After CSB Bank’s Q3FY25 business update was released, the bank’s shares jumped 6.65% to ₹334.90 during Thursday, January 2’s early trading session. The private sector lender reported robust growth in advances and deposits in an exchange filing on Wednesday.
In Q3FY25, the bank’s gross advance was ₹28,914 crore, a significant 26.45% rise over Q3FY24’s ₹22,867 crore. Total deposits also increased by 22.17% year-over-year (YoY) to ₹33,406 crore.
Deposits into Current Accounts and Savings Accounts (CASAs) totalled ₹8,041 crore, up 5.69% from ₹7,543 crore during the same time last year. The quarter’s term deposits were ₹25,365 crore, which was 28.10% more than the ₹19,802 crore recorded during the same period the previous year.
In addition, the bank stated that its gold loan business grew by 36.28% to ₹13,018 crore in Q3FY24, up from ₹9,553 crore in the same period the previous year.
The bank’s shares opened today’s trading session higher at ₹330 per share, up from the previous closing price of ₹314 following the strong Q3FY25 business update. After that, the shares surged to ₹334.90 per share, a four-month high.
To function effectively as a full-service, modern private sector bank, CSB Bank, one of the oldest private sector banks in India with a history spanning more than a century, is undertaking strategic reforms. The bank has a substantial presence in Tamil Nadu, Maharashtra, Karnataka, and Andhra Pradesh in addition to its strong base in Kerala. The majority of its 2.2 million consumers are SME, retail, and NRI clients.
The stock dropped a quarter of its value in 2024
The stock had a poor year at the end of the previous calendar year, losing 25% of its value. In the long run, the stock has only returned 50% over the last five years, far less than the Sensex, which has increased 90% in the same time frame.
