india

City Union Bank profit rises 16%

City Union Bank has reported 16% jump in its standalone net profit for the second quarter ended September 2018 to Rs. 167.99 crore against Rs. 144.74 crore for the corresponding year-ago period.

“The bank was able to post profit since there was a decline in the provisions from Rs. 175 crore to Rs. 127 crore,” said N. Kamakodi, MD and CEO.

“The bank hopes to close FY19 with a credit growth of 18%-20%.” Operating profit contracted by 7.5% to Rs. 296 crore due to dip in non-interest income. Net interest income moved up by 12% to Rs. 398 crore. Gross non-performing assets decreased to 2.85% from 3.07%. Net NPA marginally improved to 1.69% from 1.76%. In actual terms, GNPA stood at Rs. 848 crore and NNPA at Rs. 498 crore. Provision coverage ratio was 65%. Slippages during the period was Rs. 136.15 crore (Rs. 146.80 crore) and recovery and upgradation was Rs. 65.73 crore (Rs. 44.44 crore).

Source: Read Full Article