Tamilnad Mercantile Bank Q1 net up 79%

Operating profit up 60% to Rs 143 cr on steady loan portfolio growth

Tamilnad Mercantile Bank (TMB) has reported a 79.43% growth in net profit during the quarter ended june 30, 2012 at Rs 90.56 crore from Rs.50.47 crore, a year ago.

Operating profit has increased by 60.19%  (Y-o-Y) from Rs 89.54 crore to Rs 143.43 Crore, which was contributed by steady growth in loan portfolio, said K B Nagendra Murthy, Managing Director & CEO of the Bank.

Net Interest Margin (NIM) increased to 4.20%  from 3.94% (Y-O-Y).  Net Interest Income (NII) increased by 40.95% from Rs 142.37 crore to Rs 200.67 crore (Y-o-Y). Gross NPA decreased from 1.48% to 1.37%. Net NPA is 0.56% as against 0.37% last year.

As on June 30, 2012, deposits grew by 27.84% to Rs 17,649 crore and advances grew by 37.11% to Rs.14,553 crore. The total business is at Rs 32,202 Crore with a growth rate of 31.87% (Y-o-Y).

The bank endeavours to achieve a total business of Rs 40,800 crore and to increase the Branch net work to 330 and ATMs to 500 by March 2013, said Murthy.