Old private sector lender City Union Bank (CUB) has reported a profit after tax of ₹227 crore for the quarter ended June 30, 2023, when compared with ₹225 crore in the year-ago quarter.

The bank reported a drop in operating profit at ₹414 crore in Q1FY24 against (₹447 crore) .

While interest income rose 15 per cent to ₹1,266 crore in June 2023 quarter compared with ₹1,099 crore in June 2022 quarter, the non-interest income dropped to ₹191 crore from ₹218 crore.

Total income grew 11 per cent to ₹1,457 crore when compared with ₹1,317 crore. Net interest income fell 23 per cent to ₹523 crore when compared with ₹525 crore.

The gross non-performing asset (GNPA) ratio increased to 4.91 per cent from 4.65 per cent in June 2022 quarter, while net NPA fell to 2.51 per cent from 2.89 per cent in the year-ago quarter.

The bank’s return on assets stood at 1.40 per cent against 1.46 per cent.

The total business of the bank grew by 5 per cent to ₹94,060 crore (₹89,706 crore in Q1 of last fiscal). Deposits grew by 6 per cent to ₹51,655 crore, while advances increased by 4 per cent to ₹42,405 crore. CASA grew by 3 per cent to ₹15,893 crore. 

As of June 30, 2023, the bank’s capital adequacy, as per Reserve Bank of India (RBI) guidelines on Basel III norms, was 23.02 per cent and tier-1 capital adequacy was 21.98 per cent, well above regulatory requirements, it said.