Bank of Maharashtra Achieves 23.09% Net Profit Growth in Q2FY26 Financial Results

The Bank of Maharashtra reported strong financial results for the quarter and half-year ending September 30, 2025. The bank's net profit for Q2FY26 rose by 23.09% to Rs 1,633 crore from Rs 1,327 crore in Q2FY25. This growth was supported by a 15.71% increase in Net Interest Income (NII), which reached Rs 3,248 crore compared to Rs 2,807 crore in the same period last year.

For the half-year ending September 30, 2025, the bank's net profit increased to Rs 3,226 crore from Rs 2,620 crore in the previous year. Operating profit also saw a rise of 14.41%, reaching Rs 5,144 crore compared to Rs 4,496 crore for the same period in 2024. The NII for this half-year grew by 16.65% to Rs 6,539 crore from Rs 5,606 crore.

The bank's total business expanded by 14.20% YoY to Rs 5,63,909 crore as of September 30, 2025. This was driven by a 12.13% increase in total deposits to Rs 3,09,791 crore and a significant rise in gross advances by 16.83% to Rs 2,54,118 crore. These figures highlight the bank's robust growth trajectory.

The operating profit for Q2FY26 was reported at Rs 2,574 crore, marking a YoY increase of 16.91% from Rs 2,202 crore in Q2FY25. The cost-to-income ratio improved slightly to 37.10% from the previous year's figure of 38.81%. Meanwhile, the Return on Equity (ROE) decreased to 22.58% from last year's 26.01%, while Return on Assets (ROA) rose to 1.82% from both Q2FY25 and Q1FY26 figures.

The bank's asset quality showed improvement with Gross Non-Performing Assets (NPA) reducing to 1.72% from last year's figure of 1.84%. Similarly, Net NPA decreased to 0.18% from the previous year's level of 0.20%. The Provision Coverage Ratio (PCR) remained robust at 98.34%, slightly down from last year's figure of 98.36%.

The bank maintained a strong capital position with its Basel III capital adequacy ratio rising to an impressive 18.13%. Additionally, the Common Equity Tier 1 (CET1) ratio improved to stand at 14.05%, reflecting solid financial health and risk management practices.

Prudent Risk Management

As part of its prudent risk management strategy, the bank retained a Covid-19 provision of Rs 1,200 crore as of September 30, 2025. This provision underscores the bank's commitment to maintaining a strong balance sheet while navigating potential challenges arising from the pandemic.

The Bank of Maharashtra's financial performance as of September end demonstrates its resilience and ability to achieve growth across key metrics despite challenging economic conditions.