South Indian Bank gains over 4% post strong Q1 FY25 results; net profit up 45% YoY

In the early trade, the stock was trading at ₹27.6, up 4.1%, on the National Stock Exchange (NSE). It gained 4% to trade at ₹27.5 on the BSE.

Year-to-date, the scrip has gained 11.2%, while it has risen 29.6% in the past year.

The private lender reported a 45.2% surge in its Q1 FY25 net profit to ₹294 crore, backed by lower provisions. The bank had reported a net profit of ₹202 crore in the year-ago period.

Its core net interest income (NII) climbed 7% to ₹808 crore due to 11% growth in overall advances and a 0.08 decline in the net interest margin at 3.2%, according to a regulatory filing. The other income rose 16.8% to ₹422 crore.

Overall deposits grew by 8.4% to ₹1 lakh crore.

On the asset quality front, gross non-performing assets (NPAs) stood at 4.50% compared to 5.13% in the corresponding period last year.

PR Seshadri, MD and CEO of South Indian Bank, said, "the strategy adopted by the bank continues to enable the business performance. During the period, the bank registered growth in all the desired segments with a focus on quality assets across all verticals: corporate, auto loan, credit card, gold loan, etc."

Its overall capital adequacy stood at 18.1% as of June 30, 2024.