UCO Bank - First quarter, second quarter, Third Quarter and annual results

Financial Results 2010

Reviewed Financial Result for the quarter ended 30th June 2010

	(Rs.in Lakhs)
Particulars	Quarter Ended		Year Ended
	30.06.2010 (Reviewed)	30.06.2009 (Reviewed)	31.03.2010 (Audited)
	30.06.2010 (Reviewed)	30.06.2009 (Reviewed)	31.03.2010 (Audited)
1. Interest Earned (a)+(b)+(c)+(d)	267285	233146	952632
(a) Interest/discount on advances / bills	198230	178410	710685
(b) Income on investments	63805	49527	218898
(c) Interest on balances with R.B.I & other inter-bank funds	4793	4960	19887
(d) Others	457	249	3162
2. Other Income	18988	25222	96593
3. Total Income (1+2)	286273	258368	1049225
4. Interest Expended	173588	190435	720220
5. Operating Expenses (i) + (ii)	48126	36906	158442
(i) Employees Cost	34765	25341	105762
(ii) Other Operating Expenses	13361	11565	52680
6. Total Expenditure (4+5) (excluding Provisions and Contingencies)	221714	227341	878662
7. Operating Profit (Before Provisions and Contingencies) (3-6)	64559	31027	170563
8. Provisions (other than tax) and Contingencies	37391	12690	65647
...of which provision for NPA	31842	6011	35380
9. Exceptional Items	0	0	0
10. Profit(+)/Loss(-) from Ordinary Activities before tax (7-8-9)	27168	18337	104916
11. Tax Expenses	1147	452	3698
… of which provision for FBT	0	0	0
12. Net Profit(+)/Loss(-) from Ordinary Activities after tax (10-11)	26021	17885	101218
13. Extraordinary items	0	0	0
14. Net Profit/(Loss) for the period (12-13)	26021	17885	101218
15. Paid-up Equity Share Capital (Face Value Rs.10/- each)	54936	54936	54936
16. Reserves excluding Revaluation Reserves	306212	224571	306212
(As per balance sheet of previous accounting year)
17. Analytical Ratios
(i) Percentage of shares held by Govt. of India	63.59%	63.59%	63.59%
(ii) Capital Adequacy Ratio: Basel-I	11.91%	10.11%	11.35%
Basel-II	13.61%	11.67%	13.21%
(iii) Earning Per Share (EPS) (in Rs.) (Not Annualised)
Basic and Diluted EPS before and after Extraordinary items for the period, for the year to date and for the previous year.	4.74	3.26	18.42
(iv) NPA Ratios
a) Amount of Gross NPA	192909	155549	166643
b) Amount of Net NPA	91908	77612	96628
c) % of Gross NPA	2.36%	2.27%	1.99%
d) % of Net NPA	1.14%	1.15%	1.17%
e) Return on Assets (Annualised) (%)	0.79%	0.64%	0.87%
18. Public Shareholding
- No. of Shares (in lakh)	2000.00	2000.00	2000.00
- Percentage of Shareholding	36.41%	36.41%	36.41%
19. Promoters and Promoter Group Shareholding
a) Pledged/Encumbered
Number of Shares	Nil
Percentage of Shares (as a % of the total shareholding of promoter and promoter group)
Percentage of Shares (as a % of the total share capital of the Company)
b) Non-Encumbered
Number of Shares (in lakh)	3493.60	3493.60	3493.60
Percentage of Shares (as a % of the total shareholding of promoter and promoter group)	100%	100%	100%
Percentage of Shares (as a % of the total share capital of the Company)	63.59%	63.59%	63.59%

SEGMENTWISE RESULT FOR THE QUARTER ENDED 30.06.2010
				(Rs.in Lakhs)
PART : A BUSINESS SEGMENT
Sl. No.	Particulars	Quarter Ended		Year Ended
Sl. No.	Particulars	30.06.2010 (Reviewed)	30.06.2009 (Reviewed)	31.03.2010 (Audited)
1)	Segment Revenue
	i) Treasury Operations	73890	65816	271084
	ii) Corporate/Wholesale Banking	135659	94827	490588
	iii) Retail Banking	75276	96693	281274
	iv) Other Banking Operations	1448	1032	6279
	Total Income from operation	286273	258368	1049225
2)	Segment Results
	i) Treasury Operations	11723	6682	(3471)
	ii) Corporate/Wholesale Banking	7431	4128	54514
	iii) Retail Banking	6566	6495	47594
	iv) Other Banking Operations	1448	1032	6279
	Total Profit Before Tax	27168	18337	104916
3)	Capital Employed
	(Segment Assets - Segment Liabilities)
	i) Treasury Operations	103591	77223	92831
	ii) Corporate/Wholesale Banking	310189	167685	279069
	iii) Retail Banking	165785	166557	149153
	iv) Other Banking Operations	0	0	0
	Total Capital Employed	579565	411465	521054
PART : B GEOGRAPHIC SEGMENT
		Quarter Ended		Year Ended
	Particulars	30.06.2010	30.06.2009	31.03.2010
		(Reviewed)	(Reviewed)	(Audited)
	Domestic
	i) Revenue	280664	251875	1026458
	ii) Assets	12577001	10719671	12950493
	International
	i) Revenue	5609	6493	22767
	ii) Assets	826020	598189	781456
	Global
	i) Revenue	286273	258368	1049225
	ii) Assets	13403021	11317860	13731949

NOTES

The financial results for the quarter ended 30.06.2010 have been subjected to limited review by the Statutory Central Auditors and have been approved by the Board of Directors at its meeting held on 23rd July 2010.
The working results for the quarter ended 30.06.2010 have been arrived at after considering the provision for non-performing assets, standard assets, diminution in fair value and investment depreciation on the basis of prudential norms issued by the Reserve Bank of India (RBI). In respect of Income Tax, Depreciation on Fixed Assets, etc., provision has been made on estimated basis.
In terms of the Revised Accounting Standard (AS)-15 notified by the Central Government provision has been made for Employee Benefits viz. pension, gratuity, leave encashment, LFC/LTC, sick leave etc., on estimated and proportionate basis. The provision charged to Profit & Loss Account includes Rs. 22.17 crore (Rs. 22.17 crore) towards amortization of the increase in transitional liability over the pre-revised AS-15 liability and Rs. 61.11 crore (Rs. 24.03 crore) towards current liability for the current quarter. The unamortized portion of the increase in liability on account of Revised AS-15 is Rs. 155.21 crore (Rs. 243.90 crore) as on 30.06.2010.
Revised salary having being disbursed from May 2010, provision of Rs.13.00 crore (Rs.30.00 crore in Q1 of last year) has been made for April 2010 over and above Rs. 284.06 crore held as provision for salary revision as on 31.03.2010. For consequential increase in liability towards other Employee Benefits such as Pension, Gratuity, etc., ad-hoc provision of Rs. 31.34 crore (Rs. 30.58 crore) has been made for the current quarter.
The Observation of Auditor
The consequential effect of
(a) Reconciliation / adjustment of pending outstanding entries in the Inter-Office and Inter-Bank transactions, (b) Accounting of income from commission earned on Letters of Credit and Guarantees issued, on cash basis, not being in accordance with AS 9 on Revenue Recognition reportedly not material and (c) Classification of Credit Linked Notes (CLNs) as Loans and Advances instead of Investments, on the financial results could not be ascertained.

Our Reply

Reconciliation of outstanding entries in Suspense Accounts, Inter Branch/Office Accounts and accounts with RBI and accounts with other Banks have been completed upto 30.06.2010 and elimination of outstanding entries is in progress. The impact of such reconciliation and the recognition of above referred Income on cash basis on the accounts will not be material. Bank has sought clarification from RBI on classification of CLNs which is still awaited.
During the quarter Government of India has subscribed to bank's Tier I Capital instrument, viz. Perpetual non-cumulative Preference Shares PNCPS of Rs.300 crore (Nil) on 04.06.2010 carrying an annual floating coupon benchmarked to Repo rate with a spread of 100 basis points to be reset annually.
The Bank has recognized, MAT Credit to the extent of Rs. 106.87 crore (Rs. 33.99 crore) for the current quarter as MAT Credit Entitlement under Section 115JAA of the Income Tax Act, 1961 and treated the same as an Asset.
Number of Investor Complaints:- (i) Outstanding at the beginning of the quarter- 02, (ii) Received during the quarter- 408, (iii) Disposed of during the quarter- 408 and (iv) Outstanding at the end of the quarter- 02.
The previous period figures have been regrouped /rearranged wherever necessary.

Place : Kolkata
Date : : 23.07.2010

Ajai Kumar
Executive Director