UCO Bank (UCOBANK) Q4 24/25 earnings summary

Executive summary

• Business grew 14.12% year-over-year, surpassing ₹5,13,527 crore in total business, with advances up 17.72% and deposits up 11.56%.

• Net profit for FY 2024-25 reached ₹2,445 crore, a 47.8% increase year-over-year; Q4 net profit was ₹653 crore, up 24% year-over-year.

• Operating profit for FY 2024-25 was ₹6,037 crore, up 32% year-over-year.

• Digital transformation initiatives and ESG efforts recognized with multiple awards.

• Audited standalone and consolidated financial results for the year ended 31st March 2025 were approved, showing strong growth in profitability and capital position.

Financial highlights

• Net interest income rose 18.88% year-over-year to ₹9,630 crore; non-interest income increased 34.91% to ₹4,406 crore.

• Domestic NIM improved by 17 bps to 3.29%; global NIM up 16 bps to 3.08%.

• Yield on advances increased to 8.89% (up 6 bps YoY); yield on funds rose 36 bps to 8.25%.

• Cost-to-income ratio improved to 56.99% for FY 2024-25.

• Earnings per share for FY 2024-25 was ₹2.04; book value improved to ₹17.53.

Outlook and guidance

• FY 2025-26 guidance: deposit growth 10-12%, credit growth 12-14%, CASA 37-38%, RAM 61-63%, CD ratio 77%.

• Credit cost expected below 1%, global NIM 3-3.10%, GNPA below 2.5%, net NPA below 0.35%.

• Recovery and upgradation target set at ₹2,000-2,700 crore.

• RBI projects India's GDP growth at 6.5% for FY 2025-26; inflation forecast at 4.0%.

• Equity capital raising plan of 270 crore shares (₹2,700 crore at face value) approved, subject to shareholder and regulatory approvals.