Union Bank Posts Strong Q1FY27 Results, Highlights Business Growth and NPA Reduction
The Board of Directors of Union Bank of India approved the bank's financial accounts for the quarter ended June 30, 2026. The results reflect robust performance across key operational metrics, with the bank reporting a net profit of Rs. 5,332 Crores and significant growth in its business portfolio.Financial Performance Highlights
The bank saw a positive trend in its income segments during Q1FY27. Interest income stood at Rs. 27,203 Crores, while the bank reported a Net Profit of Rs. 5,332 Crores. The institution's returns metrics remained strong, with Return on Assets (RoA) standing at 1.36% and Return on Equity (RoE) reaching 17.23%.
Business and Asset Quality
Union Bank reported a total business of Rs. 23,79,697 Crores as of June 30, 2026, marking a 7.46% year-on-year (YoY) increase in total business. Global deposits at the end of the quarter reached Rs. 12,83,366 Crores, translating to a 3.50% YoY growth in deposits.
The bank's asset quality improved significantly. Gross Non-Performing Assets (NPA) decreased by 87 basis points (bps) year-on-year, settling at 2.65%. Net NPA saw a reduction of 15 bps, registering at 0.47% as on 30.06.2026.
Segmental growth was strong in the Retail, Agri, and MSME (RAM) segments. The RAM segment increased by 11.56% YoY. This growth included a 12.06% rise in retail advances and a 16.49% increase in MSME advances. RAM advances constituted 57.31% of domestic advances.
Capital Strength and Network Expansion
The bank maintained solid capital positions, reporting a Capital to Risk-Weighted Assets Ratio (CRAR) of 18.46%. The Common Equity Tier 1 (CET-1) ratio improved to 16.38%, up from 15.30% as of June 30, 2025.
Union Bank continued expanding its network footprint. The bank operates 8,700 branches, including foreign branches, and maintains 8,758 ATMs nationwide. The institution also has 28,629 BC Points (Business Correspondent Points), 138 MSME Loan Points (MLPs), and 143 Retail Loan Points (RLPs).
Focus on Financial Inclusion
The bank actively participated in several government-led financial inclusion schemes during the quarter. Enrollments for Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY) stood at 2.23 lakh, and new enrollments under Pradhan Mantri Suraksha Bima Yojana (PMSBY) were 6.70 lakhs as of June 30, 2026.
Regarding the Pradhan Mantri Jan Dhan Yojana (PMJDY), the bank opened a total of 3.45 Crores accounts, with a corresponding balance of Rs. 15,943 Crores. As per the Atal Pension Yojana (APY) scheme, Union Bank completed 2.39 lakh new enrollments during the quarter.
The bank also processed applications under the Union Nari Shakti Scheme for Women Entrepreneurs, sanctioning 1,817 applications amounting to Rs. 321 Crores. Furthermore, in support of green initiatives, the bank sanctioned Rs. 34,363 crores towards the Renewable Energy Sector and allocated Rs. 2,819 Crores toward Union Green Vehicles.
UNIONBANK Stock Price Movement
Shares of Union Bank of India are edging higher to ₹172.95 as of 12:52 PM today, gaining 1.34% in live trading. The stock is seeing brisk activity with 38.89 million shares traded thus far.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
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