Union Bank of India reports Q3FY21 earnings

The Board of Directors of Union Bank of India today approved the accounts of the Bank for the nine months and quarterended December 31, 2020.

Key Highlights in Q3FY21

Bank continues to demonstrate a strong liability franchise

The CASA deposits have increased by 11.10% YoY. We now have a total deposits base at Rs.8.82 Lakh Crores as at the end of Q3FY21. CASA ratio improved to 35.4% from 32.7% a year ago.

Credit in Retail, Agri and MSME (RAM) segments grown by 7% YoY

Bank registered 7% growth in Retail, 8% growth in Agriculture and 5% growth in MSME advances YoY.

Strong Financial Performance:

Operating Profit and Net Profit of the Bank improved by 12% and 41% QoQ respectively. Net interest income of Bank grew by 5% YoY during Q3FY21.

Provision coverage ratio of the Bank improved to 86% during Q3FY21

Provision coverage ratio of the Bank improved to 86% during Q3FY21 as against 83% during Q2FY21. Net NPA of Q3FY21 declined to 3.3% from 6.5% a year ago.

Improved capital ratios

CRAR improved from 12.38% to 12.98% QoQ. CET1 ratio improved to 9.22% against the minimum requirement of 7.375%.

Robust performance on EASE 3.0 parameters during Q2

Bank has secured 4th position in overall ranking and 3rd position in 3 themes out of 5, amongst PSBs.

Shares of UNION BANK OF INDIA was last trading in BSE at Rs.31.05 as compared to the previous close of Rs. 29.5. The total number of shares traded during the day was 507737 in over 1295 trades.

The stock hit an intraday high of Rs. 31.5 and intraday low of 29.9. The net turnover during the day was Rs. 15493661.

Source : Equity Bulls

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