Union Bank of India experienced a rise of about 7% in its shares today, following the announcement of a significant increase in its net profit.
This boost came after the bank released its financial results, showing a 28.2% rise in net profit.
Strong Growth in Profit and Income
For the December quarter, Union Bank reported a net profit of Rs 4603.60 crore, compared to Rs 3589.90 crore in the same quarter last year.
The bank’s shares opened at Rs 109.40 on the Bombay Stock Exchange (BSE) and reached a high of Rs 113 during the day.
Along with the profit, the bank’s other income grew by 17% year-on-year, reaching Rs 4420 crore. Total income increased by 5.5% to Rs 13,660 crore
. Net interest income saw a slight rise of 0.8%, reaching Rs 9240.20 crore from Rs 9168 crore in the previous year.
Improved Asset Quality and Stock Performance
Union Bank’s asset quality also showed improvement, with the gross non-performing asset (NPA) ratio dropping to 3.85% from 4.36% in the September quarter.
However, over the past year, Union Bank’s share price has fallen by 20%, while the Sensex rose by 7.67%. The bank’s 52-week high is Rs 172.45, and its 52-week low is Rs 100.75.
Financial Results: Key Highlights
For the December quarter, the bank posted a net profit of Rs 4603.60 crore, up from Rs 3589.90 crore in the same period last year.
The bank’s shares opened at Rs 109.40 on the Bombay Stock Exchange (BSE) and reached a high of Rs 113 during the day.
In addition to the net profit, Union Bank’s other income grew by 17% year-on-year, reaching Rs 4420 crore. The bank’s total income increased by 5.5%, amounting to Rs 13,660 crore.
Net interest income saw a small increase of 0.8%, totaling Rs 9240.20 crore compared to Rs 9168 crore in the previous year.
