Bank of India

Union Bank of India (UBI) too was strongly in the green yesterday, the market celebrating its very good performance for Q4FY13. All were pleasantly surprised when the Bank posted not just a phenomenal 161% (QoQ) rise in net profit at Rs.789 crore but also showed an improvement in the asset quality. Gross NPA sequentially fell 38 bps and 3 bps on YoY while net NPA fell 9 bps (QoQ) and 1.61% (YoY). On the other hand, provisions and contingencies though reduced 23.5% sequentially, it was up almost 27% on a YoY at Rs.655 crore. Also the growth of net profit on YoY growth was more muted at 2%. Slippages on a YoY have increased at Rs.875 crore, up from Rs.602 crore.

Net interest income rose 9% (YoY) at Rs.1980 crore. NIM, on a YoY slipped from 3.16% to 2.89%. Cost to income ratio also jumped up from 39.26% to 40.99% (YoY). For FY13, UBI posted a 21% YoY) rise in net profit at Rs.2158 crore and NII was up 11% at Rs.7543 crore. NIM for the slipped from 3.16% to 2.96%. Domestic deposits for the year rose 18% at Rs.260999 crore and global deposits rose 18% at Rs.263762 crore. Domestic advances rose 16% at Rs.198894 crore and global advances rose 17% at Rs.211911 crore. CASA deposits rose 17%  and the CASA share in total deposits was 31%.