South Indian Bank shares slip post Q4 earnings, FY24 dividend

Shares of Thrissur-based South Indian Bank were trading in the red in early deals on Friday after the lender reported a 14 per cent fall in net profit during the fourth quarter of the financial year 2023-24. Profit fell to Rs 287.56 crore in the last quarter against Rs 333.89 crore during the same period in 2022-23.Operating profit slipped 23% in Q4 to Rs 433.54 crore against Rs 561.55 crore during the January to March quarter of FY23. However, net interest income in Q4 rose 2 per cent to Rs 874.67 crore in Q4 against Rs 856.18 crore in Q4 of FY23.

South Indian Bank stock fell 1.78% to Rs 28.68 on Friday against the previous close of Rs 29.20 on BSE. The banking stock hit a record high of Rs 36.91 on February 2, 2024 and fell to a 52 week low of Rs 14.64 on May 10, 2023.

Earlier, the stock opened on a flat note at Rs 29.19 on BSE. Total 22.67 lakh shares of the firm changed hands amounting to a turnover of Rs 6.54 crore on BSE. Market cap of the bank stood at Rs 7560 crore on BSE.

South Indian Bank shares have a beta of 0.9, indicating low volatility in a year. The stock has gained 91.45% in a year and risen 296.57% in two years.

In terms of technicals, the relative strength index (RSI) of the South Indian Bank stock stands at 49.8, signaling it's trading neither in the overbought nor in the oversold zone. South Indian Bank shares are trading lower than the 5 day, 10 day, 20 day, 30 day, 50 day but higher than the 100 day, 150 day and 200 day moving averages.

The bank reported a 38% rise in net profit to Rs 1,070.08 crore in the last fiscal compared to Rs 775.09 crore in FY 22-23. Operating profit of the lender climbed 24 per cent to Rs 1,867.67 crore in FY24 against Rs 1,507.33 crore in FY23.

Gross non-performing assets in Q4 slipped 64 basis points to 4.50 per cent from 5.14 per cent in Q4 of FY23. Net NPAs fell 40 basis points to 1.46 per cent in Q4 from 1.86 per cent on a year-on-year basis. The bank’s board of directors recommended a dividend of Rs 0.30 for FY24, subject to approval of the shareholders.