Bank of Maharashtra (MAHABANK) Q1 25/26 earnings summary

Executive summary

• Delivered another consistent quarter with profitability and operational performance across all major banking segments, maintaining performance in line with guidance on business growth, advances, deposits, CASA, asset quality, profitability, and efficiency ratios.

• Board approved unaudited standalone and consolidated financial results for Q1 FY26, with an unmodified limited review report from auditors.

• Continued branch expansion with Project 321, targeting 321 new branches in 18 months, focusing on high-growth geographies using data-driven site selection.

• Emphasized sustainable growth, regulatory compliance, and proactive adaptation to evolving guidelines, with ongoing recruitment for compliance, risk, and technology.

• Technology upgrades underway, including a revamped mobile banking app, digital banking initiatives, and the launch of GIFT IBU for international business.

Financial highlights

• Standalone net profit for Q1 FY26 was ₹1,592.76 crore, up 23.14% YoY; consolidated net profit was ₹1,504.37 crore.

• Net interest income grew 17.60% YoY to ₹3,292 crore; operating profit (standalone) was ₹2,569.94 crore, up 12.01% YoY.

• NIM for Q1 stood at 3.95%, slightly down from 4.0% in Q4, but above guidance of 3.75%.

• Total business expanded 15% YoY to ₹5.46 lakh crore; gross advances up 15.34% to ₹2,41,097 crore.

• Cost-to-income ratio improved to 37.57% for the quarter.

Outlook and guidance

• Maintains FY26 guidance: total business growth at 15%, advances at 17%, deposits at 14%, and CASA above 50%.

• NIM guidance for FY26 remains at 3.75%.

• Slippage ratio guidance below 1%, credit cost at 1%, and NNPA targeted at 0.2%-0.25%.

• Cost-to-income ratio to be kept below 40%.

• No immediate need for equity capital raise; CRAR stands at 20.06% (Basel III), with a target to maintain around 18%.