State-owned Bank of Maharashtra (BoM) reported a 46.6% increase in its net profit to Rs 1,293 crore for the June quarter. The Pune-based lender had earned a net profit of Rs 882 crore in the year-ago period.
During the quarter, the bank’s total income increased to Rs 6,769 crore, up from Rs 5,417 crore a year ago, according to a regulatory filing.
Net interest income (NII) grew by 19.6% year-on-year (YoY) to Rs 2,799 crore during the period under review, from Rs 2,340 crore in the corresponding quarter a year ago. Fee-based income increased by 12.15% YoY to Rs 368 crore for Q1FY25.
On the asset quality side, the bank’s Gross Non-Performing Assets (NPAs) improved to 1.85% of gross advances as of June 30, 2024, from 2.28% at the end of June 2023. The Gross NPA was 1.88% as of March 31, 2024. Net NPA also decreased to 0.20% as of June 30, 2024, from 0.24% as of June 30, 2023, and remained the same as on March 31, 2024.
Gross advances rose 19% YoY to Rs 209,031 crore, while deposits grew 9.4% YoY to Rs 2,67,416 crore. CASA (current and savings account) deposits increased by 7% to reach Rs 1,33,334 crore.
Provisions for the quarter were reported at Rs 950 crore, slightly up from Rs 942 crore in the preceding quarter.
The cost-to-income ratio stood at 37.87% for Q1 FY25 compared to 37.23% for Q1 FY24. Return on assets (ROA) improved to 1.72% for Q1 FY25 from 1.33% for Q1 FY24. Return on equity (ROE) also increased to 27.62% for Q1 FY25 from 23.73% for Q1 FY24.
The RAM (Retail, Agri, & MSME) business improved to 61.05% of gross advances. Retail advances grew by 18.26% YoY to Rs 53,161 crore, while MSME advances grew by 26.15% YoY to Rs 42,561 crore.
Following the Q1 results, Bank of Maharashtra shares surged 7.2% to Rs 69.7 on the BSE at 2:52 pm.
