The share price of the government-run lender rose as much as 20.8 percent on Tuesday afternoon, its biggest intraday gain since June 2006, to hit an intraday high of Rs 13.90 per share on NSE (National Stock Exchange).

The valuation rose after Bank of Maharashtra announced the results for the September quarter with a net profit of Rs 27 crore, as against the loss of Rs 23.2 crore in the same period last year.

Its net interest income (NII) rose by 4 percent to Rs 1,003 crore from Rs 963.1 crore. Gross NPA of the company was down 18.94 percent compared to 21.18 percent last quarter, while net NPAs declined to 10.61 percent from 12.20 percent.

At the start of the month, Bank of Maharastra closed or merged 51 branches, all of which were located in urban centers, that it identified as non-viable and incurring losses, according to an IANS report. The bank had also hit headlines after its Chairman and Managing Director Ravindra Marathe and five others were nabbed by the Maharashtra police for the alleged involvement in the Rs 2,043-crore scam involving the prominent realtor, DSK Group of Pune.