Union Bank of India shares jump nearly 6% after Q1 earnings

Shares of Union Bank of India on Monday rose nearly 6 per cent after the company reported a standalone net profit of ₹ 333 crore in the quarter ended June.

The stock gained 5.74 per cent to ₹32.20 on the BSE.

On the NSE, it jumped 5.74 per cent to ₹32.20.

The state-run bank, which amalgamated Andhra Bank and Corporation Bank from April 1, on Friday reported a standalone net profit of ₹ 333 crore in the quarter ended June.

The amalgamated entity had booked a profit-after-tax of ₹381 crore in the same period of the previous fiscal. The pre-amalgamated profit in the June 2019 quarter was 224.43 crore.

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Union Bank of India posts Q1 net profit of ₹333 crore

“Overall, the performance of the amalgamated entity was quite satisfactory. Amalgamation is proceeding as per the fixed timelines,” the bank’s managing director and CEO Rajkiran Rai G said.

He said the bank saw a substantial improvement in its net interest income and also on the operating profit side.

Net interest income rose by 17.1 per cent to ₹6,403 crore as compared to ₹5,468 crore.

The gross non-performing ratio improved to 14.95 per cent compared to 15.59 per cent. Net NPA ratio improved to 4.97 per cent from 6.47 per cent.