UCO Bank posts 16% rise in December quarter profit to Rs 740 crore

New Delhi: State-owned UCO Bank on Saturday reported a 16 per cent rise in net profit to Rs 740 crore in the December quarter, helped by core income and decline in bad loans.

The Kolkata-headquartered bank had earned a net profit of Rs 639 crore a year ago.

The bank's total income increased to Rs 7,521 crore during the quarter under review against Rs 7,406 crore in the same period last year, UCO Bank said in a regulatory filing.

The interest income also rose to Rs 6,652 crore compared to Rs 6,220 crore in the year-ago period.

Net interest income for the quarter rose to Rs 2,646 crore, registering a growth of 11.27 per cent as against Rs 2,378 crore for the same period last year.

Operating profit for the quarter-end rose to Rs 1,680 crore as against Rs 1,586 crore, showing an increase of 5.93 per cent on a year-on-year basis.

On the asset quality front, gross non-performing assets (NPAs) declined to 2.41 per cent of the gross loans by the end of December 2025 from 2.91 per cent a year ago.

Similarly, net NPAs or bad loans came down to 0.36 per cent from 0.63 per cent at the end of the third quarter of the previous fiscal year.

The provision coverage ratio (including technically written off) as at December 31, 2025, works out to 97.32 per cent as against 96.16 per cent at the end of third quarter of the previous financial year.

Capital adequacy ratio of the bank moderated to 17.43 per cent compared to 16.25 per cent at the end of December 2024.

Net interest margin-Global stood at 3.08 per, while domestic NIM was at 3.27 for the December quarter.

During the three quarters of the ongoing fiscal year, UCO Bank reported a net profit of Rs 1,997 crore compared to Rs 1,793 crore in the nine-month period of the previous year.