City Union Bank shares experienced their best single-day gains in nearly six years, rising as much as 8.2% to hit an intraday high of ₹293.55 on the BSE following the release of strong quarterly results. According to reports from Upstox, the stock posted its best single-day gains since August 28, 2020, demonstrating strong investor confidence in the bank's performance. As of 11:43 am, shares were trading 3% higher at ₹279, significantly outperforming the NIFTY50 index which was down 0.1%. The latest trading data shows the stock trading 5% higher at ₹285.09, hitting a high of ₹293.51 from the previous close of ₹271.21, reflecting continued strong investor sentiment.
The Kumbakonam-based private sector lender delivered exceptional financial results for Q4 FY26, with net profit surging 65% year-on-year to ₹832 crore compared to ₹360 crore in the same period last year. As reported by Upstox, this represents a significant upgrade from the previously reported 25% growth figure, demonstrating the bank's strong operational performance. The bank's net interest income advanced 31% to ₹786 crore in Q4 FY26 compared with ₹601 crore in the year-ago period, showcasing robust revenue generation capabilities. This strong performance reflects the bank's improved operational efficiency and revenue generation capabilities during the quarter.
The bank demonstrated significant improvement in asset quality metrics during FY26. According to Upstox reports, gross non-performing assets (NPA) as a percentage of total advances improved to 1.91% compared to 3.09% in the previous financial year. Additionally, net NPA softened to 0.68% as against 1.25% previously. However, provisions for bad loans rose sharply by 54% to ₹120 crore compared with ₹78 crore a year earlier, indicating increased prudence in loan classification.
City Union Bank achieved strong growth across key business metrics during FY26. As reported by Upstox, total deposits rose by 23% to ₹78,308 crore in FY26 from ₹63,526 crore in the corresponding period last year. The CASA portion stood at 28% to total deposits, while cost of deposits decreased to 5.70% in FY26 from 5.85% in FY25. Total advances increased by 26% for FY26 to ₹66,699 crore from ₹53,066 crore in FY5, with the average credit deposit ratio at 85%. The yield on advances for Q4FY26 marginally improved to 9.80% compared to 9.73% in Q3FY26.
At the end of financial year 2026, City Union Bank maintained a total branch network of 949 branches with maximum branches located in Tamil Nadu. According to Upstox reports, this extensive network presence across the southern region continues to support the bank's growth strategy and customer service capabilities in its core markets.
