UCO Bank — Q1 FY27 earnings call
Summary generated by AI from the official transcript UCO Bank filed with BSE on 30 Jul 2026. Every statement cites a verbatim quote from that document — open any citation to read it. This is a record of what management said, not a recommendation. How we check these summaries
The short read
UCO Bank reported total business of Rs 6,05,000 crore as of 30th June, up 15.53% year-on-year, with advances growth of 21.18% and deposit growth of 11.28%. Operating profit grew 79.8% to Rs 2,810 crore, aided by NII growth of 16.85%, fee income growth of 35%, and recovery from technically written-off accounts of about Rs 1,018 crore, while net profit grew 8% to Rs 656 crore after a one-time DTA charge of Rs 1,237 crore from the shift to the new tax regime. Gross NPA improved to 2.08% and Net NPA to 0.25%, with management stating most guidance metrics for the year had already been surpassed in the first quarter.
Numbers mentioned
Total Business: Rs 6,05,000 crore (as of 30th June 2026)
p. 3
“the total business of the bank has reached 6,05,000 crores on 30th June.”
Mr. Rajendra Kumar Saboo, page 3 of the filed PDF · View the filing
Advances growth: 21.18% (Q1 FY27 YoY)
p. 3
“This growth comes to 15.53% year-on-year growth in June, supported by Advances growth of 21.18% and Deposit growth of 11.28%.”
Mr. Rajendra Kumar Saboo, page 3 of the filed PDF · View the filing
Global Advances: Rs 2,72,768 crore (as of 30th June 2026)
p. 3
“So thereby our total Advances, global Advances have reached to 272,768 crores and Deposits have reached 3,32,315 crores.”
Mr. Rajendra Kumar Saboo, page 3 of the filed PDF · View the filing
Deposits: Rs 3,32,315 crore (as of 30th June 2026)
p. 3
“So thereby our total Advances, global Advances have reached to 272,768 crores and Deposits have reached 3,32,315 crores.”
Mr. Rajendra Kumar Saboo, page 3 of the filed PDF · View the filing
CASA ratio: 36.94% (as of 30th June 2026)
p. 3
“Our CASA ratio as on 30th June has been at 36.94%.”
Mr. Rajendra Kumar Saboo, page 3 of the filed PDF · View the filing
Operating Profit: Rs 2,810 crore (Q1 FY27)
p. 3
“So our Operating Profit has grown by 79.8% to Rs. 2,810 crores in this quarter.”
Mr. Rajendra Kumar Saboo, page 3 of the filed PDF · View the filing
Net Profit: Rs 656 crore (Q1 FY27)
p. 4
“our Net Profit growth has been 8% year-on-year to Rs. 656 crores.”
Mr. Rajendra Kumar Saboo, page 4 of the filed PDF · View the filing
Tax provision: Rs 1,919 crore (Q1 FY27)
p. 4
“So that is the maximum provision provided. Out of this Rs. 1,919 crores, there is a one-time DTA charge.”
Mr. Rajendra Kumar Saboo, page 4 of the filed PDF · View the filing
One-time DTA charge: Rs 1,237 crore (Q1 FY27)
p. 4
“due to this remeasurement, Rs. 1,237 crores one-time DTA charge has been provided in the profit & loss account.”
Mr. Rajendra Kumar Saboo, page 4 of the filed PDF · View the filing
Gross NPA: 2.08% (as of 30th June 2026)
p. 4
“So our GNPA as on date is 2.08%.”
Mr. Rajendra Kumar Saboo, page 4 of the filed PDF · View the filing
Net NPA: 0.25% (as of 30th June 2026)
p. 4
“our Net NPA is today 0.25%.”
Mr. Rajendra Kumar Saboo, page 4 of the filed PDF · View the filing
Provision Coverage Ratio: 97.85% (as of 30th June 2026)
p. 4
“And we have Provision Coverage Ratio of 97.85%.”
Mr. Rajendra Kumar Saboo, page 4 of the filed PDF · View the filing
Net Interest Margin: 3.05% (Q1 FY27)
p. 7
“but yes, in NIM we have given guidance of 2.8 to 2.9, and we have reached 3.05% with the support of lower cost of funds.”
Mr. Rajendra Kumar Saboo, page 7 of the filed PDF · View the filing
Cost of funds: 4.36% (Q1 FY27)
p. 7
“So, our cost of funds has come down to 4.36%.”
Mr. Rajendra Kumar Saboo, page 7 of the filed PDF · View the filing
Cost-to-income ratio: 37.49% (Q1 FY27)
p. 7
“This year, because of the high Operating Profit we have earned, it has come down to 37.49%.”
Mr. Rajendra Kumar Saboo, page 7 of the filed PDF · View the filing
Annualized credit cost: 0.39% (Q1 FY27)
p. 4
“We have given guidance to maintain the credit cost below 0.75% against which in the 1st Quarter, our annualized credit cost is 0.39%.”
Mr. Rajendra Kumar Saboo, page 4 of the filed PDF · View the filing
Slippage Ratio: 0.63% (Q1 FY27 annualized)
p. 4
“our actual Slippage Ratio annualized for the quarter is 0.63%.”
Mr. Rajendra Kumar Saboo, page 4 of the filed PDF · View the filing
ROA: 0.68% (Q1 FY27 annualized)
p. 10
“but we have seen our ROA 0.68% annualised, with this profitability which we have declared.”
Mr. Rajendra Kumar Saboo, page 10 of the filed PDF · View the filing
CD ratio: 82% (as of 30th June 2026)
p. 4
“Our CD ratio stood at 82%.”
Mr. Rajendra Kumar Saboo, page 4 of the filed PDF · View the filing
RAM share of Advances: 64.5% (as of 30th June 2026)
p. 4
“RAM sector Advances constitute 64.5%, is against our guidance of 62 to 65%.”
Mr. Rajendra Kumar Saboo, page 4 of the filed PDF · View the filing
ECLGS sanctioned: Rs 2,150 crore (as of 22.07.2026)
p. 15
“as of yesterday, we have sanctioned around 2,150 crores in ECLGS.”
Mr. Rajendra Kumar Saboo, page 15 of the filed PDF · View the filing
ECLGS disbursed: Rs 1,700 crore (as of 22.07.2026)
p. 15
“Out of these 2,150 crores, we have disbursed around 1,700 crores; so that is the disbursement.”
Mr. Rajendra Kumar Saboo, page 15 of the filed PDF · View the filing
SMA book (Rs 1 crore and above): Rs 1,009 crore (0.36% of Advances) (Q1 FY27)
p. 15
“Now this is only 1,009 crores, which is 0.36% only of our total Advances.”
Mr. Rajendra Kumar Saboo, page 15 of the filed PDF · View the filing
Digital business balance sheet: Rs 35,000 crore (as of 30th June 2026)
p. 11
“I can share, that we have around 35,000 crores of digital business balance sheet as on 30th June.”
Mr. Rajendra Kumar Saboo, page 11 of the filed PDF · View the filing
What management said it would do
A record of statements made on the call, in the words management used. Parakho does not forecast, endorse or assess them, and their presence here is not a view on whether they will happen.
Credit growth — 12 to 14% · FY27
stated conditionally by Mr. Rajendra Kumar Saboo
p. 14
“We will review the guidance after the 2nd Quarter numbers, because in the midterm, we can review.”
Mr. Rajendra Kumar Saboo, page 14 of the filed PDF · View the filing
Net Interest Margin — 2.8 to 2.9% · FY27
stated firmly by Mr. Rajendra Kumar Saboo
p. 7
“So, our NIM will be 2.8 to 2.90; the guidance will be the same, but we will try to keep it above that only.”
Mr. Rajendra Kumar Saboo, page 7 of the filed PDF · View the filing
Cost-to-income ratio — below 50% or around 50% · FY27
stated as an aspiration by Mr. Rajendra Kumar Saboo
p. 7
“we will be able to maintain our cost-to-income ratio below 50% or around 50% only; not much above that.”
Mr. Rajendra Kumar Saboo, page 7 of the filed PDF · View the filing
ROA — near to 1% · year end
stated as an aspiration by Mr. Rajendra Kumar Saboo
p. 10
“ROA may be at 0.68% today, we see at the year end, maybe slightly near to 1%.”
Mr. Rajendra Kumar Saboo, page 10 of the filed PDF · View the filing
Vehicle Loan growth — around 30%
stated as an aspiration by Mr. Rajendra Kumar Saboo
p. 13
“I expect that around 30% growth in Vehicle Loan can be maintained, even if with a higher base”
Mr. Rajendra Kumar Saboo, page 13 of the filed PDF · View the filing
Home Loan growth — 20 to 25%
stated as an aspiration by Mr. Rajendra Kumar Saboo
p. 13
“20 to 25% growth can be maintained in Home Loans because the demand is there and we can continue that.”
Mr. Rajendra Kumar Saboo, page 13 of the filed PDF · View the filing
RAM share of Advances — around 65%
stated firmly by Mr. Rajendra Kumar Saboo
p. 12
“We will continue to maintain that share of around 65% of RAM in our total Advances book.”
Mr. Rajendra Kumar Saboo, page 12 of the filed PDF · View the filing
ECL provision buffer — remaining 40% of transition-date requirement · next 4-5 quarters
stated firmly by Mr. Rajendra Kumar Saboo
p. 16
“remaining 40% provisions which we require for the transition date, that we plan to create in the next 4-5 quarters before this ECL calculation comes into the picture.”
Mr. Rajendra Kumar Saboo, page 16 of the filed PDF · View the filing
Q&A highlights
Management's answers to analyst questions, in Parakho's words rather than a transcript. Each row names who answered and carries the verbatim quote it was drawn from.
Cost of funds has moderated to 4.36% after deposit repricing completed; NIM guidance maintained at 2.8-2.9% but expected to stay above; cost-to-income guided below or around 50% as TWO recovery normalizes.
Answered by Mr. Rajendra Kumar Saboo
Asked by Mr. Sushil Choksey: Guidance on cost of funds, cost of deposits, cost-to-income, and other efficiency metrics for the year.
p. 7
“So, we have seen some moderation in our cost of funds. So, our cost of funds has come down to 4.36%.”
Mr. Rajendra Kumar Saboo, page 7 of the filed PDF · View the filing
Bank has no IBPC exposure and is trying to curtail low-yielding government-sector advances while RAM sector drives the majority of growth.
Answered by Mr. Rajendra Kumar Saboo
Asked by Mr. Sushil Choksey: Are Advances being rebalanced away from IBPC and low-yielding government exposures toward RAM and Home Loans?
p. 8
“we are trying to curtail any other low yielding Advances like maybe the PSUs or other government sector companies.”
Mr. Rajendra Kumar Saboo, page 8 of the filed PDF · View the filing
Management estimated the one-time charge suppressed profit, and hypothetically ROA could have been over 1% but no formal calculation was made.
Answered by Mr. Rajendra Kumar Saboo
Asked by Mr. Niteen S. Dharmawat: What would ROA have been under the old tax regime, absent the one-time DTA charge?
p. 10
“That is our rough estimate, but we have not calculated by that way, because ultimately, this is the situation and this is the final number, which we have.”
Mr. Rajendra Kumar Saboo, page 10 of the filed PDF · View the filing
Management said competition comes from all types of players but the bank does not quantify the source and continues to grow regardless.
Answered by Mr. Rajendra Kumar Saboo
Asked by Mr. Niteen S. Dharmawat: Where is competitive pressure coming from — public sector, private sector, or NBFCs?
p. 12
“So we can't quantify as to how much competition I am getting from the private or from the public sector. We are getting good growth, you can see the numbers.”
Mr. Rajendra Kumar Saboo, page 12 of the filed PDF · View the filing
Management stated no risk or stress has been observed in any lending segment.
Answered by Mr. Rajendra Kumar Saboo
Asked by Mr. Niteen S. Dharmawat: Which customer segments show risk or stress?
p. 13
“As of now, we have not seen any risk from any sector. As of now, we have not seen any such risk. No stress we have seen.”
Mr. Rajendra Kumar Saboo, page 13 of the filed PDF · View the filing
Management said guidance remains unchanged for now and will be reviewed after Q2 results, with a possible upward revision then.
Answered by Mr. Rajendra Kumar Saboo
Asked by Mr. Ashok Ajmera: Should the credit growth guidance of 12-14% be revised given actual growth of 21%?
p. 14
“We will continue with this guidance in the 2nd Quarter itself, and then we will review after the 2nd Quarter number whether we need to change the guidance.”
Mr. Rajendra Kumar Saboo, page 14 of the filed PDF · View the filing
Rs 2,150 crore sanctioned and Rs 1,700 crore disbursed under ECLGS; management said no stress or issue seen in any lending book.
Answered by Mr. Rajendra Kumar Saboo
Asked by Mr. Ashok Ajmera: What is the ECLGS sanction and disbursement figure, and is there any stress from geopolitical issues?
p. 15
“We don't see any stress or any issue in any of our segment of any lending book.”
Mr. Rajendra Kumar Saboo, page 15 of the filed PDF · View the filing
Bank has assessed requirement as of the transition date and already created about 60% of that requirement as buffer, with the remaining 40% to be built over the next 4-5 quarters.
Answered by Mr. Rajendra Kumar Saboo
Asked by Mr. Ashok Ajmera: How much ECL provisioning is required and how much buffer has been created?
p. 16
“So in the transition day, what requirement we have assessed, we have already created a buffer of around 60% of that requirement.”
Mr. Rajendra Kumar Saboo, page 16 of the filed PDF · View the filing
Management said there was no such recovery from that account.
Answered by Mr. Rajendra Kumar Saboo
Asked by Mr. Ashlesh: Was there any interest income benefit from the JP Associates resolution in the TWO recovery?
p. 17
“I don't think. There is no such recovery of this particular account.”
Mr. Rajendra Kumar Saboo, page 17 of the filed PDF · View the filing
A reclassification of deposits and borrowings between international and Indian books caused a small increase, while overall cost of funds actually declined.
Answered by Mr. Rajendra Kumar Saboo
Asked by Mr. Ashlesh: Why did cost of deposits increase quarter-on-quarter?
p. 17
“So that has been reclassified in the international book also and in the Indian books because of certain requirements.”
Mr. Rajendra Kumar Saboo, page 17 of the filed PDF · View the filing
Loan processing fees declined due to a shift from upfront renewal charge recognition to actual-basis charging in a quarter with fewer renewals; other commission rose mainly due to PSLC sales.
Answered by Mr. Rajendra Kumar Saboo
Asked by Mr. Ashlesh: Why did fee income from loan processing decline while other commission income rose 70% YoY?
p. 19
“we have sold PSLC; PSLC of around 2,000 crores, and we have earned a commission of 55 crores into the PSLC.”
Mr. Rajendra Kumar Saboo, page 19 of the filed PDF · View the filing
Risks flagged
Recovery from technically written-off accounts (about Rs 800 crore of the Rs 1,018 crore) is not expected to repeat, which will normalize cost-to-income ratio upward
p. 7
“there is a major part, which is around 800 crores, which is from few accounts, which we don’t expect to repeat in the quarters going ahead.”
Mr. Rajendra Kumar Saboo, page 7 of the filed PDF · View the filing
One-time DTA remeasurement charge from the shift to the new tax regime reduced net profit
p. 4
“Had it not been there, our Net Profit could have been more.”
Mr. Rajendra Kumar Saboo, page 4 of the filed PDF · View the filing
Generated by claude-sonnet-5. Source: the transcript as filed with BSE. We link to the exchange's copy; we do not host transcripts. Parakho is a data and screening tool, not an investment adviser — nothing here is a recommendation to buy, sell or hold.