Bank of Maharashtra Q2 earnings: Net profit rises 23%, NII advances 16%, asset quality improves slightly

Pune-based state-run lender, Bank of Maharashtra, on Tuesday, October 14, reported net profit of ₹1,633 crore in the second quarter of current financial year, marking an increase of 23% from ₹1,327 crore in the same period last year. The jump in profit came on the back of slightly lower provisioning for bad loans.

Bank of Maharashtra’s provisions for non-performing assets (NPA) came down by 2.5% to ₹583 crore from ₹598 crore in the year-ago period.

Bank of Maharashtra's net interest income or the difference between interest earned on loans and expended on deposits rose 16% to ₹3,248 crore in July-September period from ₹2,807 crore in the same period last year.

Bank's asset quality showed a slight improvement as its gross NPAs, as a percentage of total advances, improved to 1.72% from 1.84% in the year-ago period.

Its net NPAs came in at 0.18% at the end of September quarter from 0.2% in the same period last year.

In absolute terms, Bank of Maharashtra's gross NPAs came in at ₹4,372 crore as against ₹4,010 crore in the year-ago period.

During first half of current financial year the bank reported 178 fraud cases involving ₹155.08 crore, with a loss of ₹133.73 crores. The bank has maintained 100% provision against the reported loss and in respect of digital payment frauds amounting to ₹1.04 crore were reimbursed to customers by debiting to profit & loss, requiring no provisioning, the Pune-based state-run lender said.

During the first half of the current fiscal, the Reserve Bank of India has levied penalties of ₹35 lakh on the bank. The same has been provided for as on 30th September 2025, Bank of Maharashtra said.

Bank of Maharashtra shares dropped as much as 5% to hit a intraday low of ₹54.66 following its earnings announcement.

The stock ended 3.35% lower at ₹55.65 on the National Stock Exchange.