Tamilnad Mercantile Bank reported record Q1 FY27 results, with business growth of 23% and net profit of ₹412 Cr.

ROA reached 2.14% and ROE hit 15.93%. Net interest margin improved to 4.29%. Asset quality remained strong with GNPA at 0.69% and NNPA at 0.17%. Management noted exceeding guidance, aiming to sustain growth by focusing on MSME and non-gold retail segments.

Gold loan growth is expected to continue with a focus on tonnage, maintaining an informal cap around 50% of advances.

A significant update saw the E.D. penalty reduced to ₹3.4 Cr from ₹17 Cr.

The bank appears confident in its strategic direction and upgraded full-year guidance.