Union Bank net profit up 12.5% in Q4

Union Bank of India on Monday reported a 12.5 per cent increase in its net profit to Rs 108.22 crore in the quarter ended March 31, 2017 as compared to Rs 96.12 crore in the corresponding period last year.

The lender said its domestic Net Interest Margin (NIM) stood at 2.4 per cent for January-March 2017 as against 2.46 per cent for year-ago period. Global NIM for the quarter increased sequentially to 2.27 per cent from 2.01 per cent for October-December 2016 quarter. It was 2.32 per cent a year ago.

Net Interest Income for the quarter under review was at Rs 2,387 crore from Rs 2,085 crore a year ago. However, the lender's non-interest income stood at Rs 1,446 crore as compared to Rs 997 crore in the corresponding period of previous fiscal.

The slippages during the quarter declined sequentially to Rs 2,951 crore from Rs 3,294 crore in previous quarter, continuing the downtrend for fourth successive quarter, the lender said.

Gross NPAs stood at 11.17 per cent as on March 31, 2017 as against 8.70 per cent as on March 31, 2016.

Capital Adequacy ratio of the Bank under Basel III is 11.79 per cent as on March 31, 2017 compared to 10.56 per cent as on March 2016, it said.

The lender's net profit for 2016-17 stood at Rs 556 crore as against Rs 1,352 crore in 2015-16.

The bank raised Rs 3,500 crore of additional Tier 1 and Rs 1750 crore of Tier 2 BASEL III compliant bonds during the year and received Rs 541 crore as share application money from the government by March 31, 2017.

--IANS

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