CUB crosses Rs 60K crore revenue

By NT Bureau Published on May 25, 2018 01:17 PM IST

Chennai: Kumbakonam based lender, City Union Bank posted a growth of 13 per cent from Rs 54,228 crore to Rs 61,091 crore for the FY18. The bank is eyeing for a growth rate of 18 per cent to 20 per cent in the current financial year, a statement from the bank said.

For the fourth quarter, the bank posted 18 per cent growth in net profit to a tune of Rs 152 crore in the fourth quarter ended 31 March, against Rs 129 crore in the corresponding quarter last year.

After the announcement of financial results for the FY 17-18, MD and CEO of City Union Bank, N Kamakodi said,

"Despite the last financial year being a challenging time for the banking sector, we managed to grow faster than industry average by restricting corporate lending. We will continue to focus on lending to commercial trading, agriculture and MSMEs to grow in the current fiscal as well."

The operating profit of the bank increased by 19 per cent to Rs 294 crore from Rs 248 crore. Total income for the quarter went up by 6.99 per cent to Rs 990.48 crore, as against Rs 925.75 crore reported during corresponding period last year.

The bank has recorded a gross NPA of 3.03 per cent against 2.83 per cent while net NPA stood at 1.70 per cent as compared to 1.71 per cent. Kamakodi said that in the current fiscal, the bank will also be focusing more on recovery of bad loans. It had recovered Rs 193 crore during FY17, Rs 276 core in FY18 and expects much more improvement in the recovery process during the current financial year.

As of 31 March, the bank has a network of 600 branches and 1,621 ATMs.