The South Indian Bank (SIB), established in 1929, is one of the oldest private sector banks in South India, providing retail and corporate banking services along with treasury and foreign exchange activities.

SIB reported a net profit of Rs. 351 crores for Q2 FY '26, marking an 8% growth from the previous year. Total deposits increased by 10% year-on-year, while retail loan disbursements grew by 51%, highlighting strong growth in the bank's retail segment.

The bank has a diversified loan book with corporate, MSME, and retail loans, showing a consistent growth trend. Particularly notable is the 127% year-on-year growth in MSME disbursements, which indicates strong focus and performance in this sector.

Investments in digital transformation and customer-centric initiatives continue to drive operational efficiency. Noteworthy is the adoption of co-lending partnerships and the enhancement of the bank's digital infrastructure, including new digital onboarding processes and customer interaction platforms.

SIB's capital adequacy remains robust at 17.70%, with a return on equity of 13.11% for the quarter. The improvement in asset quality is significant, with gross NPA reducing from 4.40% to 2.93% year-on-year, reflecting strong risk management efforts.