South Indian Bank is today among the top five gainers on the BSE on the back of its very good performance for Q1FY20.

Its net profit almost tripled from Rs.23 crore to Rs.73 crore (YoY). But more importantly, there was some relief on the asset quality front. NII was at Rs.536 crore v/s Rs.494 crore and NIM dropped to 2.53% from 2.6%.

Its Gross NPA rose to 4.96% from 4.92% (QoQ) but Net NPA fell marginally from 3.45% to 3.41%. Its provisions and contingencies fell from Rs.231 to Rs.205 crore.

The bank has been able to contain slippages within the guidance of Rs.250 crore accretion in NPA per quarter. The bank has also been able to meet the targeted levels of recovery/upgrades, which helped contain the GNPA and NNPA. The provision coverage ratio has improved to 45% from 39%.

The stock price closed yesterday at Rs.12.35 and opened today at Rs.12.75, going to an intraday high at Rs.13.40.