City Union Bank Share Price Up by 11.96% Amid Q2 FY25 Financial Results

City Union Bank (CUB) Limited has announced its performance results for the second quarter and half-year ending September 30, 2024.

Financial Highlights  

For the second quarter of FY 2024-25, the bank reported a Net Interest Income (NII) of ₹582 crore, reflecting an 8% increase compared to ₹538 crore in the corresponding quarter of the previous year. For the half-year period, the NII reached ₹1,128 crore, a 6% growth from ₹1,061 crore in H1 FY 2023-24. 

Profit After Tax (PAT) saw a marginal increase, standing at ₹285 crore for Q2 FY 2025, slightly up from ₹281 crore in Q2 FY 2024. For the half-year period, PAT grew by 8%, totalling ₹550 crore compared to ₹508 crore in H1 FY 2023-24, indicating the bank’s consistent profitability.

The bank’s total deposits increased by 9%, reaching ₹57,369 crore in Q2 FY 2025, up from ₹52,714 crore in the same period last year. The Current Account Savings Account (CASA) ratio constituted 29% of total deposits. The cost of deposits rose to 5.73% in H1 FY 2025, up from 5.44% in H1 FY 2024.

City Union Bank also reported an increase in total advances, which grew by 12% year-on-year to ₹48,722 crore in Q2 FY 2025, compared to ₹43,688 crore in Q2 FY 2024. The average credit-deposit ratio stood at 84%. Additionally, the yield on advances improved to 9.70% for H1 FY 2025, compared to 9.65% in H1 FY 2024, contributing positively to the bank’s interest margins.

The Net Interest Margin (NIM) for the quarter improved to 3.67%, showing a sequential increase from 3.54% in Q1 FY 2025. Furthermore, the Gross Non-Performing Assets (NPA) ratio declined to 3.54% from 4.66% in Q2 FY 2024. The Net NPA also reduced to 1.62% from 2.34% during the same period. The Provision Coverage Ratio (PCR) as of September 30, 2024, stands at 75%, including technical write-offs, and 55% excluding them.

CUB Share Price

On October 22, 2024, City Union Bank share price opened at ₹164.00, up from ₹150.63 in the previous close. By 10:16 AM, CUB share price had risen to ₹168.65, marking an increase of 11.96%.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.