UCO Bank Sees 23% Profit Growth, Recommends Dividend

Public sector lender UCO Bank reported a robust 23% increase in net profit, reaching ₹801 crore for the fourth quarter of the fiscal year ending March 31, 2026. This financial performance represents a notable jump from the ₹653 crore net profit recorded in the corresponding quarter of the previous fiscal year. Despite a decline in total income to ₹7,365 crore from ₹8,137 crore, interest income saw an increase. The bank's board has recommended a dividend of ₹0.44 per share, reflecting the year's profitability. The lender also approved significant capital raising plans. These include issuing equity shares aggregating to ₹2,700 crore and raising up to ₹5,000 crore through bond issuances for the 2026-27 fiscal year, subject to shareholder approval.

UCO Bank demonstrated considerable improvement in its asset quality. As of March 31, 2026, the Gross Non-Performing Assets (NPAs) were reduced to 2.17% of gross advances, down from 2.69% a year prior. Net NPAs also saw a decline, falling to 0.27% from 0.5%. The Provision Coverage Ratio improved to 97.79%, and the Capital Adequacy Ratio increased slightly to 18.61% from 18.49% in the same quarter of FY'25.