Home / Business / City Union Bank Q4 profit jumps 15% to Rs 175 crore

City Union Bank Q4 profit jumps 15% to Rs 175 crore

CHENNAI: City Union Bank saw 15% profit growth at Rs 175 crore in quarter four of 2019 (Q4FY19), against a profit of Rs 152 crore in quarter four of 2018 (Q4FY18).

“The bank did not get lend to corporate sector, large consortium or the infrastructure sector, which are the top stressed sectors currently contributing to larger NPAs,” N Kamakodi, managing director and CEO, said as he spoke on the bank’s asset quality.

The Tamil Nadu-based bank’s gross non-performing assets (NPAs) increased to Rs 977.05 crore in Q4FY19, as against Rs 856.55 crore in Q4FY18. However, the gross NPA margin reduced to 2.95% in this March quarter from 3.03% in the same quarter last year.

The bank’s deposits went up by 17% at Rs 38,447.98 crore against Rs 32,852.62 crore on a year-on-year basis. The bank had recovered Rs 98 crore, comprising live recovery worth Rs 60 crore and Rs 38 crore from written-off assets.

During Q4FY19, the bank’s total income rose by 14% to Rs 1131.44 crore. The net interest income also shot up by Rs 52.65 crore to Rs 420.60 crore compared to last year.

The board recommended a dividend of Re 0.50 paisa per equity share; i.e., 50% on face value of Re 1 per equity share of the bank, subject to requisite approvals.

News credit : Indiatimes