Union Bank of India has recently announced its Q4 results, and the outcome appears to be very promising for investors. The bank’s net profit has increased significantly, and its asset quality has improved, indicating a robust and healthy financial position. In this article, we’ll delve into the details of Union Bank of India’s Q4 results and explain why it’s a good investment opportunity for investors.

Net Profit Increases by 254%

Union Bank of India’s net profit for the Q4 of FY 2020-21 was INR 1,329 crores, a 254% increase from the same period the previous year. The bank’s operating profit for the quarter was INR 3,239 crores, which is a 21.9% increase year-on-year. This substantial increase in net profit and operating profit shows the bank’s ability to generate revenue and maintain its financial stability, even during challenging times.

Improvement in Asset Quality

Union Bank of India’s asset quality has improved, with gross non-performing assets (NPAs) decreasing to 13.74% in Q4 of FY 2020-21, compared to 14.86% in the previous quarter. Additionally, the net NPA ratio also decreased from 4.90% in the previous quarter to 3.38% in the Q4 of FY 2020-21. This improvement in asset quality demonstrates the bank’s commitment to managing its risks and strengthening its balance sheet.

Capital Adequacy Ratio

Union Bank of India’s Capital Adequacy Ratio (CAR) has also improved, standing at 13.04% in Q4 of FY 2020-21, compared to 12.41% in the previous quarter. This indicates that the bank has sufficient capital to meet its obligations and continue its growth trajectory.

Business Expansion

Union Bank of India has also continued to expand its business and customer base, with a focus on digital initiatives. The bank has launched several digital products, including a mobile banking app, and has expanded its presence in rural areas to tap into the unbanked population. This business expansion strategy bodes well for the bank’s growth potential and profitability in the future.

Investment Opportunity

Union Bank of India’s Q4 results demonstrate its ability to navigate through challenging times and maintain a strong financial position. The bank’s focus on digital initiatives and business expansion also positions it for long-term growth and profitability. With a promising outlook for the future, Union Bank of India presents a good investment opportunity for investors looking to add a reliable and stable bank to their portfolio.


In conclusion, Union Bank of India’s Q4 results indicate a positive outlook for investors, with an increase in net profit, improvement in asset quality, and a focus on business expansion and digital initiatives. Investors looking to add a stable and reliable bank to their portfolio should consider Union Bank of India as an attractive investment opportunity.