The total business of City Union Bank has achieved a landmark by crossing the Rs.25,000-crore mark and stood at Rs.25,322 crore as on September 30, 2011, according to N. Kamakodi, CEO and Managing Director.
Addressing presspersons here on Saturday to announce the bank's first half and second quarter performance, he said “Overall, we have registered a good business growth coupled with profit and net interest income. Also, net non-performing assets (NPA) have come down on absolute and percentage terms compared with June 30, 2011.”
Total deposits stood at Rs.14,722 crore as of September 30, 2011, against Rs.11,494 crore in the corresponding period in the previous year, a growth of 28 per cent. Advances have risen by 32 per cent to Rs.10,600 crore from Rs.8,039 crore. In the second quarter ended September 30, 2011, the bank has reported a 26 per cent rise in its net profit at Rs.77.52 crore against Rs.61.59 crore in the corresponding period in the previous year. Net interest income was higher by 16 per cent at Rs.120.23 crore against Rs.104 crore. Total income has risen by 37 per cent and stood at Rs.460.24 crore against Rs.336.08 crore.
In the half-year ended September 30, 2011, profit after tax has risen by 28.39 per cent to Rs.136.04 crore from Rs.105.96 crore. Net interest income was higher by 22.49 per cent at Rs.240.27 crore against Rs.196.16 crore. Total income was higher by 38 per cent at Rs.877.26 crore against Rs.635.43 crore.
Mr. Kamakoti said savings account deposits and term deposits grew by 21 per cent and 31 per cent respectively as on September 30, 2011. The bank's balance sheet size had increased to Rs.16,480 crore from Rs.13,055 crore, translating to a growth of 26.24 per cent. The CMD said the asset quality had also improved further during the quarter. The gross NPA level was reduced to 1.18 per cent from 1.26 per cent and net NPA to 0.42 per cent from 0.54 per cent. The provision coverage ratio stood at 79.01 per cent.
On branch network, he said, “We are looking forward to have a total branch network of 325 as on March 31, 2012.”
