City Union Bank Limited has announced its unaudited financial results for the third quarter and nine months ended 31 December 2025, reporting steady growth across income, profitability, balance sheet strength, and asset quality. The results have been approved by the Board of Directors at its meeting held on 2 February 2026.
For Q3 FY 2025–26, the Bank has recorded total income of Rs 2,001 crore, compared to Rs 1,707 crore in Q3 FY 2024–25, registering a year-on-year growth of 17 per cent. Interest income has increased to Rs 1,756 crore from Rs 1,479 crore, reflecting a growth of 19 per cent, while non-interest income has risen to Rs 245 crore from Rs 228 crore, marking a growth of 7 per cent.
During the quarter, total expenses have stood at Rs 1,488 crore as against Rs 1,271 crore in the corresponding period last year. Net interest income has grown to Rs 752 crore from Rs 588 crore, registering a strong growth of 28 per cent. Operating profit has increased to Rs 513 crore from Rs 436 crore, reflecting a growth of 18 per cent.
Profit after tax has risen to Rs 332 crore in Q3 FY 2025–26, compared to Rs 286 crore in Q3 FY 2024–25, achieving a year-on-year growth of 16 per cent.
For the nine months ended 31 December 2025, City Union Bank has reported total income of Rs 5,762 crore, up from Rs 4,948 crore in the corresponding period of the previous year, reflecting a growth of 16 per cent. Net interest income has increased to Rs 2,044 crore from Rs 1,715 crore, marking a growth of 19 per cent, while operating profit has grown to Rs 1,435 crore from Rs 1,237 crore. Profit after tax for the nine-month period has increased to Rs 967 crore from Rs 836 crore, registering a growth of 16 per cent.
On the balance sheet front, total deposits have stood at Rs 70,516 crore as of Q3 FY 2025–26, compared to Rs 58,271 crore in the corresponding period last year, registering a growth of 21 per cent. Total advances have increased to Rs 60,892 crore from Rs 50,409 crore, also reflecting a growth of 21 per cent. Total business has expanded to Rs 1,31,408 crore, while CASA deposits have stood at Rs 19,233 crore, accounting for 27 per cent of total deposits.
Asset quality has continued to improve during the quarter. Gross non-performing assets have declined to 2.17 per cent from 3.36 per cent in Q3 FY 2024–25, marking the eleventh consecutive quarter of sequential reduction. Net non-performing assets have reduced to 0.78 per cent from 1.42 per cent, with net NPAs falling below the Rs 500 crore mark to Rs 469 crore. The provision coverage ratio has stood at 83 per cent including technical write-offs and 64 per cent excluding technical write-offs.
Key profitability and efficiency ratios have remained stable. Net interest margin has improved to 3.89 per cent in Q3 FY 2025–26 from 3.58 per cent in the same quarter last year, while return on assets has stood at 1.53 per cent. Return on equity has improved to 13.18 per cent from 12.64 per cent. The cost-to-income ratio has marginally reduced to 48.56 per cent during the quarter.
The Bank’s capital adequacy ratio under Basel III norms has stood at 20.13 per cent as of 31 December 2025, with Tier-I capital adequacy at 19.18 per cent, remaining well above regulatory requirements.
City Union Bank has stated that it continues to focus on SMEs, agriculture, traders, and retail banking, supported by its technology-driven banking infrastructure and nationwide branch network.
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