Union Bank Reports 34% YoY Profit Surge in Q2 FY2025

22 Oct 2024 , 09:53 PM

Union Bank of India (UBI) has announced its Q2 FY 2025 results. In the results, the union Bank Of India reported a 34% y-o-y increase in consolidated net profit for Q2 FY2025. This surge resulted in ₹4,720 crore up from ₹3,511 crore in the same quarter last year.

At the time of closing, on October 22, 2024, shares of Union Bank of India closed at ₹109.53 which is a 1.19% dip than the previous close. The stock has gained a total of 15% in the last one year, and 9% dip since the beginning of the year.

Net Interest Income (NII) saw a slight decline of 0.9%, down to ₹9,047 crore from ₹9,126 crore in Q2 FY2024. UBI’s asset quality improved, with the gross non-performing assets (NPA) ratio falling to 4.36% as of September 2024, down from 4.54% in the previous quarter, and a more substantial drop from 6.38% in Q2 FY2024.

The net NPA ratio stood at 0.98%, slightly higher than 0.90% in the previous quarter, but better than 1.30% in the same quarter of FY2024.

UBI maintained a Provision Coverage Ratio (PCR) of 92.79%, ensuring adequate protection against potential defaults. The bank’s capital adequacy ratio under Basel III guidelines was a strong 17.13%, comfortably above regulatory requirements.