Billionaire investor and Chairman of United Bank for Africa (UBA), Tony Elumelu, is poised to receive a dividend payout of N12.71 billion for the financial year that concluded in 2024, thanks to the bank’s outstanding financial achievements.

Elumelu, a key shareholder in UBA, owns a total of 2,542,511,824 shares, which are categorized into direct and indirect ownership. He directly owns 195,124,581 shares while his indirect holdings are distributed across three entities:

• HH Capital Limited – 302,296,875 shares

• Heirs Holdings Limited – 1,814,003,900 shares

• Heirs Alliance Limited – 231,086,468 shares

With this substantial stake, Elumelu secures one of the highest individual dividend earnings from UBA’s latest financial results.

UBA declares record dividend payout

UBA declared a total dividend of N5.00 per share, indicating a notable rise from the previous year. This includes a final dividend of N3.00 per share and an interim dividend of N2.00 per share, elevating the total payout ratio to 26.6%, up from 16.32% in 2023.

As a result, the bank’s total dividend payout to shareholders surged to N147.05 billion, a sharp rise from N47.88 billion in the previous year. However, shareholders will be subject to a 10% withholding tax on their earnings.

UBA’s strong financial performance

The increase in dividends is a reflection of UBA’s impressive financial performance. The bank reported a pre-tax profit of N803.7 billion, representing a 6% increase from N757.6 billion in 2023. Similarly, after-tax profit jumped 26.14% to N766.5 billion, the highest annual profit in the bank’s history.

UBA’s robust results reinforce its position as one of Nigeria’s most stable and profitable financial institutions. With strong earnings and a growing dividend payout, the bank continues to deliver value to its shareholders, further solidifying its dominance in the financial sector.