible assets	175,300	188,615
Investments in associates	5,519,008	5,305,788
Property and equipment	1,247,804	1,253,484
Deferred tax assets	402,044	402,044
TOTAL ASSETS	974,465,763	931,948,180
LIABILITIES
Managed funds	612,857,581	600,106,217
Borrowed funds	175,277,116	200,822,968
Other liabilities	65,276,248	27,782,946
Defined benefit obligations	365,768	365,768
Current tax liabilities	3,099,191	2,950,806
Deferred tax liabilities	9,206,051	9,206,051
TOTAL LIABILITIES	866,081,955	841,234,755
SHAREHOLDERS FUND
Share capital	3,000,000	3,000,000
Share premium	683,611	683,611
Retained earnings	24,519,494	31,733,315
Fair value reserves	80,180,703	55,296,499
TOTAL SHAREHOLDERS FUND	108,383,808	90,713,425
TOTAL LIABILITIES AND SHAREHOLDERS FUND	974,465,763	931,948,180

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EDITOR'S COMMENT

United Capital Plc is a leading Pan-African financial and investment services group, with a mission to provide bespoke and innovative value-added services to its client. The group aims to transform the African continent by providing innovative and creative investment banking solutions to governments, companies, and individuals.

The company which was listed on the Nigerian Stock Exchange on the 17th of January 2013 is setting the pace to becoming the financial and investment role model across Africa, by deploying innovation, technology, and specialist skills to exceed client expectations, while creating more value for all stakeholders.

As a pacesetter, United Capital is the first Investment Bank to be listed on the Nigerian Stock Exchange. It maintains a holding company structure with subsidiaries in the Consumer Lending, Trusteeship, Securities Trading and Asset Management business.

More information can be found at:http://www.unitedcapitalplcgroup.com/

For further enquiries:

Shedrack Onakpoma

Group Chief Financial Officer

[e-mail]

CAUTION REGARDING FORWARD LOOKING STATEMENTS

From time to time, the Group makes written and/or oral forward-looking statements, including in this press release and in other communications. In addition, representatives of the Group may make forward-looking statements orally to analysts, investors, the media, and others. All such statements are intended to be forward looking statements. Forward looking statements include, but are not limited to, statements regarding the Group's objectives and strategies to achieve them, and the Group's anticipated financial performance. Forward looking statements are typically identified by words such as "will", "should", "believe", "expect", "anticipate", "intend", "estimate", "may" and "could".

Any forward-looking statements contained in this presentation represent the views of management only as of the date hereof and are presented for the purpose of assisting the Group's investors and analysts in understanding the Group's financial position, objectives and priorities and anticipated financial performance as at and for the periods ended on the dates presented and may not be appropriate for other purposes. The Group does not undertake to update any forward-looking statements, whether written or oral, that may be made from time to time by or on its behalf, except as required under applicable securities legislation

The release, publication, or distribution of this announcement in certain jurisdictions may be restricted by law and therefore persons in such jurisdictions into which this announcement is released, published, or distributed should inform themselves about and observe such restrictions.

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