Bank of Maharashtra is planning to add 200 branches in the current financial year even as it has seen the aggressive push yield results in FY23. The state-run bank reported a whopping 135% rise in net profit to Rs 840 crore in the quarter ended March 2023, from Rs 355.2 crore in the year-ago quarter. 

The bank is planning to raise Rs 7,500 crore to further fuel its growth through follow-on public offer (FPO), rights issue or qualified institutional placement (QIP), depending on the market conditions.

“We plan to have a branch presence in about 750 districts in the country. The branches will get linked to customer service points which will enhance the reach of the bank,” Bank of Maharashtra managing director and CEO AS Rajeev told www.indianbankingnews.com 

Bank of Maharashtra will continue with its strategy of branch expansion and make each of it grow business. “In FY24, we plan to set up another 200 branches,” Rajeev said.

Currently occupying the 11th position among public sector banks, Rajeev has set the ambition to move Bank of Maharashtra up the ladder to the eighth spot.

During the quarter, the bank's total income increased to Rs 5,317 crore compared with Rs 3,949 crore a year ago.

The bank’s net interest income (NII) jumped 35.7% year-on-year to Rs 2,187 crore from Rs 1,612 crore in the earlier-year quarter.

Provisions rose 62% to Rs 945 crore in the fiscal fourth quarter ended March 2023, from Rs 582 crore a quarter ago. In the year-ago quarter, provisions stood at Rs 365.4 crore.

The bank’s asset quality improved, with its gross non-performing asset (NPA) declining by 47 basis points to 2.47% as on 31 March 2023, from 2.94% in the preceding quarter. A year ago, gross NPA was at 3.94%.

Net NPA declined by 22 basis points to 0.25%, from 0.47% in the prior quarter. A year ago, net NPA was at 0.97%. 

Gross advances for the quarter ended March rose 29.59% to Rs 1.75 lakh crore. The lender had reported gross advances of Rs 1.35 lakh crore in the year-ago period. 

Total deposits for the March quarter stood at Rs 2.34 lakh crore, an increase of 15.72% over the previous year. As on 31 March 2023, the bank’s total business crossed the Rs 4 lakh crore mark.

The bank's board has recommended a dividend of Rs 1.30 per share or 13% of Rs 10 face value.

On Monday, the stock closed 8.08% higher at Rs 30.10.