(Ecofin Agency) – This is the second consecutive increase in net profit since the easing of restrictions linked to covid-19, and it is a record result since 2018. All revenue production segments supported this performance of the bank.
The International Union of Banks (UIB), a bank active in Tunisia, but which is majority owned by the French financial group Société Générale (52.3% stake), announced an audited net profit of 132.2 million dinars Tunisians ($43.3 million) for fiscal year 2022. This is the second consecutive year of net margin increase since the post-covid-19 recovery and a level not seen since 2018.
This performance is due to a solid operational performance (763.8 million Tunisian dinars), which was supported by the improvement in income in all segments of the bank’s activity, in particular interest and similar income, commissions and earnings on the commercial securities portfolio and financial transactions. Consequently, the operating result also increased by 54.9 million dinars to reach 214 million dinars.
The net result for the financial year also increased by 50.8 million dinars, from 81.4 million dinars to 132.17 million dinars. The strength of the income statement was also reflected in the bank’s balance sheet, with an increase in total assets, total equity and commitments received, but a smaller increase in bank operating expenses and commitments given.
Finally, UIB managed to improve the return on its assets, from 1.2% in 2021 to 1.8%. The bank’s investors, in particular the 30% of free float, will be attentive to the distribution of dividends. Three out of four times since 2018, UIB has paid 0.70 dinars. However, UIB is struggling to replicate its record stock market performance of 2022 (+53%) and its value is down slightly since the start of the year (-4.17%). Even if on the three stock market sessions before April 4, it stabilized.