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Bank of Maharashtra Q1 Net Profit Jumps 27% to ₹2,020 Cr, Shares React

· · 2 min read

Bank of Maharashtra reported a 26.84% year-on-year increase in net profit for Q1 FY27, reaching ₹2,020 crore, driven by strong net interest income. Its shares rose almost 3% following the announcement on Friday, July 10, 2026.

Pune-headquartered Bank of Maharashtra (BoM) announced a strong financial performance for the first quarter of the fiscal year 2027, with its net profit surging by 26.84% year-on-year. The public sector lender posted a net profit of ₹2,020 crore for the quarter ended June 30, 2026, compared to ₹1,593 crore in the same period last year.

Following the earnings announcement on Friday, July 10, 2026, BoM shares saw a positive reaction, trading 2.95% higher at ₹84.42. The stock has demonstrated significant growth year-to-date, rallying 32.78%.

Key Financial Highlights

  • Net Interest Income (NII): The bank's NII, representing the difference between interest earned and interest paid, grew by 14.53% year-on-year to ₹3,770 crore in Q1 FY27, up from ₹3,292 crore a year ago. Sequentially, NII increased by 1.82%.
  • Operating Profit: Operating profit for the quarter rose by 21.29% year-on-year, reaching ₹3,117 crore, compared to ₹2,570 crore in the prior fiscal year's corresponding quarter. Quarter-on-quarter, operating profit improved by 5.81%.
  • Return on Assets (ROA): A key indicator of profitability, ROA improved to 1.90% in Q1 FY27 from 1.80% in the year-ago period.
  • Cost-to-Income Ratio: The bank demonstrated enhanced operational efficiency, with its cost-to-income ratio improving to 35.04% during the quarter, down from 37.57% a year earlier and 36.51% in the March 2026 quarter.

Asset Quality and Provisions

BoM also showed improvements in its asset quality metrics:

  • Gross Non-Performing Assets (GNPA): GNPA stood at 1.45% as of June 30, 2026, an improvement from 1.74% a year earlier. It remained unchanged from the March-end level.
  • Net Non-Performing Assets (NNPA): NNPA declined to 0.13% from 0.18% in the year-ago period and remained stable sequentially.
  • Provision Coverage Ratio (PCR): The bank's PCR strengthened to 98.55% as of June 30, 2026, up from 98.36% a year ago, reflecting a robust approach to potential credit losses.

The consistent improvement across these financial and operational parameters underscores Bank of Maharashtra's solid performance in the first quarter of the new fiscal year.

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