Union Bank of India Q4 & FY21 Results - Financial Results for the Quarter and Year ended March 31, 2021

 The Board of Directors of Union Bank of India today approved the accounts of the Bank for the Quarter and Year ended March 31, 2021. 

Key Highlights  1.    Strong Financial Performance:   Operating Profit of the Bank improved by 40.38 % during Q4 FY21 as compared to Q4 FY 20 and 6.54% on YoY basis during FY 21. Net Profit for FY21 stood at Rs 2906 Crores against net loss of Rs 6613 Crores for FY20. Net interest income of Bank grew by 4.37% YoY during FY21.    2.    Bank continues to demonstrate a strong liability franchise   The CASA deposits have increased by 13.15% YoY. Total deposits base stood at Rs.923805 Crores as at the end of Q4FY21. CASA ratio improved to 36.33% from 34.15% a year ago.    3.    Credit in Retail, Agri and MSME (RAM) segments grown by 8.40% YoY  Bank registered 10.49% growth in Retail, 11.89% growth in Agriculture, 3.24% growth in MSME advances. Average advances has grown by 3.11% YoY. Domestic Advance including CP & Corporate Bonds has grown by 1.13% YoY.    4.    Reduction in Slippages:-  Slippages during FY21 have reduced by 30.63% as compare to FY20 (from Rs 25147 Crore during FY20 to Rs 17443 Crore during FY 21). Net NPA of Q4FY21 stood at 4.62%.   5.    Provision coverage ratio of the Bank improved to 81.27% as on March 31, 2021  Provision coverage ratio of the Bank improved to 81.27% as on March 31, 2021 as against 78.21% as on March 31, 2020.    6.    Robust performance on EASE 3.0 parameters during Q3 FY21  Under EASE (Enhanced Access and Service Excellence) Bank has secured 3rd position in overall ranking and Top 3 position in 4 themes out of 5, amongst PSBs during Q3 FY21.    7.    Amalgamation:-Integration of CBS systems of all e-AB and e-CB branches completed in record time.

Key Summary of Q4FY2021 Results 

Rs in Crore	Q4FY20	Q3FY21	Q4FY21	YoY%	QoQ%	FY20	FY21	YoY%
Profit & Loss
Interest Income	18241	17087	15475	-15.16	-9.44	73186	68767	-6.04
Interest Expenses	12274	10498	10072	-17.94	-4.05	49532	44079	-11.01
Net Interest Income	5967	6590	5403	-9.46	-18.01	23654	24688	4.37
Non-Interest Income	3697	3016	4551	23.10	50.92	11753	11337	-3.54
NIM %	2.89	2.94	2.38	-51bps	-56bps	2.97	2.71	-26bps
Operating Profit	3690	5311	5180	40.38	-2.47	18076	19259	6.54
Loan Loss Provisions	10847	4584	3850	-64.51	-16.01	24690	16353	-33.76
Profit After Tax	-7157	727	1330	-	-	-6613	2906	-

 

 

 

Rs in Crores	Mar 20	Dec 20	Mar 21	YoY%	QoQ%
Balance Sheet
Global Advances	666117	651973	653684	-1.87	0.26
Domestic Advances	645421	635225	637672	-1.20	0.39
W/w Retail	113520	120386	125427	10.49	4.19
Agriculture	107358	115373	120124	11.89	4.12
MSME	118440	125504	122274	3.24	-2.57
RAM advances	339318	361263	367825	8.40	1.82
Domestic advances including CP & Corp bonds	664106	668076	671635	1.13	0.53
Deposits	868632	882423	923805	6.35	4.69
CASA	296598	312213	335592	13.15	7.49
Term Deposits	572035	570210	588213	2.83	3.16
CASA Ratio (%)	34.15	35.38	36.33	218 bps	95 bps
GNPA	97193	87968	89788	-7.62	2.07
NNPA	31325	19063	27281	-12.91	43.11

 

Ratios (%)	Q4FY20	Q3FY21	Q4FY21	YoY  bps	QoQ  bps	FY20	FY21	YoY  bps
Asset Quality
GNPA	14.59	13.49	13.74	-85	25	14.59	13.74	-85
NNPA	5.22	3.27	4.62	-60	135	5.22	4.62	-60
PCR	78.21	86.18	81.27	306	-491	78.21	81.27	306
TPCR	67.79	78.33	69.62	183	-871	67.79	69.62	183
Credit Cost	5.19	1.86	2.89	-230	103	3.15	2.13	-102
Capital Ratios
CET-1 ratio	8.60*	9.22	9.07	47	-15	8.60	9.07	47
Tier-1 ratio	9.74*	10.47	10.35	61	-12	9.74	10.35	61
CRAR	12.01*	12.98	12.56	55	-42	12.01*	12.56	55

*as on 01.04.2020 

Network: 

• 9312 Branches 
• 12957 ATMs 
•       8214 BC points 
•       94 SARAL/SARAL Lite (MSME Loan Processing Centres) 
•       129 ULPs (Retail Loan Processing Centres) 

Financial inclusion schemes: 

Financial inclusion aims to eliminate barriers and provide economically priced financial services to the less accessible sections of the society through government-backed schemes like PMJJBY, PMSBY, PMJDY and APY. 

• Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY): 

PMJJBY is a Government- backed insurance scheme; 3.71 lakh new enrollments were done by Bank for the quarter ended March 31, 2021.  

• Pradhan Mantri Suraksha Bima Yojana (PMSBY): 

PMSBY is Government- backed accidental insurance scheme; 6.69 lakh new enrollments were done by Bank for the quarter ended March 31, 2021 

•       Pradhan Mantri Jan Dhan Yojana (PMJDY): 

2.17 crore accounts have been opened with account balance of Rs.6,465 crore as on March 31, 2021 as against 1.74 crore accounts with Rs.5,049 crore as on March 31, 2020. 

•       Atal Pension Yojana (APY): 

APY is a pension scheme, primarily targeted at the unorganized sector, 0.59lakh new enrollments were done by Bank for the quarter ended March 31, 2021. 

New schemes launched to tackle COVID-19: 

In response to significant challenges of COVID 19, Bank has launched various flagship schemes for business entities, retail customers, SHGs in order to ease out the stress/ tide over the liquidity mismatch or for fulfilling the consumption needs. 

•       COVID Emergency Line of Credit (CELC): Scheme for all existing Fund Based working capital limit borrowers irrespective of sector. 
  
  No. of Loans Sanctioned – 1,13,880 
  
  Total amount Sanctioned – Rs.3,652 crore 
•       Union COVID 19 Personal Loan Scheme (UCPLS): Scheme for all Govt/ non-Govt employees drawing salary through our bank for last 12 months and existing retail borrowers. 
  
  No. of Loans Sanctioned – 80,536 
  
  Total amount Sanctioned - Rs.1,973 crore 
•       Union SHG COVID Suvidha Loan (USCSL): Scheme for all existing SHGs with satisfactory track record. 
  
  No. of Loans Sanctioned – 1,30,180 
  
  Total amount Sanctioned - Rs.696 crore 
•       Union Guaranteed Emergency Credit Line (UGECL): A special scheme as per GOI guidelines for sanctioning pre-approved limit of up to 20 per cent of loan outstanding as on 29th February, 2020 to eligible borrowers, in the form of additional working capital term loan facility to eligible Business Enterprises / MSME borrowers/ Individuals, including interested PMMY borrowers. 
  
  No. of Loans Sanctioned (UGECL 1 & 2) – 3,72,660 
  
  Total amount Sanctioned (UGECL 1 & 2)– Rs.9,681 crore 

[Note: Amalgamation of Andhra Bank and Corporation Bank came into effect on April 01, 2020; accordingly the combined financials as on March 31, 2020 has been arrived at by aggregating audited/reviewed numbers of three banks]