Union Bank of India Q1FY24 PAT soars 107.67% YoY to Rs 3,236 cr
Mumbai: Union Bank of India on Friday said its net profit in the first quarter of fiscal year 2023-24 (Q1FY24) surged by an impressive 107.67% to Rs 3,236 cr on a year-on-year (YoY).
The net interest income of the bank showed significant growth, increasing by 16.59% YoY to Rs 8,840 crore in Q1FY24.
The bank's liability franchise continues to show strength as CASA (Current Account Savings Account) deposits increased by 7.17% YoY. As of June 30, 2023, the bank boasts a robust total deposits base of Rs. 11,28,052 crores.
The bank's business growth gained momentum, with the total business increasing by an impressive 13.08% YoY. During Q1FY24, gross advances grew by 12.33% YoY, while total deposits witnessed a growth of 13.63% YoY. As of June 30, 2023, the bank's total business stands at Rs. 19,46,509 crore.
The bank reported strong credit performance in retail, agri, and MSME segments. The bank achieved a substantial 14.92% YoY growth in the RAM (Retail, Agriculture, and MSME) segment.
Within this segment, there was notable growth of 16.47% in Retail advances, 13.37% in Agriculture advances, and 14.88% in MSME advances, all on a YoY basis. RAM advances accounted for 55.92% of Domestic Advances.
The bank witnessed a significant reduction in NPAs during Q1FY24. Gross NPA (%) decreased by 288 basis points (bps) on a YoY basis, reaching 7.34%, while Net NPA (%) reduced by 173 bps YoY, reaching 1.58% as of June 30, 2023.
The bank's capital adequacy ratios continue to show strength and improvement. The CRAR (Capital to Risk-Weighted Assets Ratio) improved from 14.42% as of June 30, 2022, to 15.95% as of June 30, 2023. The CET1 (Common Equity Tier 1) ratio also improved significantly, reaching 12.34% as of June 30, 2023, compared to 10.68% as of June 30, 2022.
The bank's cost efficiency and credit cost ratios improved during Q1FY24, leading to enhanced financial returns. The Return on Assets (ROA) improved to 1%, while the Return on Equity (ROE) reached an impressive 18.97%.
IBNS
Senior Staff Reporter at Northeast Herald, covering news from Tripura and Northeast India.
Related Articles
CRR cut, AI ethics push, and SORR benchmark: Experts hail RBI’s pragmatic policy moves
Mumbai: The Reserve Bank of India (RBI) has kept the repo rate unchanged at 6.5% while the cash reserve ratio (CRR) has been slashed by 50 basis points to 4 percent, media reports said.
JP Morgan gives 'overweight' rating to Adani Group bonds
Mumbai: US investment bank JP Morgan has assigned an 'overweight' rating to four bonds issued by the Adani Group, citing the group's capacity to scale and grow through internal cash flows, which reduces the likelihood of credit stress.
LG Electronics files DRPH with SEBI; IPO size expected to be over RS 15,000 cr
Mumbai: South Korean electronics giant LG Electronics has filed a draft red herring prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) on Friday for the proposed public listing of its Indian business, according to a notification on the Bombay Stock Exchange (BSE).
De-dollarisation not on India's agenda; derisking domestic trade is: RBI Governor Shaktikanta Das
Mumbai: India has not initiated any steps towards de-dollarisation and is solely focused on mitigating risks to domestic trade from geopolitical uncertainties, Reserve Bank of India (RBI) Governor Shaktikanta Das clarified on Friday, media reports said.
Latest News
Internet shut down for 48 hrs in UP’s Bareilly over ‘I love Muhammad’ poster row amid Dussehra festivities
RRAG raises racial violence against indigenous peoples in Bangladesh before UN human rights council
Tripura jailbreak: Two officials suspended, hunt for 4 fugitives continues
Israel detains Greta Thunberg, intercepts Gaza aid flotilla
