United Bank for Africa (UBA) Plc has released its financial results for the half year ended 30 June 2025, posting a pre-tax profit of N388.4 billion.

The figure marks a slight decline of 3.28% compared with the N401.5 billion recorded in the same period last year, but analysts note it remains a strong showing given the challenging operating environment.

The bank’s resilience was underpinned by robust top-line growth. Interest income surged 32.89% year-on-year to N1.3 trillion, compared with N1 trillion in H1 2024. Treasury bills contributed the lion’s share at N366.4 billion, followed by term loans to corporates at N319 billion. Bonds under investment securities generated N279.2 billion, while cash and bank balances added N113.2 billion. Interest on loans and advances to banks provided a further N105.6 billion.

On the cost side, however, interest expenses climbed sharply to N560.6 billion from N328.9 billion a year earlier. Even with that spike, net interest income still rose 14.59% to N773 billion, up from N674.6 billion. After accounting for an impairment charge of N35.1 billion, net interest income stood at N741 billion, a 20.61% improvement from the prior year’s N614.4 billion.

Fee-based income remained largely flat. Net fees and commission income inched up 1.34% to N147 billion, compared with N145 billion in H1 2024.

Rising Costs Pressure Bottom Line

The results showed operating costs eroded profitability. Net trading and foreign exchange activities swung to a loss of N10 billion, compared with a gain of N98.1 billion in the same period last year. Employee benefit expenses surged 28.65% to N172.2 billion, while other operating expenses rose slightly by 0.19% to N312.9 billion.

These cost pressures pulled pre-tax profit down to N388.4 billion. However, post-tax profit improved 6.06% to N335.5 billion, supported by a reduction in income taxes to N52.8 billion from N85.2 billion a year earlier.

Balance Sheet Growth

UBA maintained balance sheet expansion, with total assets rising to N33.2 trillion from N30.3 trillion in December 2024. Retained earnings increased 12.85% to N1.6 trillion, underscoring continued capital strength.

Dividend Proposal and Market Response

The board of directors proposed an interim dividend of 25 kobo per share for the period ended 30 June 2025, compared with N2.00 per share in the prior year. The payout ratio edged up to 7.83% from 7.3%, but dividend yield fell sharply to 1.4% from 8.9%, reflecting both lower payout and strong appreciation in the stock price.

UBA shares closed at N47.00 on 18 September 2025, up 38.33% year-to-date on the Nigerian Exchange, signaling investor confidence despite softer profit growth.

Balancing Growth and Cost Pressures

Analysts say the coming quarters will test UBA’s ability to balance rapid growth in interest income with mounting funding costs. If Nigeria’s interest rate environment remains elevated, banks could continue to benefit from higher yields on securities and loans, but the corresponding jump in deposit and borrowing costs may squeeze margins further.

In the best potential result, UBA’s scale and balance sheet depth—total assets of N33.2 trillion—provide room to absorb higher costs, while the growth in retained earnings strengthens its capacity for future capital expansion. Continued momentum in fee-based services and digital channels could also help diversify revenue streams and reduce dependence on interest income.

A downside outcome, however, points to risks from foreign exchange volatility and operating expenses. The swing from a N98.1 billion gain in trading and FX to a N10 billion loss highlights UBA’s vulnerability to market instability. Employee costs, which jumped nearly 29%, also raise concerns about expense discipline. If cost escalation outpaces income growth, profitability could remain under pressure even as revenues rise.

Dividend sustainability is another focus for investors. The sharp reduction from N2.00 per share to 25 kobo underscores a more cautious payout strategy. Analysts say future dividends will depend on how effectively UBA manages its capital buffers while navigating regulatory and macroeconomic headwinds.

Still, with shares up nearly 40% year-to-date, the market appears to be betting on UBA’s long-term ability to leverage its pan-African network and large asset base to sustain growth, even in a high-cost environment.

• Key Highlights (H1 2025 vs H1 2024)
• Interest income: N1.3 trillion, +32.89% YoY
• Net interest income: N773 billion, +14.59% YoY
• Net interest income after impairment: N741 billion, +20.61% YoY
• Net fee and commission income: N147 billion, +1.34% YoY
• Other operating expenses: N312.9 billion, +0.19% YoY
• Pre-tax profit: N388.4 billion, -3.28% YoY
• Retained earnings: N1.6 trillion, +12.85% YoY

The Nigeria Immigration Service (NIS) has launched a centralized passport personalization system with the capacity to produce up to 5,000 passports daily, a dramatic leap from the 250–300 documents that multiple centers could previously deliver.

The new system was unveiled on Thursday at the NIS headquarters in Abuja during an inspection of the Centralized Passport Personalization Centre by the Minister of Interior, Dr Olubunmi Tunji-Ojo, who described it as “a game-changing reform for passport processing in Nigeria.”

“For the first time in 62 years, NIS is operating a single central passport production hub,” the Minister said. “This project is 100 per cent ready, and it will allow Nigeria to be more productive and efficient in delivering passport services.”

The centralization replaces the decentralized model under which several centers handled production — often leading to inefficiencies, duplication, and backlogs. By consolidating output in one hub, officials say Nigeria can now align with international best practices in passport production, where standardization and uniformity are essential for global trust in travel documents.

Faster Processing and Delivery

Tunji-Ojo said the facility, built in partnership with IRISMAT Technologies Limited, deploys advanced machines capable of producing 1,000 passports per hour. This would enable the NIS to meet daily passport demands within four to five hours of operation.

“We promised two-week delivery, but with automation and optimization, we are now pushing for one week,” the Minister said, adding that the reform would “put an end to the era of backlogs and delays.”

According to him, when the Tinubu administration assumed office, the NIS had inherited over 204,000 pending passport applications. That backlog, he said, “is now closed,” with the centralized system ensuring that Nigerians receive value for their money through “automation and efficiency.”

The Minister positioned the move as part of President Bola Tinubu’s reform agenda to modernize public institutions and restore trust in government.

“This is more than just about documents; it’s about restoring trust and showing Nigerians that their government can deliver effectively,” he said.

The Cost Burden on Citizens

But while the centralization is expected to eliminate delays, it comes with a steep cost for Nigerians. The NIS recently doubled passport fees, effective September 1, 2025.

A 32-page passport with 5-year validity now costs N100,000, up from N50,000. A 64-page passport with 10-year validity has climbed to N200,000 — a 100% increase from N100,000.

The Service says the higher cost reflects the push for efficiency, modernization, and the investment required to sustain advanced facilities like the centralized hub. Still, for ordinary Nigerians already battling inflation and rising living costs, the fee hike has raised concerns that faster services are being delivered at a punishing price.

Implications for Nigerians at Home and Abroad

The new system is expected to ease the frustrations of applicants who, for years, have complained of bottlenecks, unofficial charges, and endless delays in passport processing. Diaspora Nigerians, who often face unique hurdles at consular offices, may also benefit from the improved uniformity in production and quicker turnaround time.

Analysts, however, warn that the doubled cost risks placing passports out of reach for low-income Nigerians, potentially widening inequality in access to international travel and migration opportunities. At N100,000 for a 32-page passport, a Nigerian worker earning N70,000 per month, minimum wage, will need about a month and a half’s work wage to secure one.

However, the centralized hub is believed by many to be a representation of an administrative milestone, given Nigeria’s unpleasant passport history. For citizens, the test will be whether the promised one-week delivery and end to backlogs will be enough to justify the financial strain.

Meta is renewing its push to reinvent the way people interact with technology, this time with smart glasses that its executives say could eclipse the smartphone.

Chief Product Officer Chris Cox told CNBC’s Julia Boorstin on Thursday that glasses — not handheld devices — will define the next era of computing.

“We talk to them, we will see with them, we will use gestures the same way we interact with each other to interact with our computers,” Cox said. “The interfaces will get more natural, and so we certainly believe that the next really important wearable technology is going to be a pair of glasses.”

The Ray-Ban Display Glasses

Meta revealed its latest hardware, the $799 Ray-Ban Display smart glasses, on Wednesday. Unlike its earlier audio-only Ray-Ban models, the new version integrates a tiny in-lens display controlled through hand movements detected by a neural wristband.

The glasses go beyond recording video or playing audio. Users can now see messages, watch videos, record content, send voice messages, or even write replies with subtle gestures on their knee.

“We’ve started with just the basics, which is messaging, which we know is the thing people want to do in a more fluid way,” Cox explained.

Meta CEO Mark Zuckerberg offered a live demo of the glasses, attempting to answer a video call from Meta’s tech chief Andrew Bosworth. But the button to accept the call failed to appear on the display, underscoring the technical challenges still plaguing wearable computing.

For Meta, the Ray-Ban Displays are part of a larger gamble on augmented reality (AR). Zuckerberg has argued for years that immersive technologies like AR glasses and virtual reality headsets will ultimately replace the smartphone as the main gateway to the digital world. The Display glasses are a step toward that vision — more advanced than audio smart glasses, but not as fully immersive as the headsets Meta is also developing.

The Industry’s Bumpy Road

Meta’s push comes in a space littered with setbacks. Google’s much-hyped Google Glass launched in 2013 but quickly collapsed amid privacy concerns and limited functionality. Snap’s Spectacles won attention for their sleek design but failed to resonate with mainstream buyers, relegating the product to niche status.

Apple has taken a different path with the Vision Pro, a $3,499 mixed-reality headset pitched as a “spatial computer.” While technologically sophisticated, its steep price has limited adoption, raising questions about how quickly consumers are willing to embrace new form factors.

Meta itself has faced similar hurdles. Its Quest VR headsets have drawn some traction in gaming and enterprise, but mainstream adoption has been slower than expected. The company’s earlier audio-only Ray-Ban Meta glasses were seen as more stylish than useful, highlighting the gap between novelty and necessity.

Analysts say Meta is trying to thread a difficult needle — making smart glasses that are functional enough to justify their price, while avoiding the pitfalls of being seen as awkward, invasive, or unnecessary.

At $799, the Ray-Ban Displays target early adopters, not mass consumers. The hope is that adoption will scale as Meta refines the technology and integrates more applications. Unlike Apple’s Vision Pro, which courts professionals and creatives, Meta is focusing on everyday tasks like messaging, video calls, and recording — betting that utility plus wearability will give it an edge.

A Defining Bet

Cox’s claim that glasses are the future of computing shows Meta’s determination to set the pace in what comes after the smartphone. While the live demo hiccup underscored how unfinished the technology remains, the Display glasses represent a step toward making computing literally wearable and visible.

The question now is whether Meta can succeed where Google, Snap, and even its own past experiments fell short — transforming smart glasses from futuristic gadgets into everyday essentials.