Note: This is a preliminary transcript and may contain inaccuracies. It will be updated with a final, fully-reviewed version soon.
TAMILNAD MERCANTILE BANK (NSE: TMB) Q4 2026 Earnings Call dated Apr. 27, 2026
Corporate Participants:
Salee Sukumaran Nair — Managing Director and Chief Executive Officer
Analysts:
Unidentified Participant
Lakshminarayanan — Analyst
Unidentified Participant
Unidentified Participant
Unidentified Participant
Darshan Deora — Analyst
Presentation:
Operator
Ladies and gentlemen. Good day and welcome to the Q4 and FY26 earnings conference call hosted by Tamil Nadu Mercantile Bank Limited. This conference may contain forward looking statements about the company which are based on the beliefs, opinions and expectations of the company as on date of this call. These statements are not the guarantees of future performance and involve risks and uncertainties that are difficult to predict. As a reminder, all participant lines will be in the listen only mode and there will be an opportunity for you to ask questions after the presentation concludes.
Should you need assistance during this conference call, please signal an operator by pressing Star then zero on your Touchstone phone. Please note that this conference is being recorded today. On the call. We have with us the following management representatives. Mr. Sally S. Nair, Managing Director. Mr. Vincent Menachari Devasi, Executive Director. Mr. Sanjay Kumar Goel, Chief Financial Officer. I would now like to hand the conference over to Mr. Sally S. Nair, the Managing Director from Tamil Nadu Mercantile Bank.
Thank you. And over to you, sir.
Salee Sukumaran Nair — Managing Director and Chief Executive Officer
Yeah. Thank you. And good evening to all of you. Today we have come out with our yearly results for FY26. And before I really get into that, I really. I want to take you back to our con call after my quarter three results. That was in January of FY27 wherein we had given certain guidances. I would like you to look at those guidances that we have given. What we have stated in the con call in January after the Q3 results. Q3 FY26 results is that. What we have stated is we will grow the CASA by 15% in quarter four.
We have stated that the deposits growth will be in the 13 to 13.5% advances. Growth will be in the 16 to 17% total. Business would grow 15% plus. Net interest margin will be 3.90 to 3.95%. ROA will be 1.85% plus and ROE will be 14% plus and GNPA will be less than 1%. So that’s the guidance we gave. In fact we gave guidance for our quarter two and quarter one also. And you will recall that we have exceeded all the guidances. Quarter one guidance, Quarter two guidance. And I just stated the quarter three guidance.
And we will look at where we stand in respect to those guidances shortly. So coming back to the FY26, it has been a year of transformation for us. And it’s something that I stated in FY25 at the close of FY25 itself that we have unleashed a lot of transformation journeys. Automation, technology, infusion, structural changes, etcetera and that the impact of that will be felt in FY26. And more specifically I stated that it will be felt more in the quarter two of FY26. And where do we stand when we close the year?
Very clearly we have been able to lay the foundation for growth. CASA share decline has been arrested and reversed. The quarter also saw the highest deposit growth in past 39 quarters. That is 10 years. It’s the highest advanced growth recorded in the past 40 quarters. Business group when we close the year is 9.35% over the last 10 years. Cadre compounded annual growth rate. What we achieved in the last 10 years FY26 we have grown 9.35% over that. So that’s the transformation that has been achieved.
And this all comes with the credit portfolio where the quality continuously has improved on book. PCR is at 10%. High credit cost is under control. The lowest GNPA again in the last 40 years. Why I’m saying 40 years is because 40 quarters. Sorry, not years 40 quarters. Why I’m saying is the 40 quarters numbers are readily available and we see that it is the lowest in the last 40 quarters and the lowest ever SMA percentage. We’ll come to those numbers a little later. Business. The presence of our footprint has also expanded 44 branches.
We opened 15 of them outside Tamil Nadu. The 12 CNCs were set up. The liability arms were introduced. Transformation is nearing completion. All these are actions that happen in FY26. So what is the impact on the market? The shareholder value delivered has gone up 50% in the last 12 months. Market capitalization cost of 10,600 crores. The shareholder funds after the result is about 10,000 crores with a book value of 638. And the board also has declared or rather recommended a dividend of 125% for FY26.
So now coming back to what I just stated earlier in my opening statement on the guidances. Look at the guidance of CASA group. We stated that we will go 15% plus FY26 and the growth eventually is 22.35%. CASA stands at 17,365 crores. That is 22.35% year on year growth. Your total business is at 17.377%. And total business aggregates on the 31st of March 26th to 1,15,091 crores. And against our guidance for the year at 15%. So 17.37% achievement against our guidance of 15%. The deposits we stated will be in the 13 to 13.5% we ended up with 14.94%.
The advances we said we would be in the 16 to 17% we ended up with 20.32%. This 20.32% is also after sending up 1000 crores to the IBPC in the bank participants certificate. If you add that back it is actually 22% plus. So this the business. The strong business growth has also resulted in strong profitability parameters. The net interest income is up 24.04% is at 704.45 crores. Operating profit for the quarter was 29.29% year on year. Net profit is 373.65 crores which is 28.01% year on year. ROA ROA where we had even a guidance of 1.85% plus is at actually 2.05%.
An ROE where we said it will be 14% plus we have actually able to break the 15% mark and it is at 15.03%. So all this growth that we have delivered in excess of the guidance we have given has come back on the strong business growth, particularly the advanced growth and all these are translating. Look at the CASA share that we have. CASA share had touched 26.44% on 31st of March 25th. It is up 1.7% now to 28.14% for the quarter. The net interest margin 4.18%. The cost to income ratio is at 44.80%.
Credit cost I think has largely been met by resolutions or the provision drive back. It stands at 1 basis point 0.01%. GNPA as a consequence of the kind of efforts we have taken is at 0.73% and net NPA is at 0.18%. So and SMA I am including SMA01 and 2 is at 1.29% so this is down 1.26 from last year. So portfolio at risk one day is at 2.02% which is SMA012 and NPH together is only 2.02% of the advances portfolio. I think that I wonder if any other bank has been able to get to that kind of a number in India for the PCR on book PCR is 74.89%.
That’s a full 3.87% over last year over 31st of March 25th number and PCR with technical write off is 96.14%. If I get into some of the granular Details Deposits the current account I mentioned the total Deposit grew at 14.94%. The breakup is here. Current account has gone up 25.62%. We did a lot of initiatives here. The TBG was brought in last year and that has now begun to kick in and 25.62% is the result. Savings bank again is 21.04%. That’s a good story that we have to say. And the CASO overall is at 22.35%.
Deposits per se is like I said has grown 14.94%. So it is a growth strengthened across the corporate In a quarter after quarter we have been growing, the CASA has been moving up, the deposits have been growing. Every quarter we have bettered the previous quarter’s growth. So that’s the story that TMBE is putting on the table today. On the advantage side, retail Agri, MSME and has all grown in fact on a year on year basis. Retail which is largely driven by the golden Portfolio is up 52.33. Agriculture 8.03.
MSME is another story that we have. MSME if you recall has been degoing until as late as the first quarter of FY26. It has now turned around and has delivered a 14.88% growth. Y O Y so that’s another story that we would like to see and this story will get strengthened in FY27 as well. So overall the advances have grown 20.32%. As I said, this advanced growth of 20.32% is coming after we have sold off thousand crores of our portfolio through the IBPC route in Q4 of FY26. Now if we take that also in the account the real advantage of growth is 22.577%.
Again the last three 4/4 advances have been consistently moving up. The growth every quarter is better than the previous quarter. For the first time we have also showcased the profitability the ROA of our advanced portfolio. The retail advanced portfolio the Yield is at 9.98%. The NPA there is 0.13% and the ROE is 2.21%. So this is a good portfolio with a very very comfortable ROA at 2.121%. Agree advancements again riding on the gold loan is at 2.04%. Roe where the NPA thanks to the gold prices is just 0.16%.
Amazon E Another big story where we have A growth of 14.88 yield that is at good 10.52% resulting in ROA of 2.58% on a portfolio basis. The gold loan portfolio is something that the gold prices are something that we watch 24, 7 and the sensitivity if you look at the slide number 14 of what we have that are uploaded into the exchanges, our ability to withstand a gold price reduction is 25%. If there’s a gold loan price reduction of up to 25% can easily be absorbed by our current portfolio. The portfolio LTB is just for 53.25% as from 31st March 26th.
Portfolio yield is 10.11%. The good yield for a gold portfolio and the. Gold loan share in the overall advances is 46.44%. And again here let me also tell you that the NTB is calculated not on the gross weight of the portfolio but on the net weight and the gross weight to net weight the difference is about 9.33%. So that also adds to the question which I mentioned earlier that our ability to withstand a gold price reduction to 25% without causing a stress is enhanced by the gross weight to net weight difference of 9.23%.
We are also in the process setting up asset resolution branches to manage the portfolio and agree portfolio. Apart from, you know, the MSME stress also to manage the portfolio LTV margin calls and auctions of loadload if and when there is a need internally, any breach of LTV up to 90% will trigger a margin call and our counter action including options will. And if you look at the portfolio risk for gold it is just 12.31% which is just about 5 basis of the overall gold loan portfolio. So to summarize, the gold loan portfolio that we have is literally gold standard unsecured portfolio.
We have stated in the last quarter as well that the previous quarter this is a bank that has been lending on a secure basis. We have not been on the unsecured space at all and the unsecured space is just 54 crores which is about 10 basis point of our overall advanced portfolio. Practically negligible on the export credit. I think West Asia crisis we have our own exposure to the West Asia and the countries is just 50.95% which is just 10 basis of our overall portfolio. So to that extent it is limited.
Of course, if the war carries on, the impact on the indirect impact is something that we are making an assessment of. We certainly hope the government will step in with the package if the crisis continues. Finally, on the financial performance itself, as I said, the quarter performance interest income has been riding on core business. I think the core of business revival. The growth of advances touching 20% or rather including IPPC at 22% has helped us give a net profit number of 28.01% growth and that’s riding on interest income of 15.55%, non interest income of 20.67% and containing the expenditures at 11.58%.
Let me also add here that normally we give a performance based incentive to our employees and that is given for a year in the following year for the first time. So for FY25 we gave it in FY26. In quarter one of FY26 for the first time we have made a break with that practice. The PPA, the performance based incentive for FY26 which has been computed at 49.80 we have accounted for in quarter four itself or quarter four of FY26 itself. So the net profit that you are seeing here 28.01 is after accounting for the PBI 49.80.
So remember quarter one we accounted for the PBI of FY25 and quarter four we have accounted for the PBI of F526. The two counts of PBI accounted for one year and the net profit that we showcased today 28.01% is after accounting for this PBI of 49.80 which like I said ordinarily should have been taken in absorbed in FY27. If you if you normalize for that the cost to income ratio is just about 39.54% for quarter four and your operating profit you will see has jumped to 41.6262%. So all these are translating into higher shareholder value.
Net worth of the capital and Reserves has crossed 10,000 course for the first time. Book value per share is 638. Earning per share is 23 point. And like I said earlier, ROA is all this has impacted the ROA which is crossed 2% for quarter four and it’s at 2.05%. And return on equity of course is again has broken the 15% mark and it is at 15.03% and the balance sheet likewise has improved to 75.2 9.60. And the while this 75,299 crores of balance sheet is today consists of more than 10,000 crores of capital which points out to the resilience of the balance sheet itself.
The fact that we have 13% of our balance sheet is actually funded by capital gives us the ability to take in a higher CD ratio. Going on to the asset quality. I think we have been known for maintaining a high level of asset quality and that gets reflected in the quarter four results as well. Your GNPA is at 0.73%, NNPA at 0.18%. So today the net NPA that we hold is just about 97.41%. 97.41 crores provision cover on book like I said earlier is 74.89 and overall is 96.14% asset quality consistent improvement across quarters.
I think that is something we have showcased in the presentation that we have uploaded page number 23 and it is like I said is at 97.41. So this 97.41 or the NPA number which is 388.21 which is the gross NPA number. If I look at the gross NPA number of 388.21 which is 0.73% which has a provision of 229.98 crores 229.98 crores this is a PCR of 74.89 is covered by collateral average collateral of 127.52. So when we resolve these NPAs we run 88.21 where we have provided 229. Much of what we have provided 229.98 was we expect it to come back thanks to the collateral cover that the GNPA currently has.
The page again is under control. I think. An SMA like I said earlier is trending down and today 31st March 26th it is just 686 crores SMA. We are talking about SMA1, SMA0 SMA1 and SMA2 and all three combined is just 1.29%. This I did mention earlier that par portfolio address one day is 2.02% for the bank including SMA and NPI together is just 2.02%. The stress asset is also on a downward trajectory. 218 crores is where we stand today along with the GNP. The first number is just 1.14%. Let me also tell you this restructured advances are also covered which was contracted during the COVID period are also covered to an extent of 250 crores of provision.
Right and that 250 crores of provision we have not returned back. We are maintaining it and we hope to adjust it again the expected credit loss when that kicks in or kicks in on the 1st of April 27th. So our calculation shows that as on 3126 the change in norms from current Iraq to new ECL which like I said will keep in on festive basis should have a 279crores impact. The 250crores, the provision that we hold in the book Covid book which stands today 2018 and which we hope to taper down further by 31st March 27th could largely cushion this impact of ECL.
Additional ECL requirements. Of course RBI has also come out of the LCR requirements. I think it is going to benefit us to the extent of what 4%. And on the eratios our cost of deposits has quarter on quarter sequentially has moved down from 5 point to 5.7 months. So some of our earlier deposit that we have contracted is getting repriced and that is having a bit of a challenge, a bit of a positive impact. It has come down while the yield and advances is down only 6 basis which is holding on. And that is one of the reasons why the core business is actually kind of giving us the kind of, you know, profit that the bank has delivered for quarter four.
So the NIM is at 4.18% as a consequence and it is up sequentially for 4.04%. And NIM for the overall year is at 3.98%. So the capital adequacy is 33.73. Again thanks to the fact that our risk weighted assets are just about 30,000 crores. Thanks to a large amount of gold loan portfolio our capital adequacy is at 33.73% cost income ratio contained at 44.8 billion percent. Despite the fact that the entire PPEI of 14.80 crores that we should have accounted for in FY27 we accounted for in its entirety in quarter four of FY26.
So. The control. And of course during the year we have also opened 44 branches. This is one one thing we have not been able to deliver as per our commitment. We did promise with investor community that we will open 50 branches. In FY26 we have been able to open only 44 branches. 15 of them have been opened outside the state of Tamil Nadu. So 30%, 1/3 of the branches are outside the state of Tamil Nadu. Seven branches are also in the process being opened but they quit beyond the 30. I mean it has gone beyond the 31st of March 26th.
So net impact is we have been able to open only 44 branches. And the other the structural changes that we have brought in the branch openings we are now Deploying the branch managers in advance to drive to local market penetration and business development. So the structural changes that we have brought in there has also seen the business for the new branches opened actually move up significantly in FY25 the new branch on an annualized manner basis the business for new branch was just about 19.57 crores.
In FY25 we have because of structural changes and posting, you know, branch managers choosing the centers carefully, we have been able to deliver in FY26 per branch business of 40.16%, 1.6 crores. So new branches opened. Since this thing has now started contributing significantly in FY26 it has contributed 15% to the incremental growth at the digitization drive. I think I’ve spoken extensively on whatever we are trying to do on the retail front and also some complete transformation we are trying to bring in and that’s also having a salutary impact.
Now releasing bandwidth in the branches and one of the parameters we have mentioned here, the transaction count in FY25, our branches across the counter did 2.64 crores for 26.3 million transactions across the counter FY25 even after increasing the number from 578 branches to 622 branches. That is 44 branches incremental opening 44 branches. This count, this transaction, the manual transaction count across the counter and the branches have come down from 26.3 million to 24.10 million. So that’s something that will eventually release is releasing bandwidth for Causer Group.
So the modernization is also underway and we have taken a lot of HR initiatives and during that it is all summarized, it’s all converging into business growth. And we are happy to say that the FY26 has been clearly a year of reckoning. And we stand today facing FY27 with much greater confidence as in April of 26 today we are in a much, much stronger position and stronger pace the coming year. Yeah, I think I’ll stop here and we will open ourselves to question and answers. Like I said, my CFO is here, my active directory is here, my CFO is here, my head of Resource mobilization deposits here.
And also my head of Credit is also here. And we are now open to questions on me if any. Yeah, thank you.
Operator
Thank you. We will now begin the question and answer session. Anyone who wishes to ask a question may press STAR and one on their touchstone telephone. If you wish to remove yourself from the question queue you may press STAR and two participants are Requested to use handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. Our first question comes from the line of Dingat Hariya from Green Edge Wealth. Please go ahead.
Questions and Answers:
Unidentified Participant
Thank you for the opportunity and congratulations sir. You know it has been, you know, it has been, you know, your under, you know, under promise and over deliver continues even in this quarter more strongly. So congratulations sir. Three questions from my side. So first is that you know, if we, you know, you said we are on a very strong footing for FY27. Would you like to guide anything in terms of, you know, the loan book growth for this year? Because I think the macros have, you know, turned a little bit sad because of the war in Middle East.
Salee Sukumaran Nair
Yes. Despite that enough Asia crisis, the US tariff is still to completely bear out what we are stating for FY26 as you. FY27, as you just mentioned that we would like to understate and over perform or under guide and over perform. I think we’ll continue that. But despite that we are reaching out a tad higher on the deposit and we are saying that in FY27 we will grow at at least 1% higher than what we did in FY26.
Unidentified Participant
Okay. Okay. So the using credit growth will be at least as much as what we saw this year. Like FY26. What was the loan growth?
Salee Sukumaran Nair
Yes, yes, I’m coming, I’m coming to that. So I think that we should be in the, in the 16% kind of number for deposit growth and that the advances that we did of 20% is something that we will defend in the current year as well.
Unidentified Participant
Right, Right, sir. So that’s great to know. The second question is that see Gold loans was your Durandar for last year. Right. Gold loans was something which helped us a lot. You know, what will be the Durandar for FY27? Will it again be Gold loans or you see some other, you know, segments also
Salee Sukumaran Nair
Now we are having our Durandar 2 also coming up. I think that is where if you look at, I’ve also showcased that our MSME has also been giving a good roa. I think we have put it in this for the first time we are looking at, you know, we will give more granular data on the profitability parameters of specific portfolios, you know, going forward in the next quarter onwards. But this time we have made an attempt and our MSME, like I said, grew 14.88% year on year. Right. And the ROA there, the yield is at 10.52%.
So this is one portfolio. We will be looking to cushion the impact of gold loan. You know slowing down on the gold loan growth. And like I said initially that in the first quarter we did there was a DE growth. So it is from the quarter two started picking up the quarter two, quarter three and now quarter four we ended up with 14.88%. And this is something that you will see. These are story you need to watch for FY27 the MBME space. We are putting our systems in place. Your loan management system, cmcs, the credit management centers are in place.
The loan management system went live. I think the phase one is there is been done and phase two we should be doing it in the first quarter. We should get the phase two also done. Which means to answer it during the two is going to be Amazon
Unidentified Participant
Brilliant. Very good to hear that sir. All the best. And you know last question is one data point that in the last quarter in our retail, you know in our retail we had 6,700 crores of gold loans. What would that number be for this quarter?
Salee Sukumaran Nair
You have the gold loan number.
Unidentified Participant
Yeah sir, I see you given very good disclosures. But just this breakup between retail and agri gold.
Salee Sukumaran Nair
I will add that also next time. In fact we wanted to tell the world that no the gold loan portfolio is in fact our 6,500, right?
Unidentified Participant
It
Salee Sukumaran Nair
Is 6,500.
Unidentified Participant
No sir, it was great. You put on disclosure that you are setting up some, you know auctioning centers in case there is a price fall and you know the overall ltv. So
Salee Sukumaran Nair
We are taking all the countermeasures in advance. So we want to be prepared because we did see a slight price coming down, you know as a consequence of the initial stage of the war. So we want to be fully prepared. We have put in place systems where margin calls can be had. We are you know in a centralized call center. We are also putting enough. We are looking at creating asset resolution branches specifically in addition to. In addition to the normal recovery that happens across. You know also to tackle the gold loan delinquency.
Let me also tell you on the gold load we have the portfolio ltv. I think if you have seen it. I think I did mention is only 53.25%.
Unidentified Participant
Yes sir, it’s there in the slide I’ve seen does seem as.
Salee Sukumaran Nair
And to answer you on the. On the. On the retail it is 6507 crores.
Unidentified Participant
Yes sir. And housing was 4000 last quarter. That would have also grown right this quarter.
Salee Sukumaran Nair
No housing loan has not in fact our housing loan disbursements, sorry, sanctions have crossed 22%. So there is always a lag between sanctions and disbursement. While the sanctions have gone up the goal, the housing loan portfolio itself is, you know, slightly from last time.
Unidentified Participant
Okay. Okay. Okay. Yeah. Sir, then I think the retail gold loan portfolio is also degrown. Right. It was 6700 crores last quarter. It is 6500 crores this quarter. Right. So it has been run by 200.
Salee Sukumaran Nair
The reason is that, you know RBA has come out with the regulation saying that, you know, we have a sizable gold loan portfolio. You look at, if you look at the slide, 24,790 crores of gold loan portfolio and I just mentioned that retail is 6,500. So the rest remaining is about 18,000 plus is agri gold loans. Right. Came out with rather a directive that you know, up to 2 lakh you have to cannot guy and get collateral. So there was a shift from agri gold loans to retail loans in the third quarter.
But subsequently RBC clarified that if you are taking it on a voluntary basis you can take it from farmers also for agri golden purposes. Agri purposes. Right. In quarter three we had a increase in the retail gold and that has been somewhere replaced by agri gold loan in quarter four. So both are now, you know, sort of, you know with agri gold loan growing faster than your retail gold. Yeah.
Unidentified Participant
And now we can grow along with everyone else. Right. When the gold loan keeps growing, we have grown. But just this reclassification bit created some confusion
Salee Sukumaran Nair
Portfolio. We don’t, I mean from a prior, from your perspective, investor perspective, the color of the loan doesn’t matter whether it calling an agriculture loan or whether we call it a retail gold load. You know, it is giving us A. The 10.10, 10.11% is the combined yield. Right?
Unidentified Participant
Right.
Operator
Perfect
Unidentified Participant
Sir.
Lakshminarayanan
Thank
Unidentified Participant
You
Lakshminarayanan
So much. Wish you all the best.
Salee Sukumaran Nair
Thank you.
Operator
Thank you. The next question comes from the line of Varun from Share India Securities. Please go ahead.
Lakshminarayanan
Good evening sir and congratulations once again on your superb set of numbers. Your company has been delivering quarter on quarter and you have set a new benchmark and size of benchmark for yourself itself. So can you throw some light on the slippages number? No doubt it’s down on a year on year basis around 31%. I was just looking at the bifurcation. There are slippages in agri portfolio have actually gone up to around 19 crores. So what is the reason for this. If you can just throw some light on this.
And also you were highlighting that your home loan portfolio has degroomed from last time. So can you just put a number how much has it grown
Salee Sukumaran Nair
Now? What is the second question? Yes, yes. Coming back to the first one. Your slippage, right?
Lakshminarayanan
Yes, sir.
Salee Sukumaran Nair
Where is it gone? This is your new one. Petals recognized. No.
Unidentified Participant
Yeah,
Salee Sukumaran Nair
You want to say that.
Unidentified Participant
Yeah. In fact the slippage in agree. This is processing unit. And there was a single account totaling 16 crore. And that has resulted in 19 crore. And let me also tell you that’s a clear visibility on the recovery of that account. And I think most probably by when we reassemble for the next quarter, this would have been recorded.
Salee Sukumaran Nair
Let me also add to that that from a record of recovery angle, this is a standard asset.
Lakshminarayanan
Okay.
Salee Sukumaran Nair
Is actually is being serviced. But we as part of. Because you know the activity I stopped. We have, even though it’s a standard asset, we have actually taken a call to make it. NPS
Unidentified Participant
Downgraded it because we have also checked so that we
Salee Sukumaran Nair
Can move ahead with the resolution of it in the first quarter the
Unidentified Participant
GST term. Although RBI is not asking us to go that far. Abundance
Salee Sukumaran Nair
Discussion. We have gone that far and also declassified.
Lakshminarayanan
I think you said next quarter we. When we meet, we’ll accept some record, right.
Salee Sukumaran Nair
We are talking about quarter one of FY27.
Lakshminarayanan
Okay. Okay.
Salee Sukumaran Nair
Yeah. And what is the next question? What about
Lakshminarayanan
The housing loan portfolio? That has been.
Salee Sukumaran Nair
Like I said, loan is something that we are focusing, we are focusing back. I think we started the focus back in quarter four. And like I said, sanctions have actually moved up 22%. But for that to get translated into actual disbursements, I think you will see this going forward otherwise. And the other aspect of Bordon is an ROA perspective. It just delivers 1.01 ROA. So from a priority angle this has taken a little bit of lower priority. But we are, we are, we are in the game to push this up.
Lakshminarayanan
Okay, sir. Okay. One last question I just wanted to ask you, sir. I mean just as you said that you had an aim of 50 branches for FY26 but you have open it so around 44. So what could be the branch addition number for FY27? Sir, as you go ahead,
Salee Sukumaran Nair
We are proposing 60 branches in FY27. Okay. I hopefully in FY27. April. Sorry, right. By the 27th of April when I. When I take this call again, hopefully we should have met that. You know, FY26 is one of the only, perhaps the only myth that we had is that we promised 50 branches to ourselves and we were able to open only for 44 and but for 27 we are actually promising 60.
Lakshminarayanan
Okay. Okay. Great sir, thank you for giving that number sir. And once again thanks a lot for giving me the chance to ask question and best of luck for your future, sir. Thank you very much.
Operator
Thank you. The next question comes from the line of Lakshmi Narayan from Tunga Investments. Please go ahead.
Lakshminarayanan
Yeah. Thank you. A few questions. So there has been a write off of close to 150 crores this year. Just want to know across how many accounts is this and does this include the Andhra account which was more than 125, 130 crore. And second question is that in the other segment.
Salee Sukumaran Nair
Can you repeat? I.
Lakshminarayanan
Oh
Salee Sukumaran Nair
No, no. Sorry. I. I think. I think the, the. The. The. The. We had two round of write offs. Right. Okay. And I think first was in the quarter two and the second was in this quarter four. Where is that? One second. Okay, I get you that. I’ll just get you that. And let me tell you the Andhra Bank. Sorry, not other back that you are. I don’t know if I’m going to go to the Andhra account. But let me tell you Andra account is not part of that. That write off. Yeah, yeah, I got it. Yeah. Yes. So we have.
In fact if you look at it we have written off 149.69. It is not part of it. The one, the one you are referring to. It is a series of accounts. It has been written up in two lots. Like I said 66 was in quarter two and 6083 in quarter four. And of course it’s. I must admit that you know that write off has helped us reduce it as part of the balance sheet management that we all. Any band does that. Going beyond that if you look at it your cash recovery from upgradation is 901003 crores. If I take you to my slide number 2297 plus 603 crores against a fresh addition of 85.
So there is a knack reduction, an absolute amount reduction in the NPA itself. Despite you know, despite the write off that you mentioned of 149. So come back. That Andhra account is not there.
Lakshminarayanan
The GNPA of around 198 crores in the others, you know how is it concentrated? Is it that that Andhra account is actually part of this? Okay, can you. Yeah. Help me with the concentration of this 198. Is it that two or three accounts are more than 150 crores in the balances yet.
Salee Sukumaran Nair
No, I think it is one account with 164 crores and then a small few of the receivable amounts are still there in the earlier resolutions that have happened. So which are undergoing resolutions now. I think a couple of them are already in the NCLD also.
Lakshminarayanan
Got it sir. I think in previous calls, I mean if I had heard right, you alluded that that could be a write back of some of these NPAs because that would be a collection would be strong. So is it on track or how are you thinking about these large, you know gmp? Is there a possibility of right back
Salee Sukumaran Nair
One? If you look at my credit cost, right. Where is my credit cost? You know my credit cost is practically not there. Right. The reason for that is the credit cost which I, which I Meant mentioned that 85 crores of repeat happened because. But that the cost, the credit cost or the provision cost of that has been largely been met by the recoveries being happening. So that is the reason why credit cost is low and. Right. And this, this large account that you have mentioned. Hopefully we are hoping that this get resolved this year.
What is the other question?
Lakshminarayanan
No, no, I was just asking this for the, for the right back. I mean do you expect any full recovery of it?
Salee Sukumaran Nair
You will notice some, you know, interesting one coming back if our luck goes, you know, some of these items, you know, you really need luck, you know, particularly when the legal system in the country takes the kind of time it does. So hopefully we should be able to tackle it this year.
Lakshminarayanan
Got it there. And one question on Gold loan. So this I just want to understand what is the LTV at origination because I see that there are different LTE’s for different classes of loan seekers. Right? So there are. So I just want to understand what is the Gold loan LTV origination blended. And second, when you actually do it, do you actually include the interest accrued when you actually calculate the ltv? Because these are all bullet payments. I understand. So how does that work?
Salee Sukumaran Nair
The LTV that you see in the slide is not the principal ltv. It is the principal, the dues on that particular day which is principal first interest. Okay. That is the first clarification I want to give you. And the, and the normal LTV is, is 75% that you give. And we have a certain different kind of calculation. It is actually not only on the market. That’s
Lakshminarayanan
About only consumption.
Salee Sukumaran Nair
That is the reason our calculation of LTV is not strictly in comparison to what the market does. Because you know, we have built in a certain system where cushions are available. I think if you go to slide number, there is a rollout. Slide. Yeah. You see the gross weight, you see the net weight, right? 37.38 tonnes of gross weight. Portfolio we have Gold loan is covered by 37.38 of tons, right. And the net weight is 34.19, which is 9.3% lower. The LGB is not on the gross weight that we calculate.
It is on the net weight. You get it? That is one of the reasons why despite, you know, the gold prices being where it is, our portfolio is able to sustain a 25% reduction.
Lakshminarayanan
Got it? Is it safe to assume that at origination the same number is there? Like you know, if say somebody is taking gold loan today, is that number between around 54 to 56%?
Salee Sukumaran Nair
No, no, no, no, no. That will be in the 75 to 75%. Right? And it varies. For example, some of the gold loan will be slightly higher. And the LTP is actually calculated on the maturity value, not on the, on the rating, not under principles. You get it? No,
Lakshminarayanan
Including.
Salee Sukumaran Nair
I, I hope. I, I don’t know whether I made my.
Lakshminarayanan
I think my question is that,
Salee Sukumaran Nair
My question is.
Lakshminarayanan
My, my question is what is the LP at origination? Now, because this is at the blended book, you’re giving that what is the standard ltv? Because I understand.
Salee Sukumaran Nair
Let me tell you what you are seeing here is a blended rate which has in some sense perhaps may not have much of a meaning when there is a reduction, right? I’m not saying that. I’m talking about the LTV that we say it is 75% and 80% in some cases is not the LTV is not the principal LTV. It is the LTV at maturity. Let me give you an example. If you are talking in terms of 80% LTV, in some cases we actually give 80% LTV also and it is a one year loan. The 80% NPV is what is the amount he has to pay after one year and it is based on what he has to pay after one year.
For example, if it is a 10%, your, your, you know, your, your LTV, the current LTV at which you give today the loan could be 72%.
Lakshminarayanan
Okay?
Salee Sukumaran Nair
Including interest, it’ll become 80%. No, LTB is always calculated on the maturity. If it is six months, the LTV will be slightly higher. If it is one year, then LTV would be lower. That is one of the reasons why we are Able to sustain a 25%, you know, sensitivity which is on, you know, on the rate the day it is given and then the interest is added to that. We add the interest to arrive at the ltv. Let me put it that way. Okay,
Lakshminarayanan
Got it. And as the other participant mentioned, maybe in the next time you can actually give the retail loan split across segments and also gold loan split across various things like that.
Salee Sukumaran Nair
More and more transparent. I think we’ll continuously do that.
Lakshminarayanan
And do you actually track your market share growth across branches and across your regions? What has been your market share growth in terms of assets and liabilities?
Salee Sukumaran Nair
We do track it now. In fact, not only track it, it has now become a component of the performance based incentive.
Lakshminarayanan
I
Salee Sukumaran Nair
Did mention earlier that we gave a portman in our gross performance based incentive which we have absorbed this year in the quarter four which if we had not absorbed, gone by earlier practices, it would have been higher. You know, the cost would have been higher. That PBA component that we calculate also has a component of the local growth, local market growth become my branch. So now we started tracking what is the growth in the branch versus what is the growth the industry has in the same location.
Lakshminarayanan
Sir, on the technology spend, can you just help me understand how much you have spent in technology last year and how much you intend to spend in this year and how much you are capitalizing on how much you’re expensing.
Salee Sukumaran Nair
My technology spend this year is 15.80% higher. You have that exact number. Let me also tell you that technology spent in the year did not give us proper reflection because many of these are milestone payments and these are, you know, happening. I can tell you that despite that, I can tell you that 15.80% we have. Our spend has been higher than last year and much of. I will give you that number. Yeah,
Operator
Thank you. The next question comes from the line of Dingat Hariya. Please go ahead.
Unidentified Participant
Yeah, yeah. Sir, thank you for the opportunity. Again this, this question was, you know, mainly again on gold loans that, that in. In our retail gold loans we generally have 11% E. Right? Which are slightly better than agriculture. Is that correct?
Salee Sukumaran Nair
Your retail gold loan, the rate of interest is better than the aggregate.
Unidentified Participant
All the new branches we are offering that, right? So, so if you know there is no branch or gold loan product is not offered like we are, we are well spread across.
Salee Sukumaran Nair
Our intention is to operate across all the, all the branches. But some of the branches in a metro etc. May not have much of a. In much of a demand for it. But the product is an offered across.
Unidentified Participant
Okay, thank you sir. And lastly on the margins like you know we have had like a sharp, very good improvement like first two quarters, you know, the margins were flat or struggling because you know the whole interest rate cycle was against us. This quarter especially has been very strong. Like is this quarter margin sustainable or you know, you feel that, you know, it depends on macros and how the deposit rate
Salee Sukumaran Nair
Depends on various factors. You did mention macros will have an impact on it. And this time because the loan growth was good, there has been a movement, you know, we had some surplus cash which was going at lower, you know, lower yield that has moved into a higher yield, the gold, sorry loan portfolio. So that has added. So the pull up has come the growth in the advances portfolio and also simultaneously some of the high priced. The deposit we have taken is getting repriced. So we got the benefit of that.
If you ask me whether this will sustain this kind of level, it’s going to be very difficult to sustain but still we believe we’ll be able to to defend 3.90 to 4%.
Unidentified Participant
Oh, okay sir. Okay. I think sir, that is, that is good for today. I know I, I could ask a lot of questions. Thank you so much and all the best.
Salee Sukumaran Nair
Yeah. Thank you. Thank you.
Operator
Thank you. Participants, please restrict yourselves to two questions. If you have any more questions, kindly rejoin the queue. The next question comes from the line of part gutka from 361 Capital. Please go ahead.
Unidentified Participant
Yeah, hi sir. Thanks a lot for the opportunity. So my first question is what proportion of your deposits are yet to reprice?
Salee Sukumaran Nair
I think by the first quarter our original high, what we are taking at 8% will be fully replaced. But having said that deposit is a challenge for all across the industry. So significant impact of that repricing may not accrue in the first quarter. That is what we anticipate because you know, resource. Because to keep the advances machine learning we have to, you know, we have to increasingly focus on the resource mobilization. And given the challenges that the industry has, we don’t expect that pricing benefit to really accrue to us in this quarter.
Which means that we may have to, we may have to continue contracting term deposits.
Unidentified Participant
Okay, okay, okay, fair enough. And my second question was sir, when I look at your investments to NDTL ratio it’s, it has come down from 32 to 25% and still you know, there is some scope to you know, reduce that further. So are we thinking on that line that you know can move from investments some point from investment. We
Salee Sukumaran Nair
Always like to keep a cushion for contingencies that is there. I think that is something that you know, in terms of we use to the poor and borrow against that. The fact that it has reduced from 32% to 25% as you just mentioned is one of the factors that has helped us drive their profits up. But no, we will certainly continue to have maintain a reasonably good cushion there. And that is where his focus is back on the deposits. And like I said, 16% deposit growth for the year is something that we are committed to.
Unidentified Participant
Okay, okay, fine. Thanks a lot.
Operator
Thank you. The next question comes from the line of Pramuk from my invest buddy. Please go ahead. Hello.
Unidentified Participant
Hello. Congratulations on the nice set of numbers. I wanted to ask you about the succession planning for the next. This one. Right, like how are you taking care of that? And secondly. Yes, so
Salee Sukumaran Nair
Yeah, I’m sorry, I didn’t get that. Succession planning. Where are you talking in terms of HR succession planning or
Unidentified Participant
Like for like the next CEO? Right, like who will be the next CEO and things like that. Like do we have a plan in place for that?
Salee Sukumaran Nair
If you’re talking term of a succession planning we have a detailed certain planning going to the next four or five years.
Unidentified Participant
And another thing is about like the cyber security, right. So yeah, like there is Claude Mitos coming up and there was an internal meeting as well. So is that covered like we’re here from that side?
Salee Sukumaran Nair
Oh yeah, I think, I think cyber security, no, as the, as the investments in IT and automation goes up we have to be wary of cyber, cyber fraud, cyber attacks, etc. And that is something that this bank is investing in preventing. And we have a 247 wardrobe looking at this aspect and we have just got ourselves a call center, AI based call center and we have also contacted one of the best names in the world. I think the largest names in the world in terms of supporting us for cyber from a cyber security angle.
So we are on the job there. I think we are fully alive to it. You know the ID there is a repeated audit of our own system to see that they are foolproof. Apart from that 24 by 7, you know such frauds and attacks are being watched by washed on by us.
Unidentified Participant
Got it sir. Thank you so much. Thanks. Congratulations again on the great set of numbers.
Salee Sukumaran Nair
Thank you, thank you,
Operator
Thank you. The next question comes from the line of Parth from ICICI Direct. Please go ahead.
Lakshminarayanan
Good evening sir and thanks for the opportunity. Sir, I had one a data giving question so I wanted to ask you in Your advances mix. What is the difference between eblr, MCLR and petrol? Can I get the number?
Salee Sukumaran Nair
Mclr plr and you have, you want the portfolio linked to MCLR and portfolio link to repo, right? Yes,
Lakshminarayanan
Yes.
Salee Sukumaran Nair
Benchmark rate and the internal. I think it is 5050
Lakshminarayanan
Basically because I was seeing your advances yield. So it was. It has declined by 10 basis point. Right. And the rate cut was around 125 basis point. Just I want to know the reason behind how, why it was so low.
Salee Sukumaran Nair
You don’t hold me to this. Okay, I tell you the rate cut is actually passed on to the MSME segment. I think, I think there, I think we have to. If you see the yield has come down but where we have you know prevented from passing on or rather repriced the the rate of interest or increase the rate of interest in the consumption gold loans.
Lakshminarayanan
Okay.
Salee Sukumaran Nair
So there. Though it is linked to mclr though it’s linked to mclr, we have you know strategically been looking at it, pricing it slightly better so that the overall yield remains at the appropriate band.
Lakshminarayanan
Okay, thanks a lot.
Operator
Thank you. The next question comes from the line of Darshan Deora from Indwest Group. Please go ahead.
Darshan Deora
Yeah, thank you for the opportunity and personally congratulations on a great set of results. Secondly, also appreciate the higher disclosure that you all have started from this quarter. Especially the you know, the segment wise roa. Firstly I wanted to ask you, you had mentioned the ROI on gold loans. You know I missed that figure. Can you just repeat it?
Salee Sukumaran Nair
I think it is two point. What is the. One second. I’ll give you the number. I thought this was there in the slide but it’s now I see it as missing but I’ll just give you that 2.0 or 2.10 or something. No,
Unidentified Participant
It is 2.05.
Darshan Deora
Okay. So now given that we’re sort of stepping on the accelerator when it comes to MSME growth, which I see is that 2.6% ROA. What would you mean? What, what should we assume as the ROA target for FY27?
Salee Sukumaran Nair
ROA target for FY27. Incidentally MSME advances, you know when once you start expanding the MSME advances, you know, you may have to cannibalize a bit of your roa. I think that’s something that we, we are prepared to do that because now a 10.52% yield as we expand the portfolio is going to be difficult to be defended. So ROA in MSME advances from 2.58 that we have showcased is going to come down. Certainly going to come down. And but from an overall perspective, I’m talking about, you know, retail.
When you start pushing the housing loan with where the ROA is sort of not mentioned here, we will give more details of that for next quarter onwards. Is that 1.011101%. So when you start pushing, you know, various components of the advances, you know, the ROA will slightly get moderated and. But we are still looking at a 1.9 to 2% kind of ROA for FY27.
Darshan Deora
And from an ROE point of view, I mean assuming that our leverage goes up a little bit,
Salee Sukumaran Nair
Going to go up. Profits also hopefully should move up. But 15%. 15.03 is what we did for, you know, this quarter. But I think we should be looking at, you know, defending 14 to 15% for FI. FY27.
Darshan Deora
Okay, are we saying around 15? Right?
Salee Sukumaran Nair
14 to 15 in that. Okay, better what we say.
Unidentified Participant
Okay,
Darshan Deora
Okay. No, that is understood. In terms of your CASA again, you know, great progress there. I see it’s gone from 26% in FY25 to 28%. Do we have a target internally that we are trying to hit in terms of casa, CASA ratio?
Salee Sukumaran Nair
We do have a target, but that’s a slightly longest target and I don’t think I should be looking at. But let me also tell you this. The number that we gave given 28.14%, 28.14% is something that you will see moving up.
Darshan Deora
Okay, so that’s, that’s a great step. And last question, cost to income. I understand that you have preponed certain expenses that you would typically book in Q1, but what can we assume? I’m not asking for FY27, I’m just saying long term, like say two, three years down the road as initiatives you have taken in terms of, you know, the state group processing, you know, the Central processing units, etc. What do you see our, what do we see our cost of income trending towards?
Salee Sukumaran Nair
Yeah, I’ve repeatedly said that we have committed because you. We have to, you know, we have only taken part of your expenses in it. Expenses. Right. And we also have looking at opening more branches and refurbishing some of the branches. But despite all that, you know, even after all that, what we are, we have stated is that the cost to income ratio will remain below 50%. I think, you know, that’s what we have committed to, you know, committed to my board and you know, when they, when I’m asking for refurbished some of the branches which will entail cost and make it modern, some of the branches so that it gets focused on resource mobilization.
So there will be some cost coming up and it will be spread over maybe 27 and 28. But like I said, we are committed to keep it below 50% and should be in the 46, 47%. Right. At least right now
Darshan Deora
It’s around. It’s around that 44 to 46%. Around 45% now. So you’re seeing in that
Salee Sukumaran Nair
Slightly
Darshan Deora
Higher than the current. Yeah,
Salee Sukumaran Nair
Certainly it’s a. Well, well below 50%. That’s our commitment.
Darshan Deora
Okay, great. Really appreciate the results and the commentary and the guidance and wish you and your team the best of luck for FY27. Thank you.
Salee Sukumaran Nair
Thank you. Thank you.
Operator
Thank you. The next question comes from the line of Saket Kapoor from Kapoor company Please go ahead.
Unidentified Participant
Yeah. Hope I’m audible. Yeah, yeah, yeah. Thank you sir, first of all for the opportunity and congratulations to the team. With the one off which you have earlier explained, our numbers are much higher, our operating profits are much higher than what has been reported. But as, as per the. If I may conclude to what our earlier speaker and your answers being so we are looking at moderation in both ROA and NIMS going forward for FY 2627. So this 500 crore plus operating profit on a quarterly basis, do we have the set of levers that we can defend this or this is.
This will be tad lower since the other parameters are going to be trending lower.
Salee Sukumaran Nair
The 500 crores of operating profit. I think we did that 522, right?
Unidentified Participant
Yes sir. Yes sir.
Salee Sukumaran Nair
Are you suggesting that this will be lower?
Unidentified Participant
That. I’m only asking you that since you are mentioning that our names and ROA would be slightly lower, the averages would be lower than what we have posted for the current quarter. So in that trajectory, how. How confident are we that this, this is a new benchmark on a quarterly basis on the operating profit number, if I’m correct,
Salee Sukumaran Nair
Operating profit will certainly be defended.
Unidentified Participant
This number will be defended even for Q1 and situation also.
Salee Sukumaran Nair
Yes, yes.
Unidentified Participant
Okay. That understanding can be taken and just secondly if you could just give us some understanding how the nature of the bid pipelines you have especially. I think so you are putting the thrust on the MSME that will lead the growth lever going ahead. So if you could just give us some color on what the bid pipelines are currently and taking into account again the inflationary trend because of the higher crude prices. What do you think? Sir, currently with the Higher G SEC rates. How will the banking space be affected going ahead because of these higher rates trending higher only.
Salee Sukumaran Nair
Yeah, I think rate seems to be hardening in the system. You have seen the yield actually go up 10 year yield. Yield going up as far as 7.14%. And of course it has retraced some of its steps. That’s a different view. We are seeing a bit of hardening here. I think we’ll have to look at how the inflation works going forward. Particularly after the recession crisis and the impact of the energy enhanced energy prices on the ecosystem, you know, the raw materials, etc. So there could be a bit of hardening here.
And when the inflation is taken, the nominal GDP growth is something that we need to watch and that’s going to have a direct impact on the growth in the banking industry as well. So to that extent I don’t know, maybe, maybe we can, we can look at a slight improvement in the growth rate.
Unidentified Participant
Didn’t get you last point. We are looking at.
Salee Sukumaran Nair
I am saying that the nominal GDP normal mirrors the nominal GDP growth. They say there’s real GDP plus your inflation. If the inflation is going to pick up a bit we can see the growth in the system going up moderated to the extent of mobilization prices.
Unidentified Participant
Okay, so when we affected this 20% advanced growth. Yes, I’m just the next question. Let me tell you why
Salee Sukumaran Nair
We are talking about 20%. See this is not a state bank of India or an SDFC bank speaking. You know when they look in terms of the growth they will have to factor in the macroeconomic need and requirements etc. We are still at a pace where our own growth will not impact significantly the competition around. So we can still nod that extra growth away from the others. That is where our confidence for a 20% growth comes in. It is not just because the macroeconomic parameters will give you that growth or the leg up.
It is because they are still small.
Operator
Thank you. The next question comes from the line of Sarvesh Gupta from Maximal Capital. Please go ahead.
Lakshminarayanan
Good evening sir and congratulations on a good set of numbers. Sir, first question is on your advances growth guidance. So you know if you look at the past in TMD we have had many years of, you know, 8 to 10% sort of a growth this year. Of course we have done a very good job on that. But if I look at the overall advances growth roughly around 72% has come from gold loans. Now this also has been a year where gold loan prices have gone up so much. So assuming let’s say gold prices don’t increase from here on then what kind of growth rate can we assume?
Because then we will have to only grow by tonnage. So what can be the realistic growth in such a scenario where gold prices don’t go up as much as like in FY26 they went so much higher.
Salee Sukumaran Nair
You are right that FY26 gold, the advanced growth has been to a very large extent driven by the gold loan. I think that’s. But if you look at carefully the MSME space which was, which actually degrew in quarter one, we ended up with the 14, almost 15% growth in MSME. Now I can tell, I can tell you that the msme, the machine that we have put in place is beginning to fire. So whatever gold loan de growth or the moderation in the. I don’t expect a degrowth here but the moderation, the growth that will happen once the your gold loan prices stabilize will be.
We are confident that can be made up through improvement in the MSME growth. And we are also looking at other aspects. Particularly you know the car loan which is beginning to make some headway. The housing loan is beginning to climb back. You know there are other elements that is also beginning to fire which we should, we should, we should help us in, in sort of moderating. You know it should, you know take, take over some of the moderation that the gold one might bring about.
Lakshminarayanan
Okay, so this net weight of 34 tons. So how has that grown in the last one year?
Salee Sukumaran Nair
I think how much we have not done in here. See we just quickly made a snapshot of it. They will have to look at how it is moving. The first time we have actually got these numbers out. Now we will start tracking on a, on a network basis also.
Operator
Thank you ladies and gentlemen. That was the last question for today. I would now like to hand the conference over to Mr. Suli S. Nair, the managing director from Tamil Nadu Mercantile bank for their closing remarks.
Salee Sukumaran Nair
Yeah, thank you. And thank you all for joining this con call. Like I said, FY26 has been a year of reckoning for us and we have consistently tried to deliver much more than what we promised. I think and that’s something that we are aiming to do in FY27 also. FY27 we are facing with much more as a bank. Much more I would say confidently because many of the initiatives that we have taken, I think quite a bit of initiatives that we have taken, the HR initiative, a complete transformation from a legacy based, idea based structure, pay structure into a CTC based pay structure.
83% is on CTC. Now the PBI has been completely revamped. The PBI is the performance based incentive. Is today looking at growth as the only driver for the incentive. You know there’s a lot of automation that has happened. The Elements Loan Management System phase one has gone live. The Digital Engagement Hub. We are revamping. Quite a bit of action is happening on the IT space. And all these has resulted in some of the productive energy, productive gains that is resulting in the number that you saw in FY26.
And that is giving us the confidence to face FY27 much more confidently. And six to nine months, we hope some of these initiatives, or rather all the initiatives currently would have been completed and the productivity gains as a result of those initiatives will be made available. So FY27, the expectation expect overall to be a better year than FY26. Thank you once again for all for joining us in this concourse. Thank you.
Operator
Thank you, sir. Ladies and gentlemen, on behalf of Tamil Nadu Mercantile Bank Limited, that concludes this conference call. Thank you for joining us and you may now disconnect your lines.