Kumbakonam-based City Union Bank has posted a 26 per cent year-on-year rise in the second quarter net profit at Rs 77.52 crore, while total income has increased 37 per cent to Rs 460.24 crore.
Total business – as per the balance sheet – as on September 30 stood at Rs 25,322 crore, up 30 per cent from last year. The bank recorded a 28 per cent rise in total deposits to Rs 14,722 crore (as on September 30) and gross advances went up 32 per cent to Rs 10,600 crore.
The bank's interest for the second quarter in the financial year 2012 was up 40.67 per cent to Rs 410.96 crore. Despite high pressure on margins, the net interest income for the quarter increased 16 per cent to Rs 120.23 crore.
City Union Banks' gross NPA level was down from 1.26 per cent to 1.18 per cent, while net NPA was brought down from 0.54 per cent to 0.42 per cent as on September 30.
“After continuous rate hikes, it was a challenging year for banks. City Union Bank has done reasonably well in the second quarter. Overall, the quarter was good compared to industry standards,” said Mr N. Kamakoti, CEO and MD.
City Union Bank intends to open 41 branches, 299 ATMs and 525 POS terminals during the remaining part of the current financial year. By end-March 2012, the bank will have a total network of 325 branches, 650 ATMs and 1,000 POS terminals.