Union Bank of India Q3 results: Net profit rises 9% to Rs 5,017 crore; stock jumps 8%

On Wednesday, shares of Union Bank of India were up 7.79 per cent at Rs 179.10 against its previous close of Rs 166.15 apiece, cheering the street with a financial scorecard. 

The public sector lender reported a healthy 9 per cent year-on-year (YoY) surge in its net profit at Rs 5,017 crore for the third quarter ended December 31, 2025, compared to Rs 4,604 crore in the corresponding quarter last year.

The Net Interest Income (NII)—the difference between interest earned and interest expended—came in at Rs 9,328 crore, marking a modest rise of 1 per cent from Rs 9,240 crore in the year-ago period. 

However, the operating profit for the reporting quarter slipped to Rs 6,942 crore, down from Rs 7,492 crore recorded in the same quarter last year. 

The Gross NPA decreased by 79 basis points year-on-year to 3.06 per cent, a marked improvement from 3.85 per cent in the previous year. The improvement was equally visible in the Net NPA ratio, which nearly halved to 0.51 per cent from 0.82 per cent in the same period last fiscal. With credit costs contained at a mere 0.09 per cent and a slippage ratio of 0.79 per cent.

On the business front, Union Bank of India continued to expand its footprint with total business touching Rs 22,39,740 crore. Global advances grew by 7.13 per cent year-on-year, while global deposits saw a growth of 3.36 per cent. 

A key driver for this credit expansion was the Retail, Agriculture, and MSME (RAM) segment, which registered a double-digit growth of 11.50 per cent YoY. The bank also maintained a sturdy capital position, reporting a Capital Adequacy Ratio (CRAR) of 16.49 per cent and a CET-1 ratio of 13.94 per cent, ensuring it remains well capitalised for future growth.