Tamilnad Mercantile Bank Reports Record Quarterly Net Profit of ₹412 Crore

Tamilnad Mercantile Bank reported a record quarterly net profit of ₹412 crore for the first quarter ending June 30, 2026, marking a 35% year-on-year increase. This result represents the highest net profit in the bank's history, surpassing the ₹400 crore milestone for the first time.

Financial growth was driven by a 32% surge in net interest income to ₹765 crore and a 48% rise in operating profit to ₹611 crore. Total business expanded 23% to ₹1.21 lakh crore, while advances grew 27% to ₹57,306 crore, primarily fueled by agriculture and retail loans. Asset quality improved, with gross NPAs declining to between 0.69% and 0.73%.

Managing Director and CEO Salee S Nair noted that 97.4% of transactions now occur through digital channels. To support this transition, the bank plans to invest ₹280 crore in information technology during FY27. Additionally, the bank is evaluating the establishment of international liaison offices in Dubai, Singapore, and Malaysia.