Tamilnad Mercantile Bank Share Price Rise 3% After Strong Q3 FY26 Business Update

Tamilnad Mercantile Bank share price (NSE: TMB) rose sharply on January 2, 2026, gaining 3.3% to hit an intraday high of ₹535.45 on the BSE after the bank released its Q3FY26 business update.

At around 10:27 am, the stock was trading 3.2% higher at ₹533.6, while the BSE Sensex was up 0.4% at 85,532.36. The bank’s market capitalisation stands at ₹8,449.63 crore, with a 52-week high of ₹557 and a 52-week low of ₹403.35.

Tamilnad Mercantile Bank Q3FY26 Business Performance

Tamilnad Mercantile Bank reported healthy year-on-year growth across key business metrics in the December quarter.

• Total business grew 14.28% to ₹1,07,470 crore
• Total deposits increased 12.53% to ₹56,707 crore, from ₹50,392 crore a year ago
• Total advances rose 16.3% to ₹50,763 crore, compared to ₹43,650 crore last year

CASA Growth and Branch Expansion

The bank also recorded strong growth in low-cost deposits:

• CASA deposits grew 14.93% to ₹15,847 crore, from ₹13,788 crore a year ago

In addition, TMB recently opened 5 new branches, 2 in Tamil Nadu and 1 each in Karnataka, Kanyakumari, and Gujarat, supporting its expansion plans.

Tamilnad Mercantile Bank Q2FY26 Financial Highlights

In the previous quarter, the bank posted steady improvement in both growth and asset quality:

• Total business rose 11.4% year-on-year to ₹1,02,351 crore
• Net NPA declined to 0.26%, from 0.46%
• Net interest income (NII) stood at ₹597 crore, slightly higher than last year
• Net worth increased 12.03% to ₹9,444 crore

Also Read: Wipro vs Infosys: Which IT Services Company Delivered Highest Earnings in Q2FY26?

Pan-India Presence

Tamilnad Mercantile Bank operates through 600 branches and 12 regional offices across 17 states and four Union Territories, serving more than 5.3 million customers across India.

Conclusion

Tamilnad Mercantile Bank’s strong Q3 business update, marked by double-digit growth in deposits and advances along with improving asset quality, lifted investor sentiment and pushed the stock higher.

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