UCO Bank Q2 Results- Net profit jumps 50% to Rs 603 crore

New Delhi: State-owned UCO Bank Ltd has reported a 50% year-on-year (YoY) increase in net profit, totaling Rs 602 crore for the second quarter ending September 30, 2024. In the same quarter of the previous fiscal year, the bank had a net profit of Rs 401.7 crore, as stated in a regulatory filing.

Additionally, net interest income (NII)—the difference between the interest income generated from lending activities and the interest paid to depositors—rose by 20%, reaching Rs 2,300.4 crore compared to Rs 1,916.5 crore in the corresponding quarter of FY24.

The gross non-performing asset (GNPA) stood at 3.18% in the September quarter against 3.32% in the June quarter. Net NPA came at 0.73% against 0.78% quarter-on-quarter.

In monetary terms, gross NPA stood at Rs 6,293.86 crore against Rs 6,420.12 crore quarter-on-quarter, whereas net NPA came at Rs 1,406.44 crore against Rs 1,473.42 crore quarter-on-quarter.

The bank's Net Interest Margin (NIM) for Q2 of FY25 stood at 3.10%, showing an improvement from 2.84% in the corresponding quarter of the previous year. For the first half of FY25, the NIM was 3.09%, compared to 2.92% for the same period in FY24.

The total business of the bank stood at Rs 4,73,704 crore as of September 30, 2024, showing an increase of 13.56% year-on-year, wherein Gross Advances increased by 18% to Rs 1,97,927 crore on year-on-year and total deposits grew by 10.57% on year-on-year to Rs 2,75,777 crore.

Operating profit for the quarter ended on September 30, 2024, stood at Rs 1,432 crore showing an increase of 45.82% on a year-on-year basis.

The Bank’s Credit to Deposit Ratio of 71.77% as of September 30, 2024. The bank's total business grew by 13.56% year-on-year, reaching Rs 4,73,704 crore, up from Rs 4,17,145 crore on September 30, 2023. Total deposits increased by 10.57% year-on-year to Rs 2,75,777 crore, compared to Rs 2,49,411 crore a year ago.

Advances in the Retail, Agriculture & MSME (RAM) sectors of the bank increased by 20.16 % to Rs 1,08,200 crore on a year-on-year backed by 29.36% year-on-year growth in retail advances,17.41% year-on-year growth in Agriculture advances and 11.32% year-on-year growth in MSME advances. Capital Adequacy Ratio (CRAR) stood at 16.84% as of September 30, 2024, with a Tier I Capital Ratio of 14.59%.