HDFC Bank Limited
NSE: HDFCBANK
Financial Services · Banks - Regional
₹692.80 last close on 23 Oct 2026 −0.18%
Research updated
City Union Bank Ltd.
NSE: CUBFinancial ServicesBanks - Regional
- Last close
- ₹222.02
- Day change
- −₹4.25 (−1.88%)vs
- Market cap
- ₹22,589 crIndian rupees
- Research updated
- 1 report
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About City Union Bank
City Union Bank Ltd. is a leading banking institution primarily engaged in providing a wide array of financial services within the banking sector. Established with a focus on tailoring banking solutions for small and medium enterprises, retail customers, and agricultural clients, the bank plays a crucial role in India's financial ecosystem. Known for its innovative approach to traditional banking, City Union Bank Ltd. offers a comprehensive range of products including savings and current accounts, fixed deposits, and loan facilities that cater to various customer needs. The bank also embraces technology-driven solutions to enhance customer experience through mobile banking, internet banking, and other digital services, ensuring convenient and secure transaction possibilities. Its strong regional presence, particularly in the southern regions of India, facilitates economic growth and development by supporting both urban and rural financial needs. City Union Bank Ltd.'s emphasis on customer relationships and innovation positions it as a significant player in the Indian banking landscape, contributing to financial inclusion and the overall stability of the financial markets.
- Sector
- Financial Services
- Industry
- Banks - Regional
- Listing
- NSE: CUB
- Next results
- Chief executive
- Mr. Vijay Anandh Ramamoorthy B.Sc., M.B.A.
- Employees
- 8,894
- Headquarters
- Kumbakonam, India
- ISIN
- INE491A01021
- Website
- cityunionbank.bank.in
Public research · Report of
Business model & financial foundation
City Union Bank (NSE: CUB), Private sector bank (old private bank): revenue of ₹3,869 crore in FY26 (+20.4% on FY25) and net profit of ₹1,326 crore.
- Revenue, FY26 (₹ crore)
- 3,869
- standalone
- Revenue growth, FY26
- +20.4%
- on FY25
- Net profit, FY26 (₹ crore)
- 1,326
- to owners
- Return on equity, FY26
- 13.2%
- on average equity
- Market capitalisation (₹ crore)
- 22,515
- at the close of 14 Oct 2026
Company profile
City Union Bank is a 1904-founded old private sector bank headquartered in Kumbakonam, Tamil Nadu, with 1,000 branches (June 2026). It positions itself as a banker to MSMEs, traders and agriculture; MSME credit was 37.5% of FY26 advances, with a large gold-backed loan franchise. The bank reports on a standalone basis, earned a 1.56% ROA in FY26, and is in a growth phase with advances up 26% in FY26.
| Item | Value |
|---|---|
| Legal name | City Union Bank Limited |
| Exchange and ticker | NSE: CUB; BSE: 532210 |
| ISIN | INE491A01021 |
| CIN | L65110TN1904PLC001287 |
| Sector | Financial Services |
| Industry | Private sector bank (old private bank) |
| Headquarters | Kumbakonam, India |
| Fiscal year end | March |
| Reporting basis and unit | standalone, in ₹ crore |
| Auditor | P. B. Vijayaraghavan & Co. and M. Srinivasan & Associates (joint statutory central auditors) |
| Market capitalisation | ₹22,515 crore (14 Oct 2026) |
| Shares outstanding | 99.12 crore shares (FY26) |
| Price | ₹234.5 (close, 14 Oct 2026) |
| 52-week range | ₹158.7 - ₹248.9 (to 14 Oct 2026) |
| Website | https://www.cityunionbank.bank.in |
Corporate structure and shareholding
No subsidiary is recorded.
No subsidiaries, associates or JVs; the bank does not belong to any group (FY26 annual report). Kotak Mahindra Bank has RBI approval (6 May 2026) to acquire up to 9.99% without a board seat.
| Shareholding (% of shares) | Q2FY26 | Q3FY26 | Q4FY26 | Q1FY27 |
|---|---|---|---|---|
| Promoter | 0.00% | 0.00% | 0.00% | 0.00% |
| Foreign institutions | 25.96% | 23.49% | 23.37% | 18.65% |
| Domestic institutions | 36.75% | 40.24% | 40.73% | 44.85% |
| of which mutual funds | 28.74% | 31.19% | 31.82% | 34.24% |
| Retail | 19.76% | 19.43% | 19.29% | 18.78% |
| Other | 17.53% | 16.84% | 16.61% | 17.72% |
The promoter holding pledged is a share of the promoter's own holding.
Business model
City Union Bank (NSE: CUB, BSE: 532210) is a 1904-founded old private bank based in Kumbakonam, Tamil Nadu. It has no subsidiaries and reports on a standalone basis. It lends to MSMEs, traders and farmers. MSME credit was Rs 25,004.26 cr, 37.48% of FY26 advances. Gold loans were 30.62% of advances at June 2026. These two categories overlap and should not be added together. Of the 949 branches at FY26, 579 were in Tamil Nadu. The network reached 1,000 branches in Q1FY27. Earnings come from spread: FY26 NII was Rs 2,829.83 cr on advances of Rs 66,698.83 cr, and non-interest income was Rs 1,038.83 cr, including treasury gains and recoveries from written-off accounts. The bank controls underwriting and pricing on the gold book, which is fixed-rate and earns double-digit yields outside agriculture. It does not control deposit pricing: system credit grew 19.4% against deposits at 17.8% in September 2026.
| Segment | revenue, FY26 (₹ crore) | Share | result, FY26 (₹ crore) | Share |
|---|---|---|---|---|
| Treasury | 1,424 | 18.0% | 791.0 | 39.3% |
| Corporate / Wholesale Banking | 1,671 | 21.1% | 263.2 | 13.1% |
| Retail Banking (including Digital Banking) | 4,647 | 58.8% | 805.8 | 40.0% |
| Other Banking Operations | 165.9 | 2.1% | 154.3 | 7.7% |
Segments as the company reports them (standalone); each share is of the segments' sum.
| Peer | Why the dossier compares them |
|---|---|
| Karur Vysya Bank (KARURVYSYA) | Tamil Nadu old private bank with similar MSME/gold/agri book and size |
| Federal Bank (FEDERALBNK) | |
| South Indian Bank (SOUTHBANK) | Kerala old private bank with gold and MSME exposure |
| DCB Bank (DCBBANK) | Mid-sized private bank lending to small business and mortgages |
| CSB Bank (CSBBANK) | Old private bank with a large gold loan book |
| Tamilnad Mercantile Bank (TMB) | Tamil Nadu old private bank lending to traders and MSMEs |
Financial databook
| Profit and loss (₹ crore) | FY22 | FY23 | FY24 | FY25 | FY26 |
|---|---|---|---|---|---|
| Total net income (NII + other income) | 2,674 | 2,973 | 2,865 | 3,214 | 3,869 |
| Profit before tax | 985.2 | 1,177 | 1,231 | 1,417 | 1,671 |
| Tax expense | 225.0 | 240.0 | 215.0 | 293.0 | 345.0 |
| Net profit | 760.2 | 937.5 | 1,016 | 1,124 | 1,326 |
| Diluted EPS (bonus-adjusted, 1:3 bonus Jun 2026) (₹) | 10.18 | 12.57 | 10.22 | 11.30 | 13.38 |
| Interest earned | 5,271 | 5,834 | 6,870 | ||
| Interest expended | 3,147 | 3,518 | 4,040 | ||
| Net interest income | 2,123 | 2,316 | 2,830 | ||
| Other income (non-interest) | 741.7 | 898.1 | 1,039 | ||
| Employee cost | 613.8 | 733.0 | 889.8 | ||
| Other operating expenses | 734.6 | 802.2 | 964.6 | ||
| Operating expenses | 1,348 | 1,535 | 1,854 | ||
| Operating profit before provisions | 1,517 | 1,679 | 2,014 | ||
| Provisions (other than tax) and contingencies | 286.0 | 262.0 | 343.0 |
| Balance sheet (₹ crore) | FY22 | FY23 | FY24 | FY25 | FY26 |
|---|---|---|---|---|---|
| Common book equity (capital + reserves and surplus) | 6,586 | 7,457 | 8,401 | 9,467 | 10,565 |
| Borrowings | 5,787 | 5,060 | 3,682 | 2,169 | 5,327 |
| Cash and cash equivalents * | 6,687 | 6,649 | 6,944 | 5,291 | 8,927 |
| Trade payables * | 218.5 | 283.0 | 319.0 | 369.4 | 414.0 |
| Net property, plant and equipment * | 860.4 | 938.9 | 1,036 | 1,155 | 1,371 |
| Total assets | 70,826 | 77,623 | 97,024 | ||
| Reported net worth (net of intangibles) | 8,374 | 9,417 | 10,458 | ||
| Net advances (statutory balance-sheet carrying value) | 45,526 | 52,081 | 65,875 | ||
| Total deposits | 55,657 | 63,526 | 78,308 | ||
| Gross advances (before loan-loss provisions) | 46,481 | 53,066 | 66,699 |
| Cash flow (₹ crore) | FY22 | FY23 | FY24 | FY25 | FY26 |
|---|---|---|---|---|---|
| Net cash from operations AFTER cash income tax | 889.4 | 916.8 | 436.2 | 1,128 | 802.5 |
| Free cash flow (vendor definition) * | 1,088 | 625.1 | 267.9 | 930.5 | 449.9 |
| Cash dividends paid (outflow negative) | -37.6 | -74.2 | -74.1 | -111.1 | -147.5 |
| Gross purchase of fixed assets (cash outflow negative) | -62.8 | -71.9 | -168.3 | -197.8 | -352.5 |
| Cash proceeds from sale of fixed assets | 61.9 | 78.1 | 144.7 | ||
| Cash share capital issuance proceeds | 0.03 | 0.03 | 0.21 | ||
| Cash proceeds from share premium | 2.51 | 4.22 | 31.9 | ||
| Net borrowing cashflow (positive raised, negative repaid) | 36.1 | -2,555 | 3,157 | ||
| Net financing cashflow | -35.5 | -2,662 | 3,042 |
| Other reported lines (₹ crore) | FY22 | FY23 | FY24 | FY25 | FY26 |
|---|---|---|---|---|---|
| Diluted weighted average shares (1:3 bonus-adjusted) | 73.91 | 73.98 | 99.46 | 99.41 | 99.12 |
| Quarterly profit and loss (₹ crore) | Q2FY25 | Q3FY25 | Q4FY25 | Q1FY26 | Q2FY26 | Q3FY26 | Q4FY26 | Q1FY27 |
|---|---|---|---|---|---|---|---|---|
| Total net income (NII + other income) | 808.8 | 816.1 | 851.5 | 869.2 | 925.7 | 997.5 | 1,076 | 1,064 |
| Profit before tax | 358.2 | 361.0 | 363.0 | 380.9 | 413.6 | 417.2 | 459.6 | 502.6 |
| Tax expense | 73.0 | 75.0 | 75.0 | 75.0 | 85.0 | 85.0 | 100.0 | 120.0 |
| Net profit | 285.2 | 286.0 | 288.0 | 305.9 | 328.6 | 332.2 | 359.6 | 382.6 |
| Diluted EPS (bonus-adjusted, 1:3 bonus Jun 2026) (₹) | 2.87 | 2.87 | 2.90 | 3.08 | 3.31 | 3.35 | 3.62 | 3.85 |
| Interest earned | 1,434 | 1,479 | 1,533 | 1,605 | 1,653 | 1,756 | 1,856 | 1,985 |
| Interest expended | 851.5 | 891.0 | 932.4 | 980.0 | 986.6 | 1,004 | 1,070 | 1,165 |
| Net interest income | 582.5 | 587.7 | 600.3 | 625.3 | 666.5 | 752.2 | 785.8 | 820.1 |
| Other income (non-interest) | 226.3 | 228.4 | 251.2 | 243.9 | 259.1 | 245.4 | 290.5 | 243.6 |
| Employee cost | 183.5 | 178.5 | 196.5 | 200.6 | 224.4 | 230.2 | 234.6 | 234.7 |
| Other operating expenses | 197.1 | 201.6 | 214.0 | 217.7 | 230.7 | 254.1 | 262.1 | 248.4 |
| Operating expenses | 380.6 | 380.1 | 410.6 | 418.2 | 455.1 | 484.4 | 496.7 | 483.2 |
| Operating profit before provisions | 428.2 | 436.0 | 441.0 | 450.9 | 470.6 | 513.2 | 579.6 | 580.6 |
| Provisions (other than tax) and contingencies | 70.0 | 75.0 | 78.0 | 70.0 | 57.0 | 96.0 | 120.0 | 78.0 |
Standalone, as reported. Lines marked * are the market-data provider's figures; the rest are extracted from the company's filings or derived from them. n.d. not disclosed, n.r. not retrieved, n.a. not applicable.
Metrics dashboard
| Metric | FY22 | FY23 | FY24 | FY25 | FY26 |
|---|---|---|---|---|---|
| Revenue growth | 6.3% | 11.2% | -3.6% | 12.2% | 20.4% |
| Net margin | 28.4% | 31.5% | 35.5% | 35.0% | 34.3% |
| Return on equity | 12.2% | 13.4% | 12.8% | 12.6% | 13.2% |
| Return on assets | 1.4% | 1.5% | 1.5% | ||
| Dividend payout | 4.9% | 7.9% | 7.3% | 9.9% | 11.1% |
| EPS, diluted (₹) | 10.18 | 12.57 | 10.22 | 11.30 | 13.38 |
| Book value per share (₹) | 89.10 | 100.8 | 84.47 | 95.22 | 106.6 |
Computed from the statements above:
- Revenue growth: revenue over the previous year's, less one.
- Net margin: net profit to owners / revenue.
- Return on equity: net profit to owners / average equity.
- Return on assets: net profit to owners / average total assets.
- Dividend payout: dividends paid / net profit to owners.
- EPS, diluted (₹): as reported (Diluted EPS (bonus-adjusted, 1:3 bonus Jun 2026)).
- Book value per share (₹): equity / shares outstanding.
Source: the company's filings and disclosures as extracted into Mool's company dossier (version 1, information to 14 Oct 2026); market data at the close of 14 Oct 2026. Every figure is read from the dossier's files or computed from them; the account of the business model is the analyst's, from the dossier's workings.
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What the full research on City Union Bank includes
Every piece of Mool’s research is built the same way: a researched evidence base, analyses that build on each other, a research model and a report with the call. This page shows the first analysis.
The report and Mool’s call
- The 12-month rating and target
- The 3-month view
- Mool's estimates beside the street's
- The claims the view rests on, and what would change it
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- Business model & financial foundationOn this pageWhat the company does and how it makes money, its structure, five years of financials and the metrics that matter for it.
- Future earnings & financial modelForecasts built from the drivers that move the business, by scenario, beside the street's.
- Fundamental valuation & 12-month thesisWhat the business is worth on several methods, what the market already prices in and the 12-month thesis that follows.
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The model behind the report: the company’s history, the drivers that move it, its forecasts by scenario and the valuation the 12-month target comes from.
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Report history
Reports on City Union Bank
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Prices are the last close on the NSE, 23 Oct 2026. Research from Mool’s report of 14 Oct 2026; page updated 25 Oct 2026.
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