Bank of Maharashtra (MAHABANK) Q3 24/25 earnings summary

Executive summary

• Net profit for Q3 FY25 rose 36% YoY to ₹1,406 crore, with nine-month net profit up 42% to ₹4,027 crore; results reflect continued business growth, capital raising, and strong asset quality metrics.

• Total business crossed INR 5.07 lakh crores, up 17% YoY, with gross advances up 21.19% and deposits up 14%.

• Return on Assets improved to 1.78% and Return on Equity to 22.36% for Q3 FY25.

• Consistent performance maintained for 12-15 quarters, with business growth surpassing internal guidance in several areas.

• Focus on sustainable growth, quality loan book, and customer-friendly schemes across segments.

Financial highlights

• Standalone net profit for Q3 FY25 was ₹140,645 lakh, up from ₹103,551 lakh in Q3 FY24; nine-month net profit reached ₹402,671 lakh, up from ₹283,736 lakh YoY.

• Net Interest Income for Q3 FY25 increased 19.37% YoY to ₹2,799 crore; NIM stable at 3.98%.

• Advances grew 21% YoY to INR 2.29 lakh crores; deposits up 14% YoY to INR 2.79 lakh crores.

• Cost-to-income ratio improved to 37.10% for the nine months ended December 2024, below 40% guidance.

• Retail advances up 24.45% YoY; housing loans up 29%, car loans up 44%.

Outlook and guidance

• Confident in maintaining high double-digit growth in advances and deposits, supported by new branch expansion and digital initiatives.

• NIM expected to remain in the 3.70%-3.98% range, even with potential rate cuts.

• Macro environment remains positive with GDP growth estimated at 6.4% for FY25 and CPI inflation at 4.8%.

• Home loan growth trend expected to continue for at least a couple of quarters.

• Corporate loan growth targeted in sectors like renewables, infrastructure, and manufacturing.