Tamilnad Mercantile Bank's Profit Surge: A 14% Leap Forward

Tamilnad Mercantile Bank reported a 14% increase in profit for the December quarter, reaching Rs 342 crore compared to Rs 300 crore a year ago. Total income rose to Rs 1,665 crore. Improvements in asset quality and the capital adequacy ratio were also noted.

Tamilnad Mercantile Bank announced a significant 14% rise in net profit, amounting to Rs 342 crore for the December quarter, an increase from Rs 300 crore in the previous year's quarter. This old generation private sector bank revealed its total income ascended to Rs 1,665 crore from Rs 1,520 crore, as per the regulatory filing.

Interest income marked an uptrend, reaching Rs 1,469 crore as opposed to Rs 1,331 crore in the prior financial year. Additionally, net interest income climbed to Rs 646 crore for Q3FY26 from Rs 570 crore previously. These strides come amid a moderation in gross non-performing assets, which dipped to 0.91% from 1.32% a year ago.

Furthermore, net non-performing assets lessened to 0.2% compared to the previous 0.41% by the end of last fiscal's third quarter. The bank's provisional coverage ratio impressively increased to 78.35% from 69.07%, alongside an improvement in the capital adequacy ratio, now at 30.08% compared to 29.35% the preceding year.