- Union Bank of India’s net income for the fourth quarter is 49.8 billion rupees, exceeding estimates and marking a 50% increase year-over-year.
- The bank’s gross non-performing assets have decreased to 3.6%, compared to 3.85% in the previous quarter, matching consensus estimates.
- Provisions have reduced by 3.8% quarter-over-quarter to 15.4 billion rupees, undershooting the market estimate.
- Interest income rose by 5.1% year-over-year to 276.95 billion rupees, surpassing the estimated figure.
- Interest expenses have increased by 7.5% year-over-year, amounting to 181.8 billion rupees, higher than projected amounts.
- Other income experienced a significant increase, rising by 18% year-over-year to 55.6 billion rupees.
- Provision for loan losses reached 16.8 billion rupees, a 14% increase quarter-over-quarter.
- A dividend of 4.75 rupees per share has been declared.
- The bank’s operating profit stands at 77 billion rupees, an 18% rise year-over-year, exceeding expectations.
- Investment community shows a positive sentiment with 10 buy recommendations, no holds, and 1 sell recommendation.
A look at Union Bank Of India Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 5 | |
| Dividend | 5 | |
| Growth | 4 | |
| Resilience | 4 | |
| Momentum | 5 | |
| OVERALL SMART SCORE | 4.6 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Union Bank of India Limited, a prominent bank offering a variety of financial services across India, has received encouraging scores in key areas according to Smartkarma Smart Scores. With a top rating in Value and Dividend, as well as strong scores in Growth, Resilience, and Momentum, the overall outlook appears favorable. The bank’s focus on providing value to investors, along with a consistent track record of dividend payments, indicates a solid financial standing.
Union Bank’s balanced approach to growth, resilience in managing challenges, and positive momentum in the market further enhance its long-term prospects. With a comprehensive range of banking services including retail, commercial, investment management, and NRI services, Union Bank of India is well-positioned to continue its growth trajectory and maintain its standing in the competitive banking sector.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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