Bank of Maharashtra has posted a net profit of Rs 1,779 crore in the fiscal third quarter ended December, up 26.5% from Rs 1,406 crore a year ago, amid rising net interest income, higher fee and lower provisions.

The state-owned bank’s net interest income (NII) grew 16% to Rs 3,422 crore in the December quarter from Rs 2,943 crore a year ago.

The lender’s net interest margin (NIM) dropped to 3.88% from 3.98% in Q3FY25.

Dividend

The board has approved an interim dividend of 10% on the equity shares of the bank i.e., Rs 1 per share having face value of Rs 10 each for FY26.

Eyes $1 billion biz from Gift City in first year

The Pune-headquartered bank has done Rs 3,540 crore of business since September from its operation of IFSC Banking Unit (IBU) at GIFT City in Gandhinagar, Gujarat.

The lender anticipates $1 billion business in the first 12 months of operation of the IBU, said Bank of Maharashtra managing director and CEO Nidhu Saxena.

Total business at Rs 5.95 lakh crore

The bank’s total business has surged 17.24% to Rs 5.95 lakh crore in the quarter ended December 2025, compared to Rs 5.08 lakh crore a year ago.

Deposit growth

Total deposits grew 15.29% to Rs 3.22 lakh crore as on 31 December from Rs 2.79 lakh crore in Q3FY25. 

Term deposits stood at Rs 1.62 lakh crore as on 31 December 2025, up from Rs 1.42 lakh crore a year ago.

The CASA (current account savings account) ratio fell to 49.54% in the total deposit mix compared to 50.35% a quarter ago, but improved from 49.28% a year ago. 

Loan growth

Global advances rose 19.62% year-on-year to Rs 2.73 lakh crore from Rs 2.29 lakh crore in the earlier year.

Domestic advances stood at Rs 2.70 lakh crore as on 31 December 2025, up from Rs 2.29 lakh crore a year ago.

The RAM (retail, agriculture and MSME) percentage to domestic advances increased to 63.48% in the December quarter from 62.19% in the previous three months and 62.33% in Q3FY25. 

Asset quality

The bank’s asset quality improved, with gross non-performing assets (NPAs) declining to 1.60% of gross loans as on 31 December compared to 1.72% in the previous three months and 1.80% a year ago.

Net NPAs fell to 0.15% from 0.18% a quarter ago and 0.20% a year ago.

Provisions

The bank's provision and contingencies declined to Rs 728 crore versus Rs 841 crore in the earlier year.

The bank’s provision coverage ratio (PCR) as of end-December was 98.41% versus 98.28% a year ago.