UCO Bank Q1 results: PAT up 21% to ₹124 cr, asset quality improving

total interest income (NII) at . came in 12.96% growth from Rs 1,649.54 crore in Q1FY23 1,460.23 crore in the first quarter of the previous year. However, was marginally below NII 1,652.38 crore in Q4FY22.

Bank shares fell sharply provisions During Q1FY23. Lender reports 75.66% drop in provisions and contingencies 246.83 crore as compared to 1,014.23 crore in Q1FY22. In the meantime, Provisions. decreased by 46.98% from 465.60 crore in the fourth quarter of FY22.

In view of the possible impact of the COVID-19 pandemic. Bank has ad hoc provision 715 crores till June 30, 2022 (Reverse) 285 crore during the quarter ended June 30, 2022) to meet any emergency arising out of the COVID-19 pandemic, the bank said in the audit report.

Also, following RBI’s circular on Prudential Framework for Resolution of Stressed Assets, the bank has additional provisions 449.26 crore in 7 accounts.

In terms of asset quality, the gross NPA of the bank was Q1FY23 vs . 9,739.65 crore in 11,321.76 crore in Q1FY22 and 10,237.43 crore in Q4FY22. In percentage terms, Gross NPAs stood at 7.42% in Q1FY23, as against 9.37% in Q1FY22 and 7.89% in Q4FY22.

The bank’s net NPAs stood at 2.49% in the first quarter of this fiscal, as against 3.85% in Q1FY22 and 2.70% in Q4FY22.

“The outbreak of the COVID-19 pandemic has adversely affected the economic activities across the world including the Indian economy during the last two years. The Bank is continuously monitoring the situation and taking all possible measures including digital initiatives to ensure that customers reach and Full-fledged banking operations,” it added.

Was trading on UCO Bank on BSE 11.81 each fell 2.64% at around 3.23 pm. Shares touch intraday high 12.30 per.

The market valuation of the company was approx. 14,143.90 crores.

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