Union Bank Q1 results: Net profit jumps 29% YoY, asset quality improves; shares surge 4%

Shares of Union Bank surged 4% to their intraday high of ₹177.49 during Wednesday’s market, compared to ₹170.67 apiece at the previous stock market close, according to NSE data.

After the intraday high, Union Bank shares dropped to the intraday low of ₹168.70 as investors booked their profits after the surge. As of the afternoon market session, the PSU bank stock was trading 2.4% higher on NSE.

The PSU lender announced its Q1 earnings during the market hours on Wednesday, July 15.

How did Union Bank perform in Q1 earnings?

Union Bank posted a 29% rise in its standalone net profit to ₹5,332.30 crore in the April to June quarter of the financial year ending 2026-27, compared year-on-year (YoY) with ₹4,115.53 crore in the same period a year ago, according to the NSE filings.

The data further showed that the lender’s interest income advanced 1.05% to ₹27,203 crore in the first quarter of the current fiscal year, compared with ₹26,919 crore in the same quarter of the previous financial year.

“Total business of the Bank increased by 7.46% YoY, wherein gross advances increased by 12.50% YoY & total deposit grew by 3.50% YoY. Bank has a total business of ₹23,79,697 crore as on June 30, 2026,” Union Bank informed the stock exchanges.

The Q1 performance also showed that Union Bank reduced its provision for bad loans, indicating that the bank expects its asset quality to keep improving in the upcoming period. The data also showed a similar snapshot with the gross non-performing assets (NPAs) dropping in the period.

Non-performing assets (NPAs) are loans where the people borrowing the funds have failed to repay their borrowed capital and interest payments. Banks classify loans under the NPA category after 90 days of continuous non-payment.

Union Bank of India’s provision for bad loans dropped to ₹1,019.55 crore in the first quarter, from ₹1,152.94 crore in the same period a year ago. While the gross NPAs declined to 2.65%, compared YoY with 3.52% a year earlier.

On the margin front, the bank’s net profit margins surged to 16.76% from 13.10% in the first quarter, while the operating margins expanded to 25.16%, from 22% in the same period a year ago.

Union Bank share price performance

Shares of Union Bank of India have delivered more than 376% returns to their investors in the last five years, over 114% gains in the last three years, and more than 18% returns on their investment in the past one year period, as per NSE data.

So far in calendar year 2026, the company’s stock has risen 13% YTD and has gained 1.4% in the last one-month period. The exchange data also showed that the PSU bank shares were trading 12.5% higher over the last five market sessions.

Union Bank of India shares surged to their 52-week high of ₹205.49 on February 27, 2026, while the 52-week low was at ₹124.64 on August 29, 2025, as per the exchange data.

The company’s market capitalisation (m-cap) was at over ₹1.32 lakh crore as of the trading session on Wednesday, July 15, 2026.