Bank of Maharashtra's Profits Surge by 46.64% in Q1 FY 2024-25
Bank of Maharashtra reported a remarkable 46.64% increase in net profit for Q1 FY 2024-25, driven by substantial growth in deposits and gross advances. The operating profit rose by 23.14%, underlining the bank's strong core operations, while its asset quality and capital adequacy ratio remained robust.
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- Country:
- India
Bank of Maharashtra has reported a 46.64% surge in its net profit, totaling Rs 1,293 crore for the first quarter of FY 2024-25, according to a filing with the exchange on Monday. The bank's total business witnessed significant growth, rising by 13.43% to Rs 4,76,447 crore. This uptick was primarily fueled by a 9.43% increase in total deposits, amounting to Rs 2,67,416 crore, and an 18.99% jump in gross advances, reaching Rs 2,09,031 crore.
A notable highlight was the substantial improvement in profitability. The operating profit surged by 23.14% to Rs 2,294 crore. Additionally, net interest income (NII) increased by 19.63% year-on-year, totaling Rs 2,799 crore. This growth underscores the bank's robust performance in core banking activities. Moreover, the bank maintained strong asset quality, evidenced by a gross Non-Performing Assets (NPA) ratio of 1.85% and a net NPA ratio of 0.20%. The bank's capital adequacy ratio (CRAR) was reported at a solid 17.04%, indicating a strong financial position conducive to future growth.
The provision coverage ratio of 98.36% illustrates the bank's proactive risk management approach. Substantial growth was also noted in the Retail, Agriculture, and MSME (RAM) segment, which constituted 61.05% of the gross advances. Within this segment, retail advances grew by 18.26% year-on-year to Rs 53,161 crore, while MSME advances saw a significant year-on-year increase of 26.15% to Rs 42,561 crore. The bank's shares also surged by over 5% to Rs 68.71, reflecting strong financial performance for the quarter.
(With inputs from agencies.)