Tamilnad Mercantile Bank Ltd., (TMB) has reported a 6.27% rise in standalone net profit for the June quarter reaching ₹305 crore, driven by continued growth in core lending and deposit business.

The Gross non-performing asset (NPA) has decreased to 1.22% from 1.44%, reflecting an improvement of 22 bps. Similarly, the net NPA has decreased to 0.33% from 0.65%, an improvement of 32 bps.

Total Special Mentions Account (SMA) to gross advances has reduced to 3.05% from 4.98%, marking a reduction of 193 bps. Meanwhile, the CRAR % has increased to 31.55% from 29.21%, improved by 234 bps.

The bank also witnessed a steady business growth which has now crossed 9.86%. Deposits grew to ₹53,803 crore, while advances rose to ₹45,120 crore with a growth rate of 10.44% on Year over Year basis. The net interest income stood at ₹580 crore for the quarter QIFY26, compared to ₹567 crore for QIFY25, registering a growth rate of 2.29%.

The bank’s net worth also saw a healthy rise, reaching ₹9,328 crore with a rise of ₹1,084 crore registering a growth rate of 13.15%. As part of its ongoing transformation, TMB has undertaken several strategic initiatives. Among them is the implementation of Oracle CX, an integrated sales service platform to streamline customer lifecycle management.

Vendor Management System, an unified platform for bank wide expenses management has been introduced (excluding HR functions). Additionally, the adoption of Business Process Management (BPM), represents a strategic shift towards becoming a fully digital, process driven bank.