Private sector lender City Union Bank Ltd. has reported a 30% increase in standalone net profit for the first quarter ended June 22 to ₹225 crore due to reduction in NPA, improved credit take off and steady net interest margin.
Net interest income rose 17% to ₹525 crore, while net interest margin jumped to 3.95% from 3.86%. Total income up 11% to ₹1,317 crore, interest income grew by 10% to ₹1,099 crore and non-interest income rose 12% to ₹218 crore, the lender said in a statement.
Gross non-performing asset (NPA) slid to 4.65% from 5.59% and net NPAs to 2.89% from 3.49%. Provisions towards bad and doubtful debts contracted to ₹140 crore against ₹233 crore and the provisions coverage ratio stood at 64%.
Total deposits increased by 9% to ₹48,772 crore and advances by 12% to ₹40,394 crore. CASA increased by 25% to ₹15,387 crore, representing 32% of total deposits.
