UCO Bank has reported a notable 50 per cent Year-on-Year (YoY) increase in net profit for Q2 FY25, reaching Rs 603 crore, up from Rs 401.7 crore in the same period last year. This surge reflects the bank’s performance and management of its lending and deposit activities.
The bank’s Net Interest Income (NII) also saw a rise of 20 per cent, totalling Rs 2,300 crore compared to Rs 1,916 crore in Q2 FY24. The bank’s focus on improving profitability is evident, with its Net Interest Margin (NIM) standing at 3.10 per cent, up from 2.84 per cent in the same period last year.
On the asset quality front, UCO Bank’s Gross Non-Performing Assets (GNPA) improved to 3.18 per cent, compared to 3.32 per cent in the previous quarter. The net NPA also decreased to 0.73 per cent, further signalling an improvement in the bank’s overall health.
The total business grew by 13.56 per cent YoY, reaching Rs 4,73,704 crore as of 30th September, 2024.
Gross advances saw a significant increase of 18 per cent to Rs 1,97,927 crore, while total deposits rose by 10.57 per cent to Rs 2,75,777 crore. The bank’s operating profit for the quarter also witnessed a strong 45.82 per cent increase, reaching Rs 1,432 crore.
In the Retail, Agriculture and MSME (RAM) sectors, the bank’s advances grew by 20.16 per cent, with retail loans expanding by 29.36 per cent and vehicle loans surging by 38.66 per cent. The bank’s Capital Adequacy Ratio (CRAR) stood at a robust 16.84 per cent, showcasing strong financial stability.
