Bank of Maharashtra Oct-Dec Profit Jumps 26.5% on Strong Loan Growth, Asset Quality Improves

Bank of Maharashtra reported a 26.5% year-on-year rise in net profit to ₹17.8 billion for the October-December quarter, driven by healthy loan growth, higher net interest income and improving asset quality.

Operating profit rose 18.8% from a year earlier to ₹27.4 billion, while net interest income increased 16.3% to ₹34.2 billion. The bank’s domestic net interest margin stood at 3.87% during the quarter.

Total business grew 17.2% from a year earlier to ₹5,951.6 billion, supported by a 15.3% rise in deposits to ₹3,216.6 billion and a 19.6% increase in global advances to ₹2,735.0 billion. Retail, agriculture and MSME advances rose 20.3%, with retail loans alone growing 36.4% on year.

Asset quality continued to improve, with gross non-performing assets falling to 1.60% at the end of December from 1.80% a year earlier. Net NPA declined to 0.15% from 0.20%, while the provision coverage ratio improved to 98.4%. The bank held cumulative Covid-19 provisions of ₹12.0 billion.

Capital adequacy remained comfortable, with the Basel III capital adequacy ratio at 17.06% and the common equity tier-1 ratio at 13.10%.

For the nine months ended December, net profit rose to ₹50.1 billion from ₹40.3 billion a year earlier, while net interest income increased to ₹99.6 billion.

The board approved an interim dividend of 10%, or ₹1 per equity share of face value ₹10, for the 2025-2026 financial year, within the limits prescribed by the RBI.