South Indian Bank reported a net profit of ₹378 crore for the first quarter of FY27, registering a growth of 17.39% compared to ₹322 crore in the corresponding period of the previous year. The bank achieved its highest ever Net Interest Income of ₹1,025 crore, growing 23.05% year-on-year, driven by a robust retail liability portfolio and strategic credit growth. Asset quality improved significantly, with the Gross Non-Performing Assets (GNPA) ratio declining by 177 basis points to 1.38% and the Net Non-Performing Assets (NNPA) ratio dropping by 42 basis points to 0.26% on a year-on-year basis.

Q1 FY27 Financial Highlights

The bank's performance reflects a focus on profitability and quality asset acquisition. Provisions excluding tax decreased by 64.85% to ₹84 crore, aiding the bottom-line growth. The Provision Coverage Ratio (PCR) excluding write-offs increased by 247 basis points to 81.40%, while PCR including write-offs rose by 569 basis points to 94.51%.

Business Growth

Gross advances grew by 17.01% year-on-year to ₹1,04,368 crore, surpassing the bank's FY27 loan growth target of 15% to 16%, led by strong performance in the gold loan and corporate segments. The gold loan portfolio surged 42.90% to ₹24,930 crore, while the corporate segment grew 12.38% to ₹41,704 crore. Retail deposits increased by 13.66% to ₹1,24,306 crore, and the Current Account Savings Account (CASA) ratio improved to 32.98%.

Management Commentary

Mr. P R Seshadri, Managing Director & CEO, stated that the bank's strategy centers on sustained profitability, superior asset quality, and a resilient loan book. He highlighted that the bank successfully onboarded new advances with low-risk profiles during the quarter, ensuring a well-balanced credit portfolio aligned with the intent of 'Profitability through Quality Credit Growth'. The financial results include the performance of its wholly-owned subsidiary, SIBOSL.

Earnings Call Transcript

Pursuant to Regulation 30 and 46 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, the bank has informed the exchanges that the audio recording of the conference call for investors and analysts held on Friday, July 17, 2026, at 16:00 hrs (IST) is now available. The recording can be accessed on the bank's website.

South Indian Bank will hold its 98th Annual General Meeting (AGM) on August 20, 2026, through Video Conferencing (VC) or Other Audio Visual Means (OAVM). The Board of Directors approved the meeting date during a session held on July 16, 2026. Shareholders will vote on a proposal to raise funds amounting to ₹1,000 crore by issuing debt instruments, including non-convertible debentures and Tier II capital bonds, subject to regulatory approvals.

The Register of Members and Share Transfer Books will remain closed from August 14, 2026, to August 20, 2026, for the purpose of the AGM, e-voting, and dividend declaration. The bank has fixed August 13, 2026, as the record date to determine shareholder eligibility for dividend payments, if declared, for the financial year ended March 31, 2026. This date also serves as the cut-off for remote e-voting during the AGM.

Key Agenda Items for Shareholder Approval

The Board recommended several appointments for shareholder approval at the upcoming AGM. Sri. Dolphy Jose (DIN: 10682246), who retires by rotation, is eligible for re-appointment. Additionally, the Board proposed appointing Sri. Mahesh Muralidhar Pai (DIN: 09164982) as Managing Director & Chief Executive Officer for a three-year term effective from October 1, 2026, to September 30, 2029.

Smt. Lakshmi Ramakrishna Srinivas (DIN: 10365580) has been recommended for re-appointment as an Independent Director for a second term of five years, effective from November 20, 2026. The detailed disclosures regarding these director appointments, as required under Schedule III of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, will be submitted following shareholder approval.

Book Closure and Record Date Details

The following table outlines the specific dates for book closure and the record date across exchanges:

The fund raising proposal of ₹1,000 crore will be valid for one year from the date of the AGM and may be executed in one or more tranches. The issuance will be on a private placement basis in domestic or overseas markets, adhering to the Basel III Capital Regulations prescribed by the Reserve Bank of India.