City Union Bank has reported 18 per cent growth in net profit at Rs 85 crore for the third quarter ended December 31, 2012, against Rs 72 crore in the corresponding quarter last year.
The bank’s deposits grew 24 per cent to Rs 19,044 crore (from Rs 15,412 crore in the year-ago period), and advances by 32 per cent to Rs 14,512 crore (Rs 11,027 crore).
Announcing the results at a press conference here on Friday, the bank’s Managing Director and CEO, N. Kamakodi, said, overall, the economy is yet to recover. “Particularly, the manufacturing sector is still under stress.” The bank’s gross and net non-performing assets reflect this trend. The gross NPA for the quarter was Rs 179 crore (1.23 per cent) against Rs 129 crore (1.17 per cent) in the third quarter of 2011-12. Net NPA stood at Rs 91.43 crore (0.63 per cent) against Rs 56 crore (0.51 per cent) last year.
Net interest margin improved to 3.45 per cent (3.24 per cent), and the net interest income was higher by 33 per cent at Rs 163 crore (Rs 123 crore).
The bank’s capital adequacy ratio stood at 12.39 per cent, book value per share at Rs 36.23, and earnings per share at Rs 2.08.
It is planning to launch its 350th branch in the next couple of weeks in Tirupathi. It also has 692 ATMs.