UCO Bank - 4QFY2013 Result Review - Angel Broking

UCO Bank posted weak set of numbers for the quarter, as their earnings declined by 80.4% yoy at Rs. 50cr for 4QFY13. NII & non-interest income grew at strong pace of 28.3% and 25.8% yoy, enabling bank to register Pre-provisioning operating profit growth of 41.8% yoy at Rs. 1,032cr. On the asset quality front, Gross and Net NPA increased by 6.2% and 3.6% sequentially, however provisioning expenses grew by 114.1% yoy leading to a PAT decline of 80.4% yoy to Rs. 50cr. At the CMP, the stock trades at 0.8x FY2015E ABV.

We maintain our Neutral recommendation on the stock.

Source : Equity Bulls

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