UCO Bank reported a 2.82% year-on-year increase in net profit for the second quarter ended September 30, 2025, as per its official earnings disclosure. The bank’s net profit stood at ₹620 crore in Q2 FY26 compared to ₹603 crore in the same period of the previous year.
Net interest income (NII) for the quarter rose by 10.08% year-on-year to ₹2,533 crore, up from ₹2,301 crore in the prior year, the bank said in a filing. The net interest margin (NIM) was reported at 2.90% globally and 3.08% domestically for the quarter ended September 30, 2025.
Asset Quality Improves
Asset quality showed improvement, with the gross non-performing assets (GNPA) ratio reducing to 2.56% as of September 30, 2025, from 3.18% a year earlier, marking an improvement of 62 basis points year-on-year.
The net NPA ratio also improved to 0.43% from 0.73% in the same period last year, reflecting a 30 basis points improvement. The provision coverage ratio stood at 96.99% as of the end of the quarter.
Business Highlights
UCO Bank‘s total business grew by 13.23% year-on-year to ₹5,36,398 crore as of September 30, 2025, from ₹4,73,704 crore a year earlier. Total deposits increased by 10.85% year-on-year to ₹3,05,697 crore, while gross advances grew by 16.56% to ₹2,30,702 crore.
The Retail, Agriculture, and MSME (RAM) segment registered a year-on-year growth of 22.87%, reaching ₹1,32,946 crore as of September 30, 2025. Within this segment, retail advances grew by 25.40% year-on-year to ₹58,987 crore, agriculture advances increased by 17.28% to ₹31,650 crore, and MSME advances rose by 23.80% to ₹42,309 crore.
The bank’s capital adequacy ratio (CRAR) stood at 17.89% as of September 30, 2025, with a Tier I capital ratio of 15.90%. The credit-to-deposit ratio improved to 75.47% from 71.77% a year earlier.
Half-year Performance
For the half-year ended September 30, 2025, UCO Bank reported a net profit increase of ₹73 crore to ₹1,227 crore, compared to ₹1,154 crore in the same period of the previous year.
Operating profit for the half-year showed a growth of 15.33% year-on-year, reaching ₹3,175 crore, up from ₹2,753 crore.
The bank’s branch network as of September 30, 2025, included 3,322 domestic branches and two overseas branches in Hong Kong and Singapore, along with a representative office in Iran. Out of the total branches, 61% are located in rural and semi-urban areas. The bank also reported having 2,607 ATMs and 11,108 Business Correspondent Points, totalling 17,040 touch points.
Disclaimer: This article was generated using AI tools and has undergone editorial review for clarity and coherence.
