Stocks of the Public sector lender UCO Bank opened its trading session at Rs 30.25 and currently trade at Rs 29.15. The scrip is down 5.2 percent as compared to the previous closing price of Rs 30.75.
The company recently announced its results for the financial year 2022-2023, details of which are discussed later on in the piece.
UCO Bank, Founded in 1943, is a Banking Institution operating as an undertaking of the Government of India. It is involved in providing finance to industries and commercial banking services which include corporate banking, personal banking, rural banking, and international banking services to its customers.
Digging into the company’s financials, there has been an opposing movement in the numbers as far as the total revenues and net profits are concerned. On one hand, the total revenues of the company increased from Rs 5,451 crores in Q3 v/s Rs 5,947 crores in Q4, and, on the other hand, the net profit figures went down from Rs 653 crores to Rs 581 crores during the same period.
Having a yearly comparison of the above-mentioned parameters, the total revenues have moved up from Rs 18,082 crores during FY21-22 to Rs 20,159 crores in FY22-23, and the net profits, being the highest ever since inception, were reported at Rs 1,862 crores in FY22-23, 100.4 percent up from net profits of Rs 930 crores during FY21-22.
Having a look at some Bank-specific financial metrics, the gross as well as net NPA percentages have improved on a QoQ basis with the former reducing from 5.63 percent in Q3 to 4.78 percent in Q4 and the latter moving down from 1.66 percent to 1.29 percent keeping the timeframe the same.
Despite good numbers reported in the results, the company’s stock has witnessed a down movement due to an absence of any dividend announcements turning the sentiments negative with respect to the stock.
According to the data available for the quarter ending March 2023, promoters of the company hold a constant 95.39 percent stake, and the Foreign Institutional Investors (FIIs) have a 0.16 percent stake in the company.
Written by Amit Madnani
Disclaimer
The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Dailyraven Technologies or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
