Tamilnad Mercantile Bank Delivers Robust Growth in Q1 FY26: Net Profit Surges, Key Metrics Shine

Tamilnad Mercantile Bank (TMB) reported a strong financial performance for the quarter ended June 30, 2025 (Q1 FY26), continuing its growth streak and underlining its stability in the Indian banking sector.

Key Financial Highlights:

Net profit posted at ₹3.05 billion, boosted by higher interest income.

Interest earned hit ₹13.86 billion, reflecting solid lending and investment performance.

Gross NPA improved to 1.22%—a sign of efficient asset quality management.

Provisions and contingencies stood at ₹83.4 million, ensuring robust risk coverage.

Total business (deposits + advances) grew 9.86% year-on-year to nearly ₹99,000 crore.

Deposits increased by 9.4% YoY, keeping liquidity strong.

Advances surged 10.4% YoY, showing robust credit growth.

CASA deposits (low-cost funding) climbed 4.5% YoY.

The bank’s prudent focus on quality growth is reflected in stable NPAs and consistent expansion of its deposit base.

Key Highlights
Robust profit growth and sustained improvement in core banking business.

Asset quality remains strong—Gross NPA at 1.22%.

Rise in low-cost, stable CASA deposit base.

Continued customer focus via branch expansion and new digital initiatives.

Source: HDFC Sky, CNBC TV18, [Tamilnad Mercantile Bank Official Financial Results]

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