South Indian Bank shares jump 11% on strong Q4 earnings

Shares of South Indian Bank jumped over 11% in intraday trade on Friday after the company posted a 22.7% year-on-year (YoY) rise in its January-March quarter net profit.

At 1:40 pm, the stock was trading at Rs 17.80 on NSE, up Rs 1.50 or 9.20% from the last closing price.

The stock was trading with high volumes with 10.11 crore shares changing hands around this time on the NSE.

South Indian Bank reported a net profit of Rs 334 crore for the quarter ended March 31, 2023, which was up from Rs 272 crore, the lender reported in the corresponding quarter of the previous financial year.

The interest earned during the reporting quarter stood at Rs 1,973 crore which was up from Rs 1,635 crore in Q4FY22. The March quarter provisions and contingencies at Rs 38.99 crore which was down nearly 50% YoY from Rs 77.71 crore in Q4FY22.

The March quarter net NPA stood at 1.86% which was down from 2.26% from the previous quarter while gross NPA at 5.14% was down from 5.48% from Q3FY23.

The stock of South Indian Bank has been a multibagger and given a return of 128% over a one-year period, outperforming Nifty50 which has given 13% returns during the same period, according to Trendlyne data.

The 52-week high of this stock is Rs 21.80, which South Indian Bank hit on December 15, 2022 while the 52-week low stands at Rs 7.25 which it hit on June 20, 2022.

The stock has been relatively less volatile and has traded with a one-year beta of 0.79, according to Trendlyne.

The Price-to-Book value for thai stock is 0.55 which is lower than the industry average.