UNITED BANK OF INDIA - FIRST QUARTER RESULTS - Q1 FY 2013 - TOTAL INCOME UP BY 24.45% YoY; NPT UP 31.29% YoY

UNITED BANK OF INDIA

FIRST QUARTER RESULTS

Q1 FY 2013

UNITED BANK OF INDIA  has declared good results for the first quarter ending June, 2012.The High Lights are as below :

HIGH LIGHTS

Total Income  for Q1 FY 13 stands at Rs.2499.10 Cr; up by 5.44% from Q4 FY 12 (Rs.2370.15 Cr); and up by 24.45% from Q1 FY 12 (Rs.2008.18 Cr.)

Total Expenditure for Q1 FY 13 stands at Rs.1953.00 Cr; up by  3.21% from Q4 FY 12 (Rs.1892.32 Cr); and up by 22.76% from Q1 FY 12 (Rs.1590.86 Cr).

Profit  before Interest, Dep. & Taxes for Q1 FY 13 stands at Rs.546.10 Cr; up by  14.29% from Q4 FY 12 (Rs.477.83Cr); and up by  30.86% from Q1 FY 12 (Rs.417.32 Cr).

Net Profit  for Q1 FY 13 stands at Rs.173.89 Cr; up by 16.48% from Q4 FY 12 (Rs.149.29 Cr); and up by 31.29% from Q1 FY 12 (Rs.132.45 Cr).

Diluted EPS  for Q1 FY 13 stands at Rs.4.24 ; against Rs.3.69 in Q4 FY 12; and Rs.3.27 in Q1 FY 12.

52 week high/low price : Rs.95.40/45.60; Current MP : Rs.53.65

OTHER DETAILS

Net interest income (NII) was at Rs 684 Cr, up 20 per cent from the corresponding period last year.

 Net interest margin improved three basis points YoY and five basis points  QoQ to 3.05 % because,  rise in yield on advances outpaced increase in cost of deposits.

Other income grew 27 per cent year-on-year in April-June due to Higher commissions, income from exchange transactions and profits in treasury operations.

“I don’t see any reason why we will not be able to maintain our margin over three per cent in coming quarters,” Bhaskar Sen, CMD said.

Asset quality deteriorated with gross NPA ratio increasing 58 basis points to 3.47 % and net NPA ratio expanding 10 basis points to 1.77 %. Fresh Slippages during the quarter was estimated at Rs 298 Cr. But, recoveries and upgrades reduced provisions against NPAs to Rs 125 Cr –compared to Rs 137 Cr a year ago. Total provisions increased 31 % to Rs 372 Cr.( on account of gratuity and taxation).

Bank’s restructured loan portfolio was Rs 4,093 Cr, of which Rs 921 Cr advances were classified as non-performing. It restructured around Rs 1,120  Cr loans in April-June.

Advances were up nearly 20 % YoY at Rs 63,625 Cr.

Deposits grew 16 % YoY to Rs 89,639 Cr. Share of low-cost current account savings account (CASA) deposits was 40.5 % of total deposits at the end of June, 2012.

“We have been consciously reducing our bulk deposit base. Currently, around 16.2 per cent of our total deposits are bulk deposits,” the CMD said.

The bank has decided to cut interest rate on loans to small and medium enterprises and will review its deposit rates soon.

Overall, the Bank’s Performance during the quarter has been very Good.

RESULTS TABLE

united bank	30-Jun-12	QoQ % Dif	31-Mar-12	YoY % Dif	30-Jun-11
Total Income	249910	5.44	237015	24.45	200818
Total Expenditure	195300	3.21	189232	22.76	159086
Profit  before Interest, Dep. & Taxes	54610	14.29	47783	30.86	41732
Net Profit	17389	16.48	14929	31.29	13245
Diluted EPS	4.24	14.91	3.69	29.66	3.27
Intereston Advances	175113	9.04	160600	25.63	139385
Income on Investments	51437	4.86	49052	16.14	44290
Income on Balances With RBI	1182	70.81	692	652.87	157
Others	649	-77.53	2888	#VALUE!	-
Interest Earned	228381	7.1	213232	24.23	183832
Other Income	21529	-9.48	23783	26.75	16986
Total Income	249910	5.44	237015	24.45	200818
Interest Expended	160024	5.75	151318	26.07	126936
Net Interest Income	68357	10.41	61914	20.14	56896
Employees Cost	22592	-3.28	23358	5.32	21450
Other Operating Expenses	12684	-12.86	14556	18.54	10700
Operating Expenses	35276	-6.96	37914	9.72	32150
Total Expdr (Excl.Provisions)	195300	3.21	189232	22.76	159086
Operating Profit	54610	14.29	47783	30.86	41732
Provisions	29200	-4.78	30665	34.02	21787
Profit before tax	25410	48.44	17118	27.4	19945
Tax Expense	8021	266.42	2189	19.72	6700
Net Profit	17389	16.48	14929	31.29	13245
Face Value of Share (Rs )	10	0	10	0	10
Paid-up Equity Share Capital	36100	0	36100	4.81	34442
Capital Adequacy Ratio	10.44	-0.38	10.48	-8.34	11.39
Diluted EPS	4.24	14.91	3.69	29.66	3.27
Gross/Net NPA	110553	2.79	107555	25.91	87802
% of Gross/Net NPA	1.77	2.91	1.72	5.99	1.67
Return on Assets	0.7	11.11	0.63	14.75	0.61
Public Shareholding (%)	18.44	0	18.44	27	14.52

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UNITED BANK OF INDIA = RESULTS =Q4 AND FY 2011 = FOR YEAR ENDED 31ST,MARHC,2011= GOOD PEROFRMANCE = NPT UP 210% IN Q4 FY 11 FROM Q4 FY 10.

United Bank of India

NSE Symbol UNITEDBNK

United Bank of India has performed reasonably well in FY 11 and in Q4 of FY 11.

Interest on Advances : is Rs.1320.01 cr for Q4 FY 11.

The same is up by 9.47% from Q3 FY 11; up by 20.66% from Q2 FY 11; Up by 30.17% from Q1 FY 11; and Up by 36.7% from Q4 FY 10. The total for FY 2011 is Rs.4633.91 cr – which is up by 25.91% from FY 10.

Income on Investments : is Rs.426.07 cr in Q4 FY 11;

The same is up by 1.22% from Q3 FY 11; Up by 3.53% from Q2 FY 11; up by 2.82% from Q1 FY 11; but down by 2.01% from q4 Fy 10. The total for FY 11 is Rs.1672.94 cr – which is up by 8.23% from FY 10.

NII : is Rs.574.80 cr for Q4 FY 11;

The same is  up by 2.69% from Q3 FY 11; Up by 9.23% from Q2 FY 11; Up by 13.02% from Q1 FY 11; and up by 36.25% from Q4 FY 10; The total for FY 2011 is Rs.2169.35 cr – which is up by     55.93% from FY 10.

Chairman and managing director Bhaskar Sen said net interest margin increased to 3.19 per cent in the quarter from 2.28 per cent in the same period last year.

Total Income : is Rs.1986.52 cr for Q4 FY 11;

The same is up by 11.81% from Q3 FY 11; Up by 19.85% from Q2 FY 11; up by 27.52% from Q1 FY 11; and up by 27.39% from Q4 FY 10. Thte  total for FY 11 is Rs.6978.51, which is up by 20.16% from FY 10.

Total Expenditure (excl. provisions) : is Rs.1561.49 cr for Q4 FY 11;

The same is up by 12.34% from Q3 FY 11; up by     19.84% from Q2 Fy 11; Up by 28.29% from Q1 FY 11; and up by 22.74% from Q4 fy 10. The total for FY 11 is Rs.5471.52 cr – which is up by 10.94% from FY 10.

Operating Profit  : is Rs.425.03 cr  for Q4 FY 11;

The same is  up by 9.91% from Q3 FY 11; Up by 19.88% from Q2 FY 11; up by 24.75% from  Q1 FY 11; and  up by a good 47.98% from Q4 FY 10. The total for FY 11 is Rs.1506.99 cr – up by 72.06% from FY 10.

The CASA ratio, stood at a good 40.80 per cent during the quarter.

But, Provisions       has also gone up to Rs.283.80 cr for Q4 FY 11;

This is up by 70.38% from Q3 FY11; up by 30.3% from Q2 FY 11; up by  67.1% from Q1 FY 11; and up by just 0.7% from Q4 FY 10; The total for FY 11 is Rs.838.02 cr- which is up by 80.09% from FY 10.

Profit before tax is Rs.141.23 cr in Q4 FY 11;

The same is down by 35.85% from Q3 FY 11; UP by 3.28% from Q2 FY 11; and again down by 17.34% from Q1 FY 11;  and up by a huge 2523.39% from Q4 FY 11. The total for FY 11 is Rs.668.97 cr, which is up by 62.96% from FY 10.

Due to a lower Tax expense of Rs(-)2 cr , Net Profit in Q4 FY 11 is Rs.143.23 cr – which is still down by 12.2% from Q3 FY 11; and up by 30.52% from Q2 FY 11; up by 32.79% from Q1 FY11; and up by a huge 209.89% from Q4 FY 10. The total for FY 11 is Rs.523.97 cr – up by a good 62.54% from FY 10.

Capital Adequacy Ratio is reasonable at 11.16.

Basic EPS is Rs.3.96 in Q4 FY 11; against Rs.4.62 in Q3 FY 11; Rs.3.47 in Q2 FY 11; Rs.3.41 in Q1 FY 11; and Rs.1.51 in Q4 FY 10. The total EPAS for FY 11 is Rs.14.38 – against a Paltry Rs.2.51 in FY 2010. Face value is Rs.10.

% of Gross/Net NPA is slightly down at 1.42 in Q4 FY 11 against 1.52 in FY 10.

Return on Assets is 0.66.

Total business during FY 11 is Rs 1,31,779 crore, a YoY growth of 18.8 per cent. Deposits grew 14.2 % to Rs 77,845 crore and advances were up 26.1 % to Rs 53,934 crore. The bank targets a total business of Rs 1,56,000 crore in FY 11. UBI, which had 1,597 branches as on March 31,2011 plans to add 70 more in current year.

ANNOUNCEMENTS TO NSE

22-02-2011 the Bank have considered and approved the issue and allotment of equity shares of Rs.10/- each at such price as determined in accordance with the SEBI ICDR Regulations, 2009 aggregating up to Rs.308 Crore. The Company has now informed the Exchange that in terms of Regulations 76(1) of the SEBI (Issue of Capital & Disclosure Requirements) Regulations 2009 (SEBI ICDR Regulations) the issue price for the said Preferential Allotment works out to Rs.110.04 per share (Rupees One Hundred Ten and Paisa Four Only) including a premium of Rs 100.04 per equity share. Accordingly the Bank proposes to issue and allot up to 279,89,821 equity shares to the Government of India on Preferential Basis.

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