Financial results of the UCO Bank for the year ended 31st March 2024

Business Growth of the UCO Bank – Bank has shown consistent growth where total Business grew by 9.50% y-o-y to Rs.450007 crore ( 3.34% from Rs. 435456 Cr. q-o-q) on, wherein Gross Advances increased by 15.62% y-o-y  to Rs. 186877 crore ( 4.29% from Rs. 179195 Cr. q-o-q) & Total Deposits grown by 5.53% y-o-y to Rs.263130 crore (2.68% from Rs. 256261 Cr. q-o-q).

Advances in Retail, Agriculture & MSME (RAM) Sectors – RAM segment of the Bank increased by 13.88% y-o-y to Rs.97516 crore ( 4.05% from Rs.93720 Cr. q-o-q) backed by 14.62% y-o-y growth in Retail advances , 13.16% y-o-y growth in Agriculture advances and 13.53% y-o-y growth in MSME advances.

Reduction in NPA – Asset quality improvement is depicted by reduction in Gross NPA by 132 bps to 3.46% ( by 39 bps from 3.85% q-o-q) and Net NPA reduction by 40 bps to 0.89% ( by 9 bps from 0.98% q-o-q)) as on 31.03.2024.

Strong Capital Adequacy Ratio – Capital Adequacy Ratio (CRAR) improved by 47 bps to 16.98 % as on 31.03.2024 wherein Tier I Capital Ratio improved by 58 bps to 14.54% as on 31.03.2024 on y-o-y .

Improved Profitability & Return – Operating Profit for the twelve months ended 31.03.2024 stood at Rs.4576 crore showing an increase of 5.43%  y-o-y basis . The same has increased 13.74% q-q from Rs. 1119 Cr. to Rs. 1273 Cr. 

Credit to Deposit Ratio registered an improvement of 620 bps to 71.02% on y-o-y basis.

Dividend: After gap of nine years Bank has recommended for declaring dividend @2.80% of face value i.e. 28 paisa per share. 

Business Highlights

Total Business grew by 9.50% on y-o-y to Rs. 450007 crore as on 31.03.2024 from Rs.410967 crore as on 31.03.2023.

Total Deposits increased by 5.53% on y-o-y basis to Rs.263130 crore as on 31.03.2024 from Rs.249338 crore as on 31.03.2023. 

Gross Advances grew 15.62% on y-o-y to Rs.186877 crore as on 31.03.2024 as against Rs.161629 crore as on 31.03.2023.

RAM (Retail, Agri & MSME) business stood at Rs.97516 crore as on 31.03.2024 as against Rs.85629 crore as on 31.03.2023, registering an improvement of 13.88% on              y-o-y basis.            

Retail Advances stood at Rs.40161 crore as on 31.03.2024 as against Rs.35039 crore as on 31.03.2023 registering a growth of 14.62% on y-o-y basis, fuelled by Home loan and Vehicle loan portfolio which registered a growth of  21.23% and 31.24%  respectively on              y-o-y basis.

Agriculture Advances stood at Rs.24641 crore as on 31.03.2024 as against Rs.21775 crore as on 31.03.2023, showing a growth of 13.16% on y-o-y basis.

Advances to MSME sector stood at Rs.32714 crore as on 31.03.2024 as against Rs.28815 crore as on 31.03.2023, registered a growth of 13.53% on y-o-y basis.

Business per employee improved to Rs.20.93 crore during Q4FY24 as against Rs.18.90 crore for the same period of preceding year.

Operating Profit for the twelve-month ended 31.03.2024 stood at Rs.4576 crore registering a growth of 5.43% on y-o-y basis as against Rs.4341 crore for the twelve month ended 31.03.2023

Net Profit for the twelve month ended 31.03.2024 stood at Rs.1654 crore as against Rs.1862 crore for the same period in the preceding year, on account of higher provisioning.

Net Interest Income (NII) for the twelve months ended 31.03.2024 stood at Rs.8101 crore registering a growth of 10.32% on y-o-y basis as against Rs.7343 crore for the twelve month ended 31.03.2023.

Asset Quality

Gross NPA improved to 3.46 % as on 31.03.2024 as against 4.78% as on 31.03.2023, registering an improvement of 132 bps.

Net NPA improved to 0.89% as on 31.03.2024 as against 1.29% as on 31.03.2023, registering an improvement of 40 bps.

Provision Coverage Ratio improved to 95.38% as on 31.03.2024 as against 94.50% as on 31.03.2023, registering an improvement of 88 bps.

Capital Adequacy

Capital Adequacy Ratio (CRAR) improved to 16.98% as on 31.03.2024 as compared to 16.51% on 31.03.2023, with Tier 1 ratio of 14.54% as on 31.03.2024 as against 13.96% as on 31.03.2023, thereby registering an improvement of 47 bps and 58  bps in CRAR and Tier 1 respectively.

Branch Network

Bank has a network of 3230 domestic branches and 2 overseas branches each at Hongkong and Singapore Centre & 1 Representative office in Iran. Out of the total branches, Bank has 34.64% i.e. 1119 branches in rural & semi-urban areas. Bank has 2477 ATMs and 9808 BC Points making the total number of 15518 touch points as on 31st March 2024.

Bank had opened 28 new branches during the twelve months ended 31.03.2024.