UCO Bank

- IT budget for FY26 approved at over Rs.1,000 crore; spend increased from Rs.576 crore in FY24 to Rs.899 crore in FY26. - Ongoing and planned projects under digital transformation (Project Parivartan Phase 2): - Omnichannel banking experience. - Cash management services. - Supply chain finance. - Robotic process automation. - Digital marketing solutions. - Forex and prepaid card solutions. - Document management system. - E-note facility to remove paper from the system. - Cybersecurity improvements including identity access management and centralized log management. - Conversion of call center into profit center. - Centralized monitoring for credit loans via ED CAM portal. - Transformation Management vertical headed at GM level. - Additional WhatsApp banking services. - CASA back office and centralized forex processing center. - Completion of key previous initiatives like CBDC on mobile, new treasury solution (Murex), data center consolidation.

- UCO Bank projects credit growth guidance for FY27 at 12-14%, continuing a consistent trend over the years, despite past achievements exceeding targets (19.44% actual growth in FY26). - Deposit growth guidance remains steady at 10-12%, with a focus on retail franchise (savings, current accounts) over bulk deposits. - CASA ratio guidance stays at 37-38%, with actual CASA at 38.65% and ongoing efforts to increase CASA and net interest margin. - The bank aims to improve ROA from 0.87% toward 0.95-1% by end of next financial year through enhanced NIM, CASA growth, and TWO recovery. - Digital initiatives (Project Parivartan) expand digital business, improving customer engagement and loan product penetration. - Credit pipeline of Rs.14,000 crore in Corporates focuses on renewables, data centers, smart metering, and roads but pricing discipline is maintained. - Treasury activity is expected to benefit from global environment stability leading to improved profitability.

- Guidance for FY27 includes: - Credit growth target: 12-14%, consistent with past years' guidance. - Deposit growth: 10-12%. - CASA ratio: Maintain 37-38%. - RAM segment growth: 62-65%. - CD ratio: 80-82%. - Credit cost targeted below 0.75% (improved from previous). - NIM (global): 2.8-2.9%. - Gross NPA expected under 2%, Net NPA under 0.2%. - Slippage ratio expected below 1%. - Recovery and upgradation target at Rs. 2,000 to 2,500 crore. - ROA is expected to improve, aiming to near 0.95-1% by FY27 end. - Initiatives to improve ROA include focus on net interest margin, CASA growth, and TWO recovery. - Cost-to-income ratio expected to improve with continued focus on fee income and cost control. - No explicit EPS targets disclosed, but overall performance and growth trends indicate positive earnings momentum.

- The current pipeline in the Corporate segment is around Rs. 14,000 crore. - Certain sanctions are already in place, but disbursement is delayed due to pricing issues. - The bank is cautious about credit growth in the Corporate segment and does not want to compromise on margins. - Growth demand is coming from sectors like renewables, data centers, smart metering, and road projects. - The bank focuses on acquiring business in "sunshine sectors" while maintaining pricing discipline.

- No immediate plans for equity fundraising; QIP approval has been obtained from the Board but no launch is planned in the current quarter. (Page 9) - The bank will wait for the right market opportunity before proceeding with QIP. (Page 9) - Regarding debt, there is no explicit mention of new debt fundraising plans in the transcript. However, discussions around credit growth and deposit focus indicate ongoing management of liabilities. (Pages 9-11) - No specific future fundraising through debt or equity detailed beyond the QIP approval status.