United Capital Plc, a Nigerian investment banking and financial services firm, has reported a strong start to 2025 with a 113 per cent rise in revenue for the first quarter ended March 31. The company’s revenue hit N13.1 billion in Q1 2025, a sharp jump from the N6.1 billion recorded in the same period in 2024. This strong performance was revealed in its unaudited consolidated and separate financial statements released to the Nigerian Exchange Limited.
The significant revenue growth was mainly driven by increases in investment income and fee and commission income. Investment income went up to N6.4 billion in the first three months of 2025, compared to N1.08 billion in the same period last year. Fee and commission income also improved, rising to N4.5 billion from N2.6 billion year-on-year. Net trading income increased to N1.5 billion, up from N632 million in Q1 2024.
Altogether, United Capital’s net operating income stood at N12.4 billion, almost tripling from N4.3 billion recorded in the first quarter of the previous year. Despite this strong growth in income, the firm also experienced a rise in operating costs. Operating expenses climbed to N5.1 billion from N2.1 billion. However, the firm still posted a profit after tax of N5.9 billion, a 64 per cent increase compared to the N3.6 billion posted in Q1 2024. This came after accounting for an income tax of N835 million.
The Group also recorded strong gains from other comprehensive income. This category, which includes unrealised gains on investments, rose to N31.1 billion in Q1 2025, compared to N19.3 billion a year earlier. Most of the increase came from the fair value gains on equity instruments measured at fair value through other comprehensive income (FVTOCI). When added to the profit after tax, the company’s total comprehensive income for the quarter reached N37 billion, up from N22.9 billion recorded in the same period last year.
United Capital also saw growth in its key financial metrics. Its annualised earnings per share increased to 131 kobo, compared to 80 kobo in the same period of 2024, showing improved returns to shareholders.
The company’s total assets stood at N1.72 trillion at the end of March 2025, slightly up from N1.70 trillion as of December 2024. The increase was driven by a rise in investment securities and the firm’s growing interest in associate companies. On the capital side, the Group’s Tier 1 capital stood at N46.1 billion while Tier 2 capital was N497.2 billion, bringing total regulatory capital to N543.3 billion. Managed funds rose significantly to N1.02 trillion from N846.6 billion recorded at the end of 2024, while borrowed funds stood at N381.9 billion.
The company’s shareholders’ funds rose to N161.5 billion, up from N133.5 billion at the end of 2024. This growth reflects both stronger earnings and increased valuation of investments. Analysts believe the positive result strengthens United Capital’s market position and signals its readiness to play a bigger role in Nigeria’s evolving capital market landscape.
