City Union Bank Limited — PPTs, 31-01-2025: Investor Presentation

**Financial Highlights**: City Union Bank reported a 15% year-on-year increase in advances, amounting to ₹50,409 Cr, with total deposits rising by 11% to ₹58,271 Cr. The bank's net interest margin stood at 3.59%, and return on assets improved to 1.57%.

**Strategic Initiatives and Growth Drivers**: The bank's focus remains on the SME/MSME sector, capitalizing on the strong demand for credit in this space. Continued investment in digital initiatives, such as a robust digital lending process, is expected to enhance operational efficiency.

**Business Developments**: City Union Bank is expanding its footprint with 822 branches across India, primarily concentrated in South India. Efforts to improve customer service and lower operational costs are ongoing.

**Market Position and Competitive Advantage**: The bank holds a strong capital adequacy ratio at 22.26%, indicating robust financial health. Its focus on retail liabilities and prudent risk management strengthens its position against competitors.

**Investor Implications**: A consistent track record of profitability and a well-diversified asset portfolio suggest a positive outlook for investors. The bank’s focus on digital transformation and increasing loan demand present significant growth opportunities, while monitoring operational performance remains essential.