PRESS RELEASES 2008

UCO Bank’s Quarter-3 Net Profit Jumps by 107.35 per cent

The financial results for the third quarter of the current financial year 2008-09 were adopted and approved by the Board of Directors of the Bank in its meeting held on 21st January, 2009 at Kolkata.

Net Profit:

The performance of the Bank for the third quarter ended December, 2008 has been highly encouraging.  The Net profit of the Bank for the third quarter of the current financial year 2008-09 jumped by 107.35 per cent from Rs. 82.78 crore for the third quarter 2007-08 to Rs. 171.64 crore in the third quarter of the current financial year 2008-09.  The total net profit of the Bank for the 3-quarters in the current financial year stood at Rs. 455.17 crore.  The operating profit of the Bank also jumped by 103.27 per cent in the third quarter of the current financial year 2008-09.   

The increase in net profit of the Bank has been mainly due to improvement in yield on Advances and fee-based income including treasury operations of the Bank along with reduction in operating expenses and better performance under recovery.

Business:

The global business of the Bank increased by 20.85 per cent or by Rs. 25,502 crore on y-o-y basis and stood at Rs.1,47,764 crore.  The domestic business also increased by 20.81 per cent on y-o-y basis and stood at Rs. 1,36,696 crore.

The global deposits of the Bank increased by 19.98 per cent, with global advances at 22.12 per cent.  The total deposits of the Bank as on 31.12.2008 stood at Rs. 86,873 crore with advances at Rs. 60,891 crore.

Priority Sector Advances:

The Priority Sector Advances of the Bank as on 31st December, 2008 stood at Rs. 20,306 crore or 40.80 per cent to net bank credit.   The advances to agricultural sector also showed improvement during the current financial year and stood at Rs. 8671 crore.  The advances under MSME sector in the current financial year upto 31st December, 2008 increased by 13.27 per cent and stood at Rs. 7601 crore.

Recovery:

The performance under Recovery in the current financial year has been very good.  The gross NPAs of the Bank has been brought down from Rs. 1660 crore as of December, 2007 to Rs. 1475 crore as of December, 2008. The NPA reduction has shown an improvement from  Rs. 471 crore as of December, 2007 to Rs. 554 crore as of December, 2008. The gross NPAs to total advances of the Bank has been brought down from 3.33 per cent as of December, 2007 to 2.42 per cent as of December, 2008. The net NPA of the Bank has come down from  Rs. 1171  crore or 2.37 per cent to Net Advances to Rs. 771 crore or 1.28 per cent to Net Advances during the same period.  

New Initiatives:

During the current financial year, the Bank has taken several initiatives to strengthen its operations as well as improve its image.  The initiatives which were taken in various areas include business, branch expansion, technology, HR & Personnel, retail and para-banking.  

Place: Kolkata

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