UCO Bank's Profits Rise Amid Decline in Bad Loans

State-owned UCO Bank reported a 16% increase in net profit to Rs 740 crore in the December quarter. The bank's income rose to Rs 7,521 crore, aided by increased core income and reduced bad loans. Gross NPAs dropped to 2.41%, and net NPAs fell to 0.36%.

UCO Bank, a state-owned entity based in Kolkata, has announced a 16% rise in net profit, bringing it to Rs 740 crore for the December quarter. The profit surge is attributed to a combination of boosted core income and a reduction in bad loans.

According to the bank's latest regulatory filing, total income for the period increased to Rs 7,521 crore, up from Rs 7,406 crore during the same timeframe last year. Interest income also saw a rise, hitting Rs 6,652 crore from the previous Rs 6,220 crore.

The bank's asset quality improved, with gross non-performing assets decreasing to 2.41% from 2.91% a year prior, and net NPAs were reduced to 0.36%. Moreover, the provision coverage ratio increased slightly to 97.32%, indicating a robust financial position moving forward.

(With inputs from agencies.)