Union Bank of India robust earnings

Union Bank of India rose 1.31% to Rs 174.50 at 12:31 IST on BSE after the state run bank posted 127.99% surge in net profit to Rs 521.13 crore on 24.67% increase in total income to Rs 2913.10 crore in Q4 March 2008 over Q4 March 2007.

The stock hit a high of Rs 177.90 and a low of Rs 172.25 so far during the day. The stock had a 52-week high of Rs 234.80 on 7 January 2008 and a 52-week low of Rs 105.60 on 8 May 2007.

The bank’s current equity is Rs 505.12 crore. Face value per share is Rs 10. Government of India holds 55.43% stake in the bank (as at end March 2008).

The current price of Rs 174.50 discounts its Q3 December 2007 annualised EPS of Rs 28.91, by a PE multiple of 6.04.

Union Bank of India’s net profit rose 64.07% to Rs 1387.03 crore on 30.56% rise in total income to Rs 10534.27 crore in the year ended March 2008 (FY 2008) over the year ended March 2007 (FY 2007).

The bank provides commercial banking services. It provides merchant banking, direct finance, infrastructure finance, venture capital fund, advisory, trusteeship, forex, treasury and other related financial services.