Tamilnad Mercantile Bank standalone Q3 zooms to Rs 180.81 cr

Tamilnad Mercantile Bank Ltd has clocked a standalone net profit at Rs 180.81 crore for the quarter ending December 31, 2020, a top official said on Tuesday.

The Tamil-Nadu based bank had recorded a net profit at Rs92.42 crore in the corresponding quarter of the previous year.

For the nine-month period ending December 31, 2020standalone net profit surged to Rs 422.35 crore as against Rs243.49 crore recorded in the same period last fiscal.

The standalone total income for the quarter ending December 31, 2020, stood at Rs 1,083.45 crore as against Rs998.91 crore recorded during the same period last fiscal.

Total business for the nine-month period ending December 31, 2020, was up at Rs 68,101.12 crore, up from Rs 62,544.21crore clocked during the same period year ago.

The Gross NPA as of December 31, 2020, stood at 3.24 percent while net NPA was 0.92 percent.

Briefing reporters, the bank's MD K V Rama Moorthy saidTMB has been giving continued thrust on advances to priority sectors like agriculture, micro, small and medium enterprises, and housing, constituting 76.57 percent of its adjusted net bank credit above the regulatory requirement of 40 percent.

The advances to the priority sector increased to Rs21,163.85 crore as against Rs 17,866.38 crore registered in the same period last fiscal, Moorthy also the bank's CEO said.

The bank's advances to the agriculture sector were Rs 7,812.54crore, constituting 25.86 percent of total advances, above the regulatory requirement of 18 percent.

There was a 14.78 percent growth in credit to micro, small and medium enterprises sector, from Rs 10,362.56 crore to Rs 11,893. 72 crore, he said.

Referring to the Year-on-Year performance, he said deposits increased to Rs 37,888.62 crore, compared to Rs35,174.49 crore, registering a growth of 7.72 percent The CASA position saw a growth of 16.48 percent growth to Rs 10,392.94 crore, he said.

The advance level of the bank increased to Rs 30,212.50crore with a growth of 10.39 percent and the average growth was 9.85 percent.

On the network expansion, he said six new ATMs were added in the current fiscal, taking the overall number to 1,162.

On the outlook for the current fiscal, he said they were targeting the total business of Rs 72,500 crore, total deposits of over Rs 40,500 crore, total advances to cross Rs 32,000crore, and a net profit of Rs 480 crore.

Tamilnad Mercantile Bank has 509 branches and 12 regionaloffices in 16 states and four union territories, he added.