BoM Q4 Profit Rises 35%, Plans Rs 7,500 Cr Fund Raise

New Delhi, Apr 20 (PTI) State-owned Bank of Maharashtra on Monday reported a 35 per cent rise in net profit to Rs 2,014 crore in the January-March quarter of 2025-26, aided by core income and reduction in bad loans.

The Pune-headquartered bank had earned a net profit of Rs 1,493 crore in the year-ago period.

During the quarter, the bank's total income increased to Rs 8,693 crore against Rs 7,711 crore a year ago, the bank said in a regulatory filing.

Interest income grew to Rs 7,755 crore during the period under review, from Rs 6,731 crore in the corresponding quarter a year ago.

Net Interest Income (NII) grew by 19 per cent to Rs 3,702 crore as against Rs 3,116 crore during the same quarter a year ago.

The growth in NII was due to a 22 per cent increase in loans to Rs 2.92 lakh crore in the fourth quarter ended March 2026.

However, the bank reported a 14 per cent rise in total deposits to Rs 3.50 lakh crore in the reporting quarter, up from Rs 3.07 lakh crore at the end of the fourth quarter of the previous financial year.

While announcing quarterly numbers, BoM managing director and chief executive officer Nidhu Saxena said the board has approved raising Rs 7,500 crore through a mix of debt and equity to fund business growth in the ongoing financial year.

Of this, he said, Rs 5,000 crore from equity and the remaining Rs 2,500 crore from debt.

The board has also approved mobilising Rs 10,000 crore through infrastructure bonds, as infra finance is one of the bank's focus areas, he said.

Besides, he said, the board has also approved raising USD 500 million to fund its global business growth through the GIFT City branch.

As regards total business growth, Saxena said it is expected to improve by 18 per cent, loans by 16-17 per cent, and deposits by 14-15 per cent in the current financial year.

The bank's total business (total credit and deposits) registered an increase of 18 per cent to Rs 6.42 lakh crore, compared with Rs 5.46 lakh crore at the end of March 31, 2025.


Asked about his outlook on the CASA ratio, Saxena said it would remain above 50 per cent despite challenges.

BoM has the highest level of the Current Accounts and Savings Accounts (CASA) ratio in the banking system in percentage terms at 52.51 per cent at the end of March 2026.

On the asset quality side, gross Non-Performing Assets (GNPAs) declined to 1.45 per cent of gross advances as of March 2026, down from 1.74 per cent at the end of March 2025.

Net NPAs also came down to 0.13 per cent of the advances from 0.18 per cent at the end of 2025.

Return on Assets (ROA) improved to 1.86 per cent for the year ended March 2026 against 1.75 per cent at the end of the previous fiscal.

Provision Coverage ratio improved to 98.59 per cent as on March 31, 2026, against 98.26 per cent as on March 31, 2025.

However, the bank's capital adequacy ratio declined to 18.36 per cent, down from 20.53 per cent at the end of the previous fiscal.

During the financial year 2025-26, the bank earned a net profit of Rs 7,019 crore, up from Rs 5,520 crore in the previous year, registering a growth of 27 per cent.

The total income increased to Rs 32,823 crore during the financial year from Rs 28,402 crore in the previous year.

Net Interest Margin (NIM) moderated to 3.9 per cent as compared to 4.01 per cent in the previous year.

On the recovery, Saxena said the bank hopes to recover Rs 2,000 crore in the ongoing financial year from written-off accounts, which will strengthen the bottom line.

The bank's board has recommended a final dividend of Rs 1.2 per share or 12 per cent for the year ended March 31, 2026.

This final dividend, after approval of shareholders, will be in addition to the interim dividend of Rs 1 per equity share (10 per cent) declared on January 13, 2026 and paid during the financial year.