Union Bank Q1 Results: Public sector lender Union Bank of India on Saturday declared itsfinancial results for the first quarter (Q1) ended on June 30, 2025.
The bank reported around 12% rise in its net profit at ₹4,115.5 crore for thefirst quarter of the current fiscal year 2026, when compared to Rs3,679 crore a year ago.
The total income rose to ₹31,791 crore during the June quarter from ₹30,874 crore in the year ago period.
Its total business grew by 5% to ₹22,14,422 crore from ₹21,08,762 crore at the end of June 2024.Its net interest income (NII) declined 3.2% at ₹9,112.6 crore in Q1 of FY26 from ₹9,412 crore in the same quarter last fiscal year.
Provisions and contingencies for the June quarter rose to ₹1,664.5 crore from ₹1,543.9 crore in the March quarter of the fiscal year 2025.
While provisions for non-performing assets (NPAs) fell to ₹1,152 crore in the reported quarter from ₹1,675.7 crore in January-March.
Shares of Union Bank of India on Friday closed little changed at ₹146.5. So far this year, the stock has gained 20%.
Lending Rate Cut
Last month, the state-owned lender slashed its lending rate by 50 basis points (bps) in line with the rate moderation done by the Reserve Bank of IndiaRBI).
The changes include downward revision of external benchmark lending rate (EBLR) and repo linked lending rate (RLLR) by 50 basis points, the Union Bank had said in a statement.
The new rates will be beneficial to new and existing retail (home, vehicle, personal, etc.) and MSME borrowers, the bank added.
The RBI had reduced interest rates by a larger-than-expected 50 basis points, and unexpectedly cut the cash reserve ratio (CRR) for banks to make available more money to lend in a bid to boost the economy.
The RBI’s six-member monetary policy committee, headed by Governor Sanjay Malhotra and consisting of three external members, voted five to one to lower the benchmark repurchase or repo rate by 50 basis points to 5.5%.
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