City Union Bank announced Q4FY24 & FY24 results:
1. Net Interest Income
The Bank earned Net Interest Income of Rs 547 crore for Q4FY24 and Rs 2,123 crore for FY24 as against Rs 514 crore and Rs 2,163 crore respectively in Q4FY23 and FY23.
2. Non Interest Income
Non Interest Income of the Bank for Q4FY24 was at Rs 175 crore as against Rs 195 crore for Q4FY23 and for FY24 it stood at Rs 742 crore compared to Rs 810 crore for FY23.
3. Operating Expenses
The operating expense is Rs 370 crore for Q4FY24 as compared to Rs 292 crore in Q4FY23 and for FY24 the same was at Rs 1,348 crore as against Rs 1,155 crore for the corresponding period last year.
4. Operating Profit
The Gross Profit was Rs 352 crore and Rs 1,517 crore respectively for Q4FY24 and FY24 as against Rs 417 crore and Rs 1,818 crore in the corresponding period last year.
5. Provisions & contingencies
The Bank has made a provision of Rs 327 crore for FY24 as against Rs 690 crore towards NPA in the corresponding period last year. The recovery is more than the slippages, which had helped in reduced provision requirement.
6. Net Profit
The PAT was Rs 255 crore in Q4FY24 as against at Rs 218 crore in Q4FY23 growing 17%. Our bank had recorded a four digit PAT for the first time in our history and our PAT stood at Rs 1,016 crore compared to Rs 937 crore registering a growth of 6%. Improved recovery resulting in lower provisioning requirement had helped to achieve PAT growth.
7. Deposits
Total Deposits of the Bank had increased by 6% and increased to Rs 55,657 crore in Q4FY24 from Rs 52,398 crore in corresponding period last year. CASA portion stood at 31% to total deposits. Cost of deposit stood at 5.75% in Q4FY24 compared to 5.07% in the corresponding quarter last year.
8. Advances
Total Advances increased by 6% for Q4FY24 to Rs 46,418 crore from Rs 43,971 crore in Q4FY23. Credit Deposit ratio stood at 84%. The yield on Advances is at 9.85% for Q4FY24 compared to 9.31% in Q4FY23.
9. Business
Our total business had crossed 6 digits for the first time in our history and stood at Rs 1,02,138 crore for FY24 registering a growth of 6% compared to Rs 96,369 crore last year. With the implementation of digital lending coupled with addition of senior management team is auguring well for our future business growth.
10. Asset Quality
The Gross NPA as on 31.03.2024 was reduced to 3.99% from 4.37% in Q4FY23. Net NPA has come down to Rs 899 crore and NNPA % was decreased to 1.99% from 2.36% for the same period. Our NNPA had come below the 2% mark after FY 21. The provision coverage ratio (PCR) as of 31.03.2024 is at 72% (including T/W) and 52% (excluding T/W).
11. Net Interest Margin
Net Interest Margin is at 3.66% for Q4FY24 and 3.65% for FY24. NIM is within the guidance levels.
12. Return on Assets
Return on assets for Q4FY24 is 1.48% and for FY24 it stands at 1.52% which is our long term average.
13. Return on Equity
Return on Equity was at 12.39% in Q4FY24 and for FY24 it stands at 12.86%.
14. Cost to Income Ratio (CIR)
Cost to Income Ratio increased to 47.06% in FY24 from 38.85% in the last financial year. Additional manpower as well as IT infrastructure cost pertaining to implementation of digital lending process are keeping the CIR at elevated levels.
15. Capital Adequacy
The Bank’s capital adequacy as on 31.03.2024 as per Reserve Bank of India (RBI) guidelines on Basel III norms is 23.84% and Tier-1 capital adequacy was 22.80%, well above regulatory requirements.