UCO Bank Q3

Public sector lender UCO Bank announced a whopping 206.95% y-o-y jump in its net profit to Rs 314.53 Cr for the quarter ended December 31, 2013, from Rs 102.47 Cr in the year-ago period. This was largely on the account of a more than 36% jump in its operating profit. The Kolkata-headquartered bank’s asset quality also improved as the gross as well as net non-performing assets (NPAs) were trimmed. The bank’s operating profit rose to Rs 1,137 Cr for the third quarter this fiscal against Rs 831 Cr in the year-ago period, on the back of a substantial rise in net interest income (NII). NII during the period under review stood at Rs 1,566 Cr against Rs 1,177 Cr in the year-ago period, registering 32.97% y-o-y growth. Retail lending saw a high growth, while corporate lending declined. UCO Bank CMD Arun Kaul attributed the more-than-three-fold rise in net profit to healthy growth in net interest income, rise in Casa ratio and a decrease in cost of funds.

Cabinet nod for conversion of pref shares into equity in 3 banks

The Union Cabinet has given its nod for conversion of perpetual non-cumulative preference shares held by the Government in three public sector banks — Indian Bank, UCO Bank and Vijaya Bank — into equity shares. PNCPS amounting to Rs 400 Cr, Rs 1,823 Cr and Rs 1,200 Cr in Indian Bank, UCO Bank and Vijaya Bank, respectively, will be converted into equity in favour of Central Government, Finance Minister P. Chidambaram told. This move will increase the Centre’s holding in Indian Bank from 80% to 82.22%, in UCO Bank from 69.26% to 77.25% and in Vijaya Bank from 55.02% to 71.85%. The conversion, which will be done this fiscal, is however subject to SEBI as well as shareholder approvals. Chidambaram noted that conversion of PNCPS will bolster the tier-I capital of these three banks and make available more funds for meeting the credit needs of the productive sectors of the economy.

UCO Bank Festive Offer on Housing and Vehicle loans

UCO Bank is offering 50% concession in processing charges on housing loan during its Grand Festive Offer. The offer period has already started on 20/09/2012. The bank is offering  10.50% on Housing loans. The vehicle loans are offered at 10.75%. Processing charges are fully waived for vehicle loans. If customer avails both housing and vehicle loans during offer period then processing charge is fully waived for both loans.