UCO Bank net profit jumps 50% to ₹603cr in 2nd quarter
Times of India | 21 October 2024
Kolkata: PSU lender UCO Bank on Saturday reported around 50% year-on-year growth in net profit of Rs 602.7 crore for the second quarter this fiscal, backed by over 45 % rise in operating profit.
The Kolkata-based bank had registered Rs 401.6 crore net profit for the second quarter last fiscal. It posted Rs 550.9 crore net profit in the first quarter of the current financial year.
Speaking to the media, UCO Bank MD and CEO Ashwani Kumar said the increase in net interest income and non-interest income were the two main factors driving the growth in net profit.
The total recovery and upgradation during the period stood at Rs 1,017 crore as against Rs 656 crore during the corresponding period last fiscal. UCO Bank has so far recovered around 90% of “erroneous credits” that certain account-holders had received via Immediate Payment Service (IMPS) last year. “Actions are on to recover the rest of the money. Our endeavour is to recover the maximum this fiscal,” Kumar said.
Last Nov, certain accounts-holders of the bank had received around Rs 820 crore “erroneous credits” via IMPS.
UCO is also planning to tap capital markets to raise equity capital up to Rs 1,500-2,000 crore by way of QIP in one or more tranches. “We may go for it in the third quarter,” Kumar said.