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Bank of Maharashtra Q2 Results: Net profit jumps 41% as NII rises 22%; asset quality improves - Published OnOct 26, 2026 | 16:07 IST - Last Updated OnOct 26, 2026 | 16:31 IST Strong core interest earnings and sharp loan expansion drove a robust surge in quarterly profit, backed by a significant cleanup of bad loans. Total global business expanded rapidly alongside healthy capital adequacy buffers. Discover how management plans to sustain this loan momentum through the se... Public sector lender Bank of Maharashtra on Monday (October 26) reported a 41.4% year-on-year (YoY) increase in net profit to ₹2,309.6 crore for the second quarter, compared with ₹1,633 crore in the corresponding period last year. Operating profit rose 30.86% year-on-year to ₹3,369 crore. On a quarter-on-quarter basis, net profit increased 14.33%, operating profit grew 8.07%, and net interest income (NII) rose 4.89%. Net interest income (NII) rose 22% YoY to ₹3,954.4 crore from ₹3,247.6 crore in the year-ago period. The bank's gross non-performing assets (NPA) ratio declined to 1.25% as of September 30, 2026, from 1.72% a year earlier and 1.45% as of June 30, 2026. The net NPA ratio fell to 0.12% from 0.18% a year earlier and 0.13% in the previous quarter. ALSO READ | Bank of Maharashtra retains FY27 advances growth guidance at 18% The bank's total global business grew 25.16% YoY to ₹7,05,766 crore as of September 30, 2026, with global deposits rising 21.50% to ₹3,76,407 crore and gross global advances increasing 29.61% to ₹3,29,359 crore. The provision coverage ratio stood at 98.53%, compared with 98.34% a year earlier and 98.55% in the June quarter. Key Profitability Metrics The bank's cost-to-income ratio improved to 33.73% in Q2 FY27 from 37.10% in Q2 FY26 and 35.04% in the June 2026 quarter. Return on assets (ROA) improved to 2.02% from 1.82% a year earlier. Domestic net interest margin (NIM) stood at 3.97%, while global NIM was 3.86%. Return on equity (ROE) stood at 26.98% for the quarter. ALSO READ | Bank of Maharashtra Q4 Results: Stock jumps 4% on strong profit growth, better asset quality For the half year ended September 30, 2026, net profit rose 34.22% to ₹4,330 crore from ₹3,226 crore in the corresponding period last year. Operating profit increased 26.08% to ₹6,486 crore, while NII grew 18.12% to ₹7,724 crore. Fee-based income increased 3.54% to ₹866 crore in the first half of FY27 from ₹836 crore a year earlier. The half-year cost-to-income ratio improved to 34.37% from 37.34%, while ROA rose to 1.96% from 1.81% and ROE increased to 25.29% from 22.30%. Deposits, Advances And Capital Adequacy Net advances grew 30.16% YoY to ₹3,25,641 crore as of September 30, 2026. The bank's retail, agriculture and micro, small and medium enterprises (RAM) business expanded 24.69% during the period. Retail advances increased 20.91% to ₹94,582 crore, while micro, small and medium enterprises (MSME) advances rose 24.69% to ₹58,049 crore. Overseas deposits stood at ₹721 crore, while the domestic credit-deposit ratio was 82.85%. ALSO READ | Bank of Maharashtra Q1 Results: Stock cools from the highs after slippages, provisions rise The bank's Basel III capital adequacy ratio stood at 18.51%, with a Common Equity Tier 1 ratio of 15.61%. The bank also reported a Tier I capital ratio of 16.37%. Shares of Bank of Maharashtra Ltd ended at ₹76.10, up by ₹0.80, or 1.06%, on the BSE.
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