COMPARATIVE STUDY OF FINANCIAL PERFORMANCE OF UNION BANK OF INDIA AND AXIS BANK LIMITED

This study presents a comparative analysis of the financial performance of Union Bank of India, a nationalised public sector bank, and Axis Bank Limited, a leading private sector bank, over the five-year period 2021 to 2025.Using secondary data drawn from the annual reports and investor-relations disclosures of both banks, the study applies ratio analysis, comparative analysis, and trend analysis to examine profitability, asset quality, capital adequacy, operational efficiency, and growth through indicators such as Net Profit, Return on Assets (ROA), Return on Equity (ROE), Capital Adequacy Ratio (CAR), Net Interest Margin (NIM), Gross NPA, Cost-to-Income Ratio, and Credit-Deposit Ratio.The findings show that Axis Bank Limited consistently outperformed Union Bank of India on nearly every profitability and efficiency indicator, recording higher Net Profit, ROA, ROE, and Net Interest Margin alongside a lower Cost-to-Income Ratio and lower Gross NPA throughout the study period.Union Bank of India nonetheless showed steady improvement, aided by restructuring, digital transformation, and NPA recovery, while continuing to play a vital role in financial inclusion and priority-sector lending.The study concludes that nationalised and private sector banks follow distinct strategic priorities -social banking versus profitability-led growth -and offers suggestions to strengthen the performance and competitiveness of both institutions.