Bank of Maharashtra’s standalone profit more than doubled in the December quarter, rising nearly 139% to Rs 775 crore. The lender clocked a profit of Rs 325 crore in the same quarter last year.
On a sequential basis, the profit was up 45%. The net interest income (NII) — the difference between interest earned and interest expended — rose 30% year-on-year (YoY) to Rs 1,980 crore, compared with Rs 1,527 crore a year ago. The net interest margin (NIM) during the quarter improved to 3.6%.
Other income for the third quarter stood at Rs 640 crore. The net revenues, which is net interest income plus other income, surged 22% to Rs 2,620 crore during the quarter under review.
The stock was last trading at Rs 33.75 on NSE, up 6.47% over the previous close.
The Pune-based bank’s asset quality improved substantially as the gross non-performing assets declined to 2.94% as of December 2022 as against 4.73% as on December 2021. Meanwhile, net NPAs were down to 0.47% during the period under review. made provisions to the tune of Rs 582 crore for the third quarter.
“Provision Coverage ratio improved to 97.18% as on December 2022 as against 93.77% as on December 2021,” the bank said in a regulatory filing. The capital adequacy ratio rose to 17% with common equity tier-1 ratio of 13.47% in the December quarter as against 14.85 per cent in the same quarter last year. Bank of Maharashtra’s operating profit rose by 36% to Rs 1,580 crore for the third quarter as against Rs 1,162 crore in the corresponding period of last year.
On the business side, the bank’s total deposits clocked a growth of 12% YoY to Rs 2.08 trillion, while gross advances grew by 22%. The lender’s retail advances rose 23% to Rs 40,312 crore on a year-on-year basis.
For the nine months ended December, the net profit rose 121 per cent to Rs 1,762 on a year-on-year basis as against Rs 796 crore for the same period last year. The net interest income during the nine months period came in at Rs 5,554 crore.