UBI Q1 net profit rises 47.3% to Rs 65.89 crore

United Bank of India (UBI) today reported 47.3 per cent rise in net profit at Rs 65.89 crore for the first quarter of FY15 as compared to Rs 44.73 crore in the corresponding period.
The aim of the bank now is to stabilise the recovery front after it suffered losses in the third quarter of last fiscal due to bad loans, said UBI Executive Director Sanjay Arya while announcing the results here today.
Cash recovery for the quarter stood at Rs 340 crore, while for the full year it was Rs 1,150 crore.
NPA reduction in the quarter was Rs 966 crore as against Rs 162 crore in the corresponding period.

Gross NPA of the bank during the quarter was Rs 7,097 crore (or 10.49 per cent of total advances), while net NPA was Rs 4,666.54 crore, or 7.23 per cent.
Arya said the bank is adequately capitalised to meet the Basel III norms, adding that it had got a capital infusion of Rs 275 crore during the quarter while LIC had given Rs 300 crore.

Total deposits of the bank at the end of June 2014 touched Rs 1,07,075 crore and advances at Rs 67,640 crore.
Arya said the bank would target retail advances while it would be more cautious on corporate lending.

Interest income of the bank during the quarter increased 5.63 per cent at Rs 2,602 crore, while non-interest income was at Rs 401 crore.