Uco Bank on Tuesday reported a net profit of ₹639 crore for the quarter ended December 31, up 27.04 per cent from ₹503 crore a year ago.

The rise in net profit was on the back of an increase in net interest income (NII) and non interest income. “The growth in profitability is mainly because NII increased by around 20 per cent, non interest income including fee based income has also increased by around 38 per cent on a year on year basis,” said Ashwani Kumar, MD and CEO, Uco Bank.

“Our cost to income ratio has also increased to 55.5 per cent from 60.72 per cent in the previous year,” he said.

The bank’s global NIM (net interest margin) was 3.17 per cent and is projected to be in the range of 3 to 3.10 per cent by March 2025.

Net NPA during the quarter was at 0.63 per cent compared to 0.98 per cent previous year.

Fund raising

The bank is looking to raise ₹2000 crore through QIP likely in a single tranche, which will reduce the government holding by 3 per cent from 95.39 per cent as of the quarter ended December 31, 2024.