Uco Bank Q2 profit up by 35% at Rs 150 crore

Kolkata, Oct 31 (UNI) UCO Bank has posted a profit of Rs 150.09 crore in the second quarter ending September 30, registering 35 per cent growth compared to the corresponding period last fiscal.

The city-based nationtionlised bank's Chairman and Managing Director S K Goel told a news conference here today that the second quarter's banking of this fiscal was more robust than the first three months' profit of Rs 110.53 crore.

UCO Bank also registered 16.49 per cent growth in global net profit during the half year ended September. The net profit stood at Rs 283.53 crore, and the success was attributed to the better NPA management and increase of net-interest income.

The Bank has recorded a growth of 19.83 per cent in its global business on year-on-year basis at the end of Q2 with deposits growing at 16.68 per cent and advances at 24.48 per cent. The total business of the bank at the end of September stood at Rs 1,41,397 crore with deposits at Rs 82,019 crore and advances at Rs 59,378 crore.

The growth of domestic business was 18.86 per cent and stood at Rs 1,29,517 crore. The growth of domestic deposits was at 15.55 per cent and advances at 23.83 per cent.

The growth in domestic depostis was on the lower side as the bank did not go for mobilisation of bulk deposits as a matter of policy, Mr Goel said.

He said the Centre has approved the bank's request of arranging Rs 800 crore for financial restructure which would be taken up shortly. He said of the total Rs 800 crore, Rs 325 crore would come from preferential share, which the government would take care of, Rs 175 crore would come from innovative perpetual debt instrument and the remaining Rs 300 crore from bonds and shares.

Mr Goel said the bank would get those funds by November and the process for finanical restructuring would start.

''The Union Cabinet today approved the capital restructuring for the UCO Bank. The Bank can release captial in the market any moment now,'' Mr Goel added.

UNI PC DPM RN1849