UCO Bank Q1 Update: Business Grows Nearly 14%, Loan-Book Expands 20%

UCO Bank reported healthy business growth of 13.67% on a yearly basis in the April-June period of financial year 2026, driven by expansion in the domestic loan book.

The total business, which includes deposits and loans, stood at Rs 5.24 lakh crore in the first quarter, compared to Rs 4.61 lakh crore in the corresponding period last year, the public sector bank said in its quarterly business update.

Domestic advances of the state-owned lender jumped 19.76% to Rs 2 lakh crore. On a sequential basis, the growth was 2.56%. The total advances were up 16.58% to Rs 2.27 lakh crore. Deposits increased by 11.57% to Rs 2.99 lakh crore, despite rising only 1.7% over the March quarter.

The current-account savings-account ratio, a key indicator of a bank's financial health and used to assess its profitability, stood at 36.90% at the end of June in comparison to 38.62% in June 2024 and 37.91% in March 2025.

The credit-deposit ratio rose to 75.48% from 72.07% a year earlier. A CD ratio is an important indicator of a bank's health because it shows how well the bank can cover loan losses and customer withdrawals.

A high CD ratio indicates that a bank has made a large amount of loans relative to its deposits, which can be a sign of increased risk and reduced liquidity. A low CD ratio may indicate poor credit growth compared to deposit growth.

Shares of UCO Bank closed 0.98% lower at Rs 32.39 apiece on the NSE before the announcement, compared to a 0.19% decline in Nifty 50. The share price has fallen 40.16% in the last 12 months and 26.17% on a year-to-date basis.