Union Bank profit rises 30% to ₹5,332 cr in Q1
Net profit jumps to ₹5,332.30 crore. GNPA ratio improves to 2.65%. Numbers were already known; the real test is deposit growth.
— 6 earlier stories on Union Bank Of India →What's new
- Net profit rose 29.6% YoY to ₹5,332.30 cr (standalone).
- Gross NPA ratio improved to 2.65% from 3.52% a year ago.
- Consolidated net profit at ₹5,641.52 cr.
Why this matters
Profit growth of 29.6% YoY and NPA improvement of 87 bps are solid. But the numbers were telegraphed earlier; no surprise. With deposits lagging loans, the ₹8,000 cr capital raise becomes critical to sustain momentum.
What we're watching
- Deposit growth vs. credit growth. CD ratio jumped 714 bps in Q1.
- Execution of the ₹8,000 cr capital raise plan.
- Whether net interest margins improve further.
The full read
Union Bank of India posted a 29.6% jump in standalone net profit to ₹5,332.30 crore for the quarter ended June 30, 2026. Asset quality improved: gross NPAs fell to 2.65% from 3.52% a year ago, and net NPAs eased to 0.47%. Total income was nearly flat, but operating profit rose. Solid. The numbers were already disclosed earlier, so no surprise. The real test is on the liability side: deposits grew slower than loans in Q1, and the board has approved an ₹8,000 cr capital raise, split between equity and debt, to shore up growth. For now, the earnings trajectory is strong, but funding costs will decide how much of that profit sticks.
Questions answered
- How much did Union Bank's profit grow in Q1 FY27?
- Standalone net profit grew 29.6% year-on-year to ₹5,332.30 crore.
- Did the results meet market expectations?
- The core numbers were already disclosed in the board meeting outcome on July 15. The filing adds no material new information.
- What is the bank's gross NPA ratio now?
- Gross NPAs improved to 2.65% from 3.52% a year earlier. Net NPAs stood at 0.47%.
- What is the capital adequacy ratio?
- The Basel III capital adequacy ratio was 18.46%, and the provision coverage ratio was 95.05%.
- What are the key risks for Union Bank?
- Deposit growth lags credit growth, pushing the credit-deposit ratio to 83.4% in Q1. The bank has an ₹8,000 cr capital raise plan to support growth.
- Has the auditor flagged any issues?
- No. The statutory auditors issued an unmodified limited review opinion.
Union Bank Of India
Latest quarter · Jun 2026
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All notes on UNIONBANK →- 15 Jul 2026 · 12:22 PM IST Union Bank profit rises 30% to ₹5,332 cr in Q1
- 7d ago Union Bank hits record ₹5,332 cr profit, NIM widens to 2.80%
- 13d ago Union Bank Q1 profit jumps 30% to ₹5,332 cr; asset quality improves
- 13d ago Union Bank Q1 profit jumps 30% to ₹5,332 cr
- 26d ago Union Bank deposits lag loans; CD ratio jumps 714 bps in Q1