Public Sector banking services major, Union Bank of India has registered a 2.28 times increase in its net profit at Rs 521.13 crore for the fourth quarter ended March 31, 2008 as compared to Rs 228.58 crore for the same quarter in 2007.

While, the bank has shown a net profit of Rs 1,387.03 crore for the year ended March 31, 2008, as against Rs 845.39 crore during the previous fiscal. The total income of the bank increased to Rs 2,913.10 crore for the fourth quarter this fiscal from Rs 2,336.72 crore a year ago. Total revenue for the year ended 2008 has increased to Rs 10,534.27 crore from Rs 8,068.72 crore during last year.

The board of directors of Union Bank of India, at its meeting held on May 07, 2008, has proposed dividend of 40% for the financial year 2007-08.

The results are quite encouraging and better than market expectations. Most banking companies have not been able to perform well. Major private sector banks have been under pressure as margins declined. ICICI Bank recently had to write-down lot of investment it had made overseas.

Majority of Technical Analysts feel that FMCG, Banking, Pharmaceutical and Technology Sector stocks may perform well. Technology and Pharmaceutical counters didn’t participate in the last rally in stock markets. They are very fairly valued and some companies with robust business model are good for long term investment.