संदभगRef.:नि.से.नव.ISD/370/2022-23

ददिांकDate : 27.01.2023

BSE Ltd.

National Stock Exchange of India Ltd.

Corporate Relationships Dept.

Listing Department

Phiroze Jeejeebhoy Towers,

Exchange Plaza, Plot No.C/1, G Block

Dalal Street,

Bandra-Kurla Complex, Bandra (E),

Mumbai-400 001.

Mumbai-400 051.

BSE Listing Centre

NEAPS

Scrip Code 532 477

Scrip Symbol-UNIONBANK-EQ

Security - UBI-AT/BB

महोदया Madam/महोदय Sir,

Subject: Transcript of Post Earnings Call

This is to inform that transcript of Post Earnings call held on January 20, 2023 for Reviewed (Standalone and Consolidated) Financial Results of the Bank for the Quarter and Nine Months ended on December 31, 2022 is submitted herewith as a PDF searchable attachment.

The same is also being made available in the Bank's website under the following web link:

https://www.unionbankofindia.co.in/english/financial-result.aspx

This information is furnished in terms of Regulation 46(2)(oa) and Regulation 30 read with Schedule III, Part A, Para A, 15(b) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

भवदीय Yours faithfully,

Santanu Kumar Dash

Digitally signed by Santanu Kumar Dash Date: 2023.01.27 19:57:08 +05'30'

(एस. के. दाश S. K. Dash)

कं पनी सचिवCompany Secretary एफ़सीएस FCS - 4085

Encl.: As above

यूनियि बैंक ऑफ इंनिया, निवेशक सेवायें प्रभाग, यूनियि बैंक भवि, 239, नवधाि भवि मागग, िरीमि पॉइंट, म ंबई- 400021. Union Bank of India, Investor Services Division, Union Bank Bhavan,239,VidhanBhavan Marg, Nariman Point, Mumbai - 400021.

: + 91 22 2289 6636/2289 6643,investorservices@unionbankofindia.bank, website:www.unionbankofindia.co.in

"Union Bank of India Q3 FY-23 Earnings Conference

Call"

January 20, 2023

MANAGEMENT: MS. A. MANIMEKHALAI

- MD & CEO

SHRI NITESH RANJAN

- EXECUTIVE DIRECTOR

SHRI RAJNEESH KARNATAK

- EXECUTIVE DIRECTOR

SHRI NIDHU SAXENA

- EXECUTIVE DIRECTOR

SHRI RAMASUBRAMANIAN S

- EXECUTIVE DIRECTOR

SHRI S K MOHAPATRA - CHIEF GENERAL MANAGER

SHRI M V BALASUBRAMANYAM - CHIEF GENERAL MANAGER

SHRI PRAFULLA KUMAR SAMAL - CFO

SHRI SUDARSHANA BHAT- GENERAL MANAGER

CONFERENCE CALL SERVICE PROVIDER:

Page 1 of 13

Union Bank of India

January 20, 2023

Moderator:

Ladies and gentlemen, good day and welcome to the Union Bank of India Earnings Conference

Call for the period ended December 31, 2022. The Bank is represented by Managing Director

and CEO - Ms. A. Manimekhalai; Executive Directors - Shri Nitesh Ranjan, Shri Rajneesh

Karnatak, Shri Nidhu Saxena, Mr. Ramasubramanian S., and other members of the Top

Management.

As a reminder, all participant lines will be in the listen-only mode, and there will be an

opportunity for you to ask questions after the presentation concludes. Should you need assistance

during the conference call, please signal an operator by pressing "*" then "0" on your touchtone

phone. Please note that this conference is being recorded.

I now hand the conference over to Mrs. Ranjita Suresh - Assistant General Manager, Investor

Relations. Thank you, and over to you, ma'am.

Ranjita Suresh:

Thanks, Michelle. Good afternoon, ladies and gentlemen. I, Ranjita Suresh, Head of Investor

Relations, welcome you all for the Union Bank of India Earnings Con-Call for the period ended

December 31, 2022. The structure of the con-call shall include a brief opening statement by MD

and CEO, and then the floor will be open for interaction.

Before getting into the con-call, I will read out the usual disclaimer statement. I would like to

submit that certain statements that may be discussed during the investor interaction may be

forward-looking statements based on the current expectations. These statements involve a

number of risks, uncertainties and other factors that cause the actual results to differ from the

statements. Investors are therefore requested to check the information independently before

making any investments or other decisions.

With this, I now request our MD and CEO ma'am for her opening remarks. Thank you. Over to

you, ma'am.

A. Manimekhalai:

Good afternoon to all of you. It is my pleasure to welcome the analysts and the investor

community. You are one of the major stakeholders for the bank and we are grateful for your

continued support and the feedback that helps us to take informed decisions.

Let me give you a brief on the broad macro environment before going into the performance of

the bank for the Q3 2022-23. You know, the banking sector has shown improved performance

led by a broad-based economic recovery. The deposits and credits of the scheduled commercial

banks have registered a YoY growth of 9.2% and 14.9% for the fortnight ended 30th December

2022. , the same, our bank has registered a higher growth and the deposits in advances recording

a YoY growth of 13.6% and 20.1% respectively.

The bank's financials for the quarter ended December 2022 has shown some good performance.

The global business of the bank has reached Rs.18.69 trillion consisting of Rs.10.65 trillion

deposits and Rs.8.04 trillion of the advances as of 31st December 2022.

Page 2 of 13

Union Bank of India

January 20, 2023

The bank has also registered a growth of 17.8% YoY growth in RAM sector, retail being 16.6% growth, agriculture 17.6, and MSME has registered a growth of 19.6 YoY. The NIM has improved to 3.21 as against 3.15 in Q2 of FY '23, an increase of about 6 bps.

Operating profit of the bank has registered a growth of 29.8% YoY to Rs. 6,619 crores during Q3 FY '23. Net profit of the bank has also improved by 106.8% YoY to Rs. 2,245 crores during Q3 FY '23. The gross NPA of the bank has reduced substantially to 7.93%, and net NPA has also reduced by 195 bps to 2.14% as of 31st December 2022.

The PCR has improved to 88.5%, and the CRAR of the bank has also improved by 53 bps to about 14.45%, and CET has also improved by 53 bps to about 10.71%.

I conclude my opening remarks. I once again thank all our analysts and investors fraternity. We are now open for Q&A. Thank you.

Moderator:Thank you very much, ma'am. We will now begin the question and answer session. (Operator instructions) We have the first question from the line of Maharukh Adajania from Nuvama Wealth Management. Please go ahead.

Maharukh Adajania: Good afternoon. So, ma'am, my first question is, if at all we can get the breakdown of profit on sale of investment and Forex income? And then my second broader question is what would be the outlook for loan and deposit growth from here on, because the sense is that obviously, deposit mobilization will get more aggressive and more competitive in the fourth quarter? The fourth quarter is generally busy season as well plus rates have already risen a lot. So, what is the outlook for deposit and loan growth in near term, that is in the fourth quarter, and then in FY '24? And even in terms of margin, so there has been a lot of concern on whether the margins will decline or stay stable in fourth quarter and FY '24. So, what are your thoughts on margin given that deposit rates are moving up? And any special segment of deposits that we are targeting? So, that's the second part of my question.

A. Manimekhalai: Ma'am, let me answer your question with regard to advances and the deposit growth. We have seen, if you could see our guidance for FY '23, advances growth was given at 10% to 12%, and as on date, as Q3, we have grown by 20%. Deposit growth we had given a guidance of 10%, and we are at 13.61%. So, we would like to keep this guidance, and we will see that we keep the advances growth to minimum to 12% in the current quarter also. Both we have grown by 20% in the last quarter.

And coming to your FOREX and Treasury, my Treasury head will give you the reply to this.

M V Balasubramanyam : Good afternoon. As far as the bifurcation of the Treasury income is concerned, we have 471 crores for this quarter ending December three months. Out of that, Rs. 168 crores is by way of profit on sale of investments, and 412.6 --

Maharukh Adajania:

Sorry. How much is profit --

Page 3 of 13

Union Bank of India

January 20, 2023

M V Balasubramanyam :

Pardon?

Maharukh Adajania:

Sorry. How much is profit on sale?

M V Balasubramanyam:

Profit on sale is Rs.168 crores. And the exchange income is Rs. 206 crores. And we have a write

back of MTM also to the tune of around Rs.67 crores.

Maharukh Adajania:

Write back of?

M V Balasubramanyam:

MTM.

Maharukh Adajania:

Ma'am, I appreciate the guidance given, and you have already outdone or outperformed that

guidance. So, that kudos to you and your team. But, ma'am, if you look at 12% YoY growth for

Q4, then we could actually be at a level lower than Q3. So, you know, if you could revise the

guidance and give us like a more say recent picture on loan growth guidance for 4Q, right,

because then if the 4Q, if the guidance is maintained at 12% year-on-year, then there will hardly

be any growth in the fourth quarter. That's why I am asking.

Rajnish Karnatak:

Yes. So, to answer your question, see, the growth guidance has been pegged at 10 to 12% reason

being that the base effect is there. So, December 21 the advances of the bank were on a lower

side, so the growth has what you are seeing at around 20%. So, this is the same situation for all

the scheduled commercial banks. So, the base had increased for all scheduled commercial banks

including Union Bank of India for March '22, because of which the year-on-year growth will not

to be the extent off , say 20% for others. So, this is also the reason why the credit growth is

around 20% in the industry, and the deposit growth is around 13% because the base of deposit

was high in December '21 all around for scheduled commercial banks, but for the credit growth

the base was muted. So, this is the reason why the guidance has been muted, but though we may

outperform it, we are trying to keep the guidance at a low level, which is 10 to 12%.

Maharukh Adajania:

Sir, so if you see the gross advances for Q4 FY '22, then they were at around Rs.7 trillion, right.

So, if you take a 10% growth, then there won't be a much QoQ growth, correct?

Rajnish Karnatak:

No, it's not a question of, see, we were at Rs. 7 lakh crores. So, we have already touched Rs. 8

lakh crores of credit book as on December '22. So, there will be some growth over this number

definitely, but the growth we are presently saying is at around 12% only, because our base of

March '23 is Rs. 7 lakh crores sorry March '22 is Rs. 7 lakh crores.

Moderator:

Thank you. We have the next question from the line of Ashok Ajmera from Ajcon Global. Please

go ahead.

Ashok Ajmera:

Thank you for giving this opportunity. And congratulations to ma'am and the entire team, all the

Executive Directors and Top Management for coming out with yet another set of very good

numbers for the Bank whether you look at the profitability front or even the asset quality and

Page 4 of 13

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Union Bank of India published this content on 27 January 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 30 January 2023 08:53:09 UTC.