UCB H1 profit jumps 90% to Tk34cr on subsidiary earnings, lower provisioning
The bank said the improvement in EPS was largely attributable to better performance by its subsidiaries.
United Commercial Bank (UCB) reported a 90% year-on-year increase in consolidated net profit to Tk34.04 crore in the first half of 2026, driven by stronger contributions from its subsidiaries and a sharp decline in loan-loss provisioning.
According to the bank's half-year financial statements, consolidated earnings per share (EPS) rose to Tk0.22 for the January-June period from Tk0.12 a year earlier.
The bank said the improvement in EPS was largely attributable to better performance by its subsidiaries.
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During the period, interest income edged up to Tk3,097 crore, while interest expenses on deposits and borrowings increased at a faster pace, rising 24% to Tk2,813 crore. As a result, net interest income fell 65% year-on-year to Tk283.72 crore.
The decline in core interest income was offset by strong non-interest earnings. Income from investments – including government treasury bills, bonds and zero-coupon bonds – jumped 71% to Tk921 crore, while commission, exchange and brokerage income rose 3.3% to Tk428 crore. Other operating income, however, fell to Tk13.37 crore.
The bank also benefited from a sharp reduction in provisioning. It set aside Tk214 crore against loans during the first half, down from Tk615 crore in the corresponding period of 2025.
In the April-June quarter, UCB's consolidated net profit rose 91% year-on-year to Tk22.66 crore from Tk11.88 crore.
Quarterly EPS increased to Tk0.15 from Tk0.08 a year earlier.
Investment income surged 87.6% during the quarter to Tk552 crore, while provisioning fell sharply to Tk60.84 crore from Tk372.55 crore in the same quarter last year, supporting the improvement in profitability.
