22 April 2024
The Tamilnad Mercantile Bank, a private sector bank, has reported a net profit of Rs 253 crore for the fourth quarter that ended on March 31, 2024. Despite setting aside more than half of its funds for provisions and contingencies, the bank's net profit remained flat. The operating profit for the quarter was lower at Rs 367 crore compared to Rs 404 crore. However, the net interest income during the quarter was 5.6% higher than the year-ago period.
The board of the bank recommended a 100% dividend or Rs 10 per share for FY24 on Monday. The bank's advances increased by 6.4% YoY, amounting to Rs 39970 crore. However, the asset quality slipped marginally to 1.44% at the end of the fiscal year from 1.39% a year ago. Meanwhile, deposits grew at a slower pace of 3.7% YoY, totaling Rs 49575 crore. The bank also reported that the stressed assets ratio decreased to 2.70% from 3.18% a year ago.
