Bank of Maharashtra Q3 FY26 Results: Record ₹1,779 Cr Profit, 10% Dividend

Mumbai, January 16, 2026: Bank of Maharashtra (BoM) has delivered its highest-ever quarterly net profit of ₹1,779 crores for Q3 FY25-26, marking a period of consistent outperformance. The bank's management, led by MD & CEO Mr. Nidhu Saxena, detailed the strong results in an earnings conference call held on January 13, 2026, expressing confidence in sustaining high double-digit growth.

Key Financial and Operational Highlights:

Record Profitability: Net profit for the nine-month period crossed the ₹5,000 crore mark, standing at ₹5,005 crores.
Strong Business Growth: Total business grew 17.24% year-on-year (YoY) to ₹5.95 lakh crore, exceeding the 15% guidance. Advances surged 20% YoY against a 17% target.
Asset Quality Strengthens: Gross NPA improved to 1.60% (from 1.72% in Q2) and Net NPA improved to 0.15% (from 0.18%), well within the bank's guidance.
Healthy Margins & Returns: Net Interest Margin (NIM) stood strong at 3.87%, above the 3.75% target. Return on Equity (RoE) soared to 23.79%.
Interim Dividend: The Board approved a 10% interim dividend for shareholders.
CASA Resilience: The low-cost CASA ratio was maintained at a healthy 50%.
RAM Focus: The Retail, Agri & MSME (RAM) segment constituted 63% of total advances, with robust growth in home loans (28% YoY), vehicle loans (54%), and gold loans (56%).

Strategic Insights from Management:

During the analyst call, Mr. Saxena emphasized a conscious strategy of prioritizing profitability over high-cost bulk deposits, which led to a Credit-Deposit Ratio (CD Ratio) of 85%. He clarified that the bank is actively raising low-cost CASA and utilizing alternative resources like refinance transactions to fund growth efficiently.

"Our focus is clear: raise the low-cost component of deposits. We have consciously let high-cost bulk deposits leave our bank. This is a strategic choice for profitability," stated Mr. Saxena.

He also addressed a one-time treasury loss, attributing ₹290 crores to the amalgamation of regional rural banks. Excluding this, the treasury performance remained positive.

Growth Drivers and Future Outlook:

Digital & Co-lending: The bank is aggressively pursuing digital co-lending partnerships, especially in gold loans, boasting a portfolio of ₹5,500 crores through such tie-ups. Its newly revamped mobile app has seen rapid user adoption.
Branch Expansion: Under 'Project 321', BoM is on track to open 321 new branches in potential growth centers identified through data analytics. Already, 116 are operational in this fiscal year.
Sectoral Diversification: The bank is actively financing new-age sectors like green energy, data centers, and electric vehicles (EVs) within its corporate book, which also grew at 19% YoY.
Guidance Reaffirmed: Management reiterated its full-year guidance for deposit growth (~14%), advance growth, and maintaining best-in-class asset quality and profitability metrics.

Analyst Queries Addressed:

Management fielded questions on deposit growth strategy, treasury performance, margin trends, and the impact of regulatory changes. They assured that the impact of new labor codes was minimal (~₹33 lakhs) and expressed confidence in bridging the deposit growth gap in Q4. The bank's Liquidity Coverage Ratio (LCR) remained comfortable at 116.36%.

Conclusion:

Bank of Maharashtra's Q3 results underscore a powerful combination of robust growth, disciplined risk management, and strategic investments in digital and physical infrastructure. With a clear roadmap for expansion and a firm grip on asset quality, the bank appears well-positioned to maintain its growth momentum in the coming quarters, rewarding stakeholders with both performance and dividends.