Union Bank of India, a public sector bank in India, today reported a sharp rise of 78.43% in second quarter profit. The bank reported a profit of Rs 3.71 billion for the quarter ended Sept. 30, 2014, compared with Rs 2.08 billion, a year ago. Market was expecting profit to come at Rs 4.34 billion.

Quarterly income totalled at Rs 87.55 billion, an increase of 15.88% over Rs 78.82 billion in the same period a year ago.

The bank has made provision of Rs 7.85 billion, which was lower by 16.16% from prior year period to Rs 9.37 billion.

Net NPA was at 64.49 billion for the quarter ended Sept. 30, 2014, as compared to Rs 46.70 billion in the same period last year, representing an increase of 38.09%.

In percentage term, net NPAs were at 2.71% at the end of the quarter higher than 2.15% from last year period.

Capital adequacy ratio (CAR) of the bank under Basel III was at 10.30% as on Sept. 30, 2014.

Domestic net interest margin (NIM) stood at 2.60% in July-September 2014 quarter as against 2.68% in April-June 2014. It was 2.62% a year ago. Global NIM for July-September 2014 was 2.53% as against 2.60% for April-June 2014 quarter. It was 2.54% a year ago.

Net interest income for July-September 2014 up by 6.7% to Rs 20.85 billion from Rs 19.54 billion in July-September 2013.

Shares of the bank gained Rs 4.25, or 1.9%, to trade at Rs 228.45. The total volume of shares traded was 734,034 at the BSE (12.13 p.m., Friday).