Union Bank of India Sees Profit and Capital Adequacy Rise Amid Net Interest Decline
Union Bank of India reported a 12% rise in net profit to Rs 4,116 crore for Q1 FY25, alongside improvements in asset quality and capital adequacy. Although net interest income declined, the bank showed progress with reduced NPAs and an increase in total business volume.
- Country:
- India
State-owned Union Bank of India has announced a 12% increase in its net profit for the first quarter of the current financial year, reaching Rs 4,116 crore. The Mumbai-based bank experienced this rise over Rs 3,679 crore recorded during the same period of the previous year.
The bank's total income saw a growth, climbing from Rs 30,874 crore to Rs 31,791 crore year over year, according to a recent regulatory filing. Interest earnings increased, though net interest income suffered a decline to Rs 9,113 crore from Rs 9,412 crore.
Despite a reduction in operating profit by 11%, Union Bank's asset quality improved markedly, with gross non-performing assets dipping and the provision coverage ratio strengthening. As a result, the total business spiked by 5% to Rs 22,14,422 crore.
(With inputs from agencies.)
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