Union Bank of India announced a net profit of ₹4,249 crore for Q2 FY26. The bank’s total business reached ₹22,09,828 crore, a 3.24% year-over-year increase. Global deposits grew by 1.90% YoY. Gross NPA reduced by 107 bps YoY to 3.29% and Net NPA (%) reduced by 43 bps YoY to 0.55%.
Financial Performance Highlights
Union Bank of India reported a net profit of ₹4,249 crore for the second quarter of fiscal year 2026 (Q2 FY26). The bank’s interest income for Q2 FY26 stood at ₹26,650 crore. These figures reflect a stable financial performance during the reporting period.
Business Growth
The bank’s total business saw a year-over-year increase of 3.24%, reaching ₹22,09,828 crore. Gross advances increased by 4.99% YoY. Total deposits also showed growth, rising by 1.90% YoY. This growth demonstrates positive momentum in the bank’s core operations.
Deposit Expansion
Global deposits experienced a 1.90% year-over-year increase. The bank now holds a total deposit base of ₹12,34,621 crore. This expansion highlights the bank’s ability to attract and retain deposits.
Growth in RAM Sectors
The Retail, Agriculture, and MSME (RAM) segment of the bank grew by 8.14% year-over-year. Retail advances showed a significant increase of 23.98%, and MSME advances grew by 14.88%. RAM advances now constitute 58.83% of domestic advances.
Asset Quality Improvement
The bank demonstrated improved asset quality, with Gross NPA decreasing by 107 bps year-over-year to 3.29%. Net NPA also decreased by 43 bps YoY, reaching 0.55%. This improvement signifies enhanced risk management and recovery efforts.
Capital Adequacy
The Capital to Risk (Weighted) Assets Ratio (CRAR) stood at 17.07%. The CET-1 ratio improved from 13.88% to 14.37%. These strong capital ratios indicate the bank’s financial stability and ability to absorb potential losses.
Return Metrics
The bank’s Return on Assets (ROA) and Return on Equity (ROE) stood at 1.16% and 15.08%, respectively. These returns indicate satisfactory profitability and efficient use of capital during the quarter.
Financial Inclusion Initiatives
Under the Pradhan Mantri Jan Dhan Yojana (PMJDY) scheme as of 30.09.2025, the bank has opened 3.33 Crore accounts with a balance of ₹13,864 Crores.
Credit towards Green Initiatives
The bank has sanctioned ₹32,520 crores towards the Renewable Energy Sector and ₹1,318 crores towards Union Green Miles, both as of 30.09.2025.
Source: BSE
