City Union net up 37% to Rs 26 cr

Kumbakonam-based City Union Bank (CUB)'s net profit during the fourth quarter of FY07 rose by 36.81 per cent to Rs 25.98 crore against Rs 18.99 crore in the corresponding period of the previous year.

Total income grew by 25.69 per cent to Rs 133.01 crore against Rs 105.82 crore in the corresponding period of the previous year. The bank's board has recommended a dividend of 40 per cent (Rs 4 a share).

For the full year ended March 31, 2007, CUB's net profit in 2006-07 rose to Rs 71.81 crore, a growth of 27.38 per cent over Rs 56.37 crore a year ago. Total income for fiscal 2007 was Rs 454.13 crore compared with Rs 365.92 crore for the year ended March 2006, a growth of around 24.11 per cent.

Total business generated by the bank in fiscal 2007 was Rs 8,028 crore, with deposits accruing to Rs 4,699 crore and advances of Rs 3,329 crore. The deposits and advances grew by 33.57 per cent and 30.55 per cent, respectively, over the 2006-07 period.

The bank's business target for fiscal 2008 is Rs 11,000 crore "" Rs 6,500 crore in deposits and Rs 4,500 crore in advances.

Net NPAs stood at 1.09 per cent on March 31, 2007 compared with 1.95 per cent a year ago. Capital adequacy ratio (CAR) was 12.58 per cent as on March 31, 2007. Earnings per share stood at Rs 29.92 for fiscal 2007, while return on average assets and equity were 1.57 per cent and 19.64 per cent respectively.