Bank of Maharashtra Q2 net profit jumps 103% on higher interest income

In the retail indebtedness segment, lodging loans grew by 20.35%, portion conveyance loans were up 27% compared to a twelvemonth ago. The earlier stressed MSME excessively was showing wide signs of currency travel and amended capableness utilisation, the CEO said. MSME advances grew 20.66% YoY to Rs 22,995 crore for Q2FY22.

Bank of Maharashtra (BoM) connected Thursday reported a 102.71% Y-o-Y emergence successful its nett net to Rs 264 crore for the September quarter. The nett involvement borderline improved to 3.27% connected a Y-o-Y ground against 2.3% successful the comparable 4th past year. Net involvement income accrued by 33.84% to Rs 1,500 crore, compared with Rs 1,120 crore during Q2FY21.

The bank’s nett NPA was astatine 1.73%, portion gross NPA came successful astatine 5.56%, arsenic against a nett NPA ratio of 3.30% and gross NPA ratio of 8.81% past year. The bank’s provisional sum ratio improved to 92.38%. It held cumulative Covid-19 proviso of Rs 973 crore arsenic connected September 30, 2021.

AS Rajeev, CEO, said this was the highest nett involvement borderline reported by the slope successful the past 5 years. Apart from the emergence successful the nett involvement borderline and nett involvement income, profits got a boost with Rs 258-crore betterment from the DHFL relationship and Rs 80 crore from different tiny account, taking the full betterment to Rs 340 crore. BoM had an vulnerability of Rs 553 crore to Srei Group which was written disconnected and afloat provided for, helium said.

Rajeev expects the slope to spot a recognition maturation of astir 14-16% for the afloat twelvemonth arsenic the system is opening up. The bank’s strategy of reducing the stock of firm loans and expanding the retail, agriculture and MSME (RAM) conception has paid dividends, with RAM advances increasing by 14.4% YoY to Rs 30,4800 crore, helium said.

In the retail indebtedness segment, lodging loans grew by 20.35%, portion conveyance loans were up 27% compared to a twelvemonth ago. The earlier stressed MSME excessively was showing wide signs of currency travel and amended capableness utilisation, the CEO said. MSME advances grew 20.66% YoY to Rs 22,995 crore for Q2FY22.

The slope plans to rise funds to conscionable its maturation requirements. It raised equity superior of Rs 403.70 crore successful the 2nd quarter. It has plans to rise Rs 1,000 crore done tier II bonds.

Total concern grew by 13.27% to Rs 296,808 crore. Deposits roseate 14.47% to Rs 181,572 crore portion gross advances accrued 11.44% to Rs 115,235 crore.