| City Union Bank has reported 25% growth in net profit at Rs 359.57 crore for the quarter ended March 2026 (Q4FY2026). Net Interest Income (NII) increased 31% while the core fee income of the bank also improved 16% in Q4FY2026. The Net Interest Margin (NIM) of the bank moved up to 3.87% in Q4FY2026 compared to 3.60% in the corresponding quarter of previous year. On business front, the business growth accelerated to 24% at end March 2026 from 21% at end December 2025, as the loan book growth accelerated to 26%. The CASA ratio of the bank has declined to 27.6% at end March 2026 from 28.5% at end March 2025. NII growth improves as NIM rises: Interest income increased 21% to Rs 1855.62 crore, while interest expenses moved up 15% to Rs 1069.78 crore in Q4FY2026. NII improved 31% to Rs 785.84 crore in Q4FY2026. Margins improve qoq: The bank has shown 42 bps YoY decline in cost of deposits to 5.60%, while yield on advances declined 13 bps YoY to 9.80% in Q4FY2026. NIM has improved 27 bps YoY to 3.87%, while eased 2 bps qoq to 3.87% in Q4FY2026. Healthy growth in the core fee income: The non-interest income of the bank increased 16% to Rs 290.48 crore in Q4FY2026. Bank has posted strong 16% growth in core fee income to Rs 174 crore, while the treasury income improved 10% to Rs 29 crore and other income galloped 16% to Rs 88 crore in Q4FY2026. Expense ratio improves: The operating expenses of the bank increased 21% to Rs 496.75 crore, as other expenses moved up 22% to Rs 262.14 crore, while employee expenses rose 19% to Rs 234.61 crore in Q4FY2026. Cost to income ratio improved to 46.2% in Q4FY2026 compared with 48.2% in Q4FY2025. Operating Profit moved up 31% to Rs 579.57 crore. Provisions and contingencies increase: The bank has shown 54% increase in provisions to Rs 120 crore. The loan loss provisions fell 10% to Rs 70 crore, while standard asset provisions increased to Rs 30 crore and other provisions to Rs 20 crore in Q4FY2026. PBT increased 27% to Rs 459.57 crore in Q4FY2026. Effective tax rate increased to 21.8% in Q4FY2026 from 20.7% in Q4FY2025. Net Profit increased 25% YoY to Rs 359.57 crore in Q4FY2026. Asset quality improves: The bank has improved asset quality in Q4FY2026. The fresh slippages of loans stood at Rs 199 crore in Q4FY2026 compared with Rs 193.1 crore in previous quarter and Rs 259.5 crore in the corresponding quarter last year. The recoveries of NPAs stood at Rs 82.3 crore and upgrades were at Rs 70.9 crore, while the write-off of loans was at Rs 92.7 crore in Q4FY2026. Provision coverage ratio rose to 84% at end March 2026 compared to 83% a quarter ago and 78% a year ago. The capital adequacy ratio of the bank stood at 21.9% with Tier I ratio at 20.8% at end March 2026. | Asset Quality Indicators: City Union Bank | | ' | Mar-26 | Dec-25 | Sep-25 | Jun-25 | Mar-25 | Variation | ' | | QoQ | YoY | ' | | Gross NPA (Rs Crore) | 1273.08 | 1320.00 | 1393.22 | 1616.98 | 1638.17 | -4 | -22 | ' | | Net NPA (Rs Crore) | 449.42 | 469.34 | 512.86 | 634.55 | 653.07 | -4 | -31 | ' | | % Gross NPA | 1.91 | 2.17 | 2.42 | 2.99 | 3.09 | -26 | -118 | ' | | % Net NPA | 0.68 | 0.78 | 0.90 | 1.20 | 1.25 | -10 | -57 | ' | | % PCR | 84.00 | 83.00 | 82.00 | 79.00 | 78.00 | 100 | 600 | ' | | % CRAR - Basel III | 21.92 | 20.13 | 21.68 | 23.10 | 23.75 | 179 | -183 | ' | | % CRAR - Tier I - Basel III | 20.82 | 22.70 | 22.70 | 22.70 | 22.70 | -188 | -188 | ' | | Variation in basis points for figures given in percentages and in % for figures in Rs crore | ' Business Highlights: Business growth improves: The business of the bank has increased at an accelerated pace of 24% YoY to Rs 145007 crore end March 2026, as advances growth improved to 26% to Rs 66699 crore and deposits growth improved to 23% to Rs 78308 crore at end March 2026. With the faster growth in advances, the credit to deposit ratio rose to 85.2% at end March 2026 from 83.5% at end March 2025. CASA deposits ratio improves: The CASA deposits of the bank increased 19% YoY to Rs 21644 crore at end March 2026. The current account deposits moved up 16% to Rs 5598 crore, while saving account deposits increased 21% to Rs 13635 crore end March 2026. The CASA ratio eased to 27.6% at end March 2026 compared to 28.5% at end March 2025, while increased from 27.3% at end December 2025. The term deposits have increased 25% to Rs 56664 crore end March 2026. Loan growth accelerates: Within the loan book, the retail loans increased 53% YoY to Rs 21890 crore at end March 2026, while credit to agriculture increased 23% to Rs 10843 crore and MSME credit increased 15% to Rs 25004 crore. The corporate credit has also increased 8% to Rs 8961 crore end March 2026. The share of retail, agriculture and MSME (RAM) improved to 86.6% at end March 2026 compared to 84.3% at end March 2025. Investment book of the bank increased 10% YoY to Rs 19019 crore at end March 2026. The SLR book moved up 10% to Rs 18873 crore, while non SLR book slipped 9% to Rs 146 crore at end March 2026. The AFS book galloped 93% to Rs 5484 crore, while HTM book rose declined 7% to Rs 13409 crore at end March 2026. The duration of the overall investment portfolio stood at 4.15 years and AFS investment portfolio stood at 3.01 years end March 2026. Branch expansion: The bank has added 48 branches and added 86 ATMs in Q4FY2026, taking overall tally to 949 branches and 1764 ATM`s end March 2026. Book value of the bank stood at Rs 142.9 per share at end March 2026, while the adjusted book value (net of NNPA and 10% of restructured advances) was Rs 136.3 per share at end March 2026. Financial Performance FY2026: Bank has posted 18% increase in net profit to Rs 1326.24 crore in the year ended March 2026 (FY2026). The net interest income increased 22% to Rs 2829.84 crore, while non-interest income moved up 16% to Rs 1038.83 crore, leading net total income to increase 20% to Rs 3868.67 crore in FY2026. The operating expenses increased 21% to Rs 1854.43 crore, while provision and contingencies jumped 31% to Rs 343.00 crore. PBT increased 18% to Rs 1671.24 crore in FY2026. The cost-to-income ratio rose to 47.9% in FY2026 compared to 47.8% in FY2025. An effective tax rate eased to 20.6% in FY2026 compared to 20.7% in FY2025. The net profit has increased 18% to Rs 1326.24 crore in FY2026. | City Union Bank: Results | | Particulars | 2603 (3) | 2503 (3) | Var % | 2603 (12) | 2503 (12) | Var % | | Interest Earned | 1855.62 | 1532.72 | 21 | 6869.76 | 5834.04 | 18 | | Interest Expended | 1069.78 | 932.40 | 15 | 4039.92 | 3518.33 | 15 | | Net Interest Income | 785.84 | 600.32 | 31 | 2829.84 | 2315.71 | 22 | | Other Income | 290.48 | 251.22 | 16 | 1038.83 | 898.06 | 16 | | Net Total Income | 1076.32 | 851.54 | 26 | 3868.67 | 3213.77 | 20 | | Operating Expenses | 496.75 | 410.58 | 21 | 1854.43 | 1535.15 | 21 | | Operating Profits | 579.57 | 440.96 | 31 | 2014.24 | 1678.62 | 20 | | Provisions & Contingencies | 120.00 | 78.00 | 54 | 343.00 | 262.00 | 31 | | Profit Before Tax | 459.57 | 362.96 | 27 | 1671.24 | 1416.62 | 18 | | EO | 0.00 | 0.00 | - | 0.00 | 0.00 | - | | PBT after EO | 459.57 | 362.96 | 27 | 1671.24 | 1416.62 | 18 | | Provision for tax | 100.00 | 75.00 | 33 | 345.00 | 293.00 | 18 | | PAT | 359.57 | 287.96 | 25 | 1326.24 | 1123.62 | 18 | | EPS*(Rs) | 19.4 | 15.5 | ' | 17.8 | 15.2 | ' | | Equity | 74.3 | 74.1 | ' | 74.3 | 74.1 | ' | | Adj BV (Rs) | 136.3 | 118.2 | ' | 136.3 | 118.2 | ' | | * EPS and Adj BV are calculated on diluted equity as given for each year. Face Value: Rs 1, Figures in Rs crore | | Source: Capitaline Corporate Database | '
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