Karur Vysya Bank expands branch network amid strong financial performance

Karur Vysya Bank has strengthened its physical banking presence by inaugurating four new branches, marking a significant milestone with its 888th branch. The expansion includes three new locations in Tamil Nadu and one in Andhra Pradesh, reflecting the bank’s ongoing efforts to enhance accessibility and customer service.

The latest addition to the bank’s network was inaugurated in Chennai, with Mr. Shailesh Kumar Yadav, IPS, Chairman & Managing Director of Tamil Nadu Police Housing Corporation, presiding over the event. The new branch, situated on Alapakkam Main Road, is expected to provide comprehensive banking services tailored to both individual and business customers.

Expansion Strategy and Growth Momentum

With the latest openings, Karur Vysya Bank has added 46 branches during the financial year 2024-25, underscoring its aggressive expansion strategy. The newly launched branches are strategically located in high-demand banking areas. The 885th branch in Kumbakonam East was inaugurated by Dr. Prabhakar, Chief Civil Surgeon at the Government District Headquarters Hospital, Kumbakonam. The 886th branch, located in Visakhapatnam’s Poorna Market area, was opened by Dr. Sandhya Devi, Principal of Andhra Medical College. The 887th branch in Kannampalayam, Coimbatore, was launched by Mr. Sathish Kumar, Executive Officer of Kannampalayam Town Panchayat. The 888th branch in Alapakkam, Chennai, was inaugurated by Mr. Shailesh Kumar Yadav, IPS.

These new branches will offer retail, institutional, and consumer lending services, catering to a wide customer base. In addition to standard banking transactions, customers will have access to Karur Vysya Bank’s digital banking solutions, including internet banking and the recently upgraded KVB DLite mobile banking app, which now boasts over 150 features for seamless financial and non-financial transactions.

Stock Performance and Investor Sentiment

Karur Vysya Bank’s expansion is backed by strong financials, which are reflected in its stock market performance and analyst sentiment. As of March 28, 2025, the stock is trading at ₹209.10, reflecting a slight dip of 0.02% from its previous close. However, the bank has remained a strong performer in the market, with a 52-week range between ₹164.10 and ₹246.00.

Market analysts remain bullish on Karur Vysya Bank’s growth prospects. Anand Rathi has set a target price of ₹288, indicating a 37.7% upside. Emkay Global Financial Services has issued a target of ₹325, suggesting a 55.4% potential gain. Asit C Mehta Investment Intermediates has recommended a target of ₹275, reflecting a 31.5% growth opportunity.

This positive sentiment is fueled by the bank’s record net profit of ₹1,605 crore in 2024, with the first nine months of the current fiscal yielding ₹1,428 crore in profit. Additionally, Karur Vysya Bank maintains a Net NPA of just 0.20%, demonstrating strong asset quality and prudent risk management. Given these fundamentals, investors may consider Karur Vysya Bank as a strong portfolio addition. However, prospective buyers should conduct due diligence and assess risk factors before making investment decisions.

Expanding Reach While Enhancing Digital Capabilities

With a presence spanning 888 branches and over 2,200 ATMs and cash recyclers, Karur Vysya Bank is balancing physical expansion with digital transformation. The bank’s mobile banking app, KVB DLite, continues to evolve, offering enhanced features to improve customer convenience.

The latest branch openings underscore Karur Vysya Bank’s commitment to financial inclusion, ensuring customers across Tamil Nadu and Andhra Pradesh have access to a full suite of banking and financial services. The bank’s strategy remains focused on expanding its branch footprint while simultaneously strengthening its digital offerings to cater to a growing and diverse customer base.