Tamilnad Mercantile Bank Limited — PPTs, 04-02-2026: Investor Presentation

Tamilnad Mercantile Bank delivered strong Q3FY26 results, showing accelerating momentum.

**Business Performance:** Total Business grew 14.28% YoY to ₹1,07,470 Cr. Deposits increased 12.53% to ₹56,707 Cr, with CASA up 14.94%. Advances rose 16.30% to ₹50,763 Cr, driven by RAM advances. Asset quality significantly improved: GNPA down to 0.91% and NNPA to 0.20%, with a strong 78.35% Provision Coverage Ratio. Slippages and stressed assets also declined.

**Growth Drivers & Strategy:** The bank is expanding with 36 new branches and is undertaking a major digital transformation, backed by a ₹250 Cr IT infrastructure budget. Strategic HR initiatives, including 1043 new hires and specialized IT talent, are bolstering capabilities.

**Recent Developments:** Digital transactions now constitute 96.96% of total transactions, highlighting successful digital adoption.

**Key Financial Metrics:** Net Interest Income jumped 13.28% YoY to ₹646.14 Cr. Operating Profit rose 14.84% to ₹468.22 Cr, and Net Profit increased 13.74% YoY to ₹341.50 Cr for the quarter. Annualized ROA stood at 1.97% and ROE at 14.22%. Cost to Income Ratio improved to 44.40%.

**Management Commentary / Outlook:** Management emphasizes carefully crafted growth, aiming to boost earnings while sustaining excellent asset quality. Continued investments in technology and human resources are priorities.