Total income during April-June 2020-21 rose to Rs 1,209.95 crore from Rs 1,192.53 crore in the same quarter last year.
Provisions for bad loans and contingencies increased to Rs 157 crore from Rs 115.75 crore earlier. However, it was down substantially from Rs 450.38 crore parked aside in the preceding Q4 FY20.
Asset quality showed slight deterioration, with the gross non-performing assets (NPAs) rising to 3.90 per cent of the gross advances as on June 30, 2020, from 3.34 per cent as on June 30, 2019.
In value terms, gross NPAs stood at Rs 1,346.09 crore as compared to Rs 1,076.22 crore earlier.
Net NPA ratio too increased to 2.11 per cent (Rs 716.35 crore) from 1.89 per cent (Rs 599.96 crore).
On the Covid-19 situation, the bank said it has sufficient capital and adequate liquidity to support its business growth which would continue to be the focus area during this period.
City Union Bank said it has made an additional ad-hoc provision of Rs 100 crore to meet any future contingency arising out of the pandemic.
"Thus the total provision in this regard held by the bank as on June 30, 2020 is Rs 202 crore which is over and above the RBI prescribed norms," it added.
Provision coverage ratio as per RBI guidelines is 68 per cent as on June 30, 2020, the bank said.
The bank's scrip closed at Rs 116.80 apiece on BSE, down 0.97 per cent.