Union Banks Q4 bottomline dives 67%

Mumbai, April 28 | Updated: Apr 29 2006, 05:30am hrs
State-run lender Union Bank of India (UBI) has registered 67% dip in net profit in the fourth quarter of the current financial year due to higher tax outflows and fall in the profit on sale of investments.

Net profit has fallen from Rs 239 crore in Q4 of FY04-05 to Rs 144 crore in Q4 of FY 2005-06. Profit on sale of investments fell to Rs 95 crore as against Rs 260 crore in the Q4 of last year and paid tax of Rs 219 crore in Q4 while it has a tax benefit of 107 crore, was attributed as extra-ordinary income, in the Q4 of previous year.

For the entire year, net profit dipped by 6.12% to Rs 675 crore.

Yes Bank Q4 net profit leaps 1534%

Yes Bank posted a 1534% jump in net profits to Rs 15.32 crore for the fourth quarter ended March 31, 2006 as against Rs 0.94 crore in the corresponding period last year. The net profit for the full year stood at Rs 55.32 crore, as compared to a loss of Rs 3.76 crore last year. It clocked an earnings per share of Rs 2.20 for FY06.

The net interest income rose by 132% during the fourth quarter to Rs 25.19 crore (Rs 10.85 crore), while the non-interest income, which constituted 54% of the total income, increased by 388% to Rs 33.88 crore during the period.

The net interest margin stood at 3%, while the cost of funds was pegged at 5.75%. The bank currently has 17 branches operational now and is planning to add 23 more by June and later on increase it to 60 branches by March 2007.

Regarding commencement of the banks retail operations, Rana Kapoor, managing director and chief executive officer, Yes Bank, said: "We do not think that it is good time to get into full-fledged retail banking business now.