Union Bank of India , one of India's leading public sector banks, has announced its financial results for the fourth quarter of fiscal year 2023, showcasing impressive growth and improved asset quality.

Substantial Profit Growth

The bank reported a remarkable increase in its net profit for Q4 FY23. The net profit surged to ₹4,985.00 crore, marking a significant 50% year-over-year growth from the same quarter of the previous fiscal year. This impressive growth was primarily driven by a two-fold jump in treasury gains. For the full fiscal year 2023, the bank's net profit rose 32% to ₹17,987.00 crore.

Revenue and Interest Income Performance

Union Bank of India's revenue showed positive momentum in Q4 FY23. However, the bank's net interest income remained flat at ₹9,514.00 crore for the quarter.

Loan Book and Deposit Growth

The bank demonstrated solid growth in its loan book and deposit base:

• Loan book grew 8.6% to ₹9.80 lakh crore
• Deposits increased 7.2% to over ₹13.00 lakh crore

Improved Asset Quality

One of the highlights of the bank's performance was the notable improvement in its asset quality metrics:

The reduction in the Gross Non-Performing Assets ratio indicates the bank's effective management of its loan portfolio and improved recovery efforts.

Conclusion

Union Bank of India's Q4 FY23 results demonstrate the bank's resilience and strategic focus on profitability and asset quality. The substantial increase in net profit, driven by strong treasury gains, coupled with growth in the loan book and deposit base, positions the bank well for continued success. As the banking sector navigates through various economic challenges, Union Bank of India's performance stands out, reflecting its strong fundamentals and effective management strategies.

Union Bank of India , one of India's leading public sector banks, has reported robust financial results for the fourth quarter of the fiscal year 2023-24, showcasing significant improvements in profitability and asset quality.

Profit Surge and Revenue Growth

The bank witnessed a remarkable surge in its net profit for Q4, which soared to ₹4,984.90 crore, marking a substantial 51% year-over-year increase. The bank's Net Interest Income (NII) also saw a modest increase of 0.8% to ₹9,514.00 crore.

Improved Asset Quality

Union Bank of India demonstrated significant progress in managing its asset quality:

• Gross Non-Performing Assets (GNPA) ratio decreased to 3.60% from 3.85% in the previous quarter, showing a quarter-on-quarter improvement.
• This reduction in GNPA ratio indicates the bank's effective strategies in managing and recovering problematic assets.

Dividend Declaration

In a move that will likely please shareholders, Union Bank of India has declared a dividend of ₹4.75 per share for the financial year 2024-25. This declaration reflects the bank's strong financial position and commitment to delivering value to its investors.

Financial Performance Overview

Conclusion

Union Bank of India's Q4 results reflect a strong financial position with substantial improvements in profitability and asset quality. The significant increase in net profit, coupled with the improvement in asset quality and the declaration of a dividend, demonstrates the bank's effective management strategies and resilience in a challenging economic environment. As the bank continues to strengthen its financial metrics, it remains well-positioned for sustainable growth in the coming fiscal year.