Shares of Bank of Maharashtra rose 5% on Wednesday after the lender reported a 23% year-on-year rise in net profit to ₹1,633 crore for the September quarter, driven by robust income growth and effective cost management.

The bank's interest income rose 18% year-on-year to ₹7,12,836 lakh, while total income grew 17% to ₹7,97,386 lakh. Operating profit also improved 17% to ₹2,57,474 lakh, supported by steady growth in other income, which increased 7% to ₹84,550 lakh.

SEBI-registered analyst Financial Sarthis said Bank of Maharashtra delivered a strong surprise in the second quarter (Q2), with solid income growth, stable margins, and disciplined cost control supporting profits.

The analyst added that the bank's tight grip on expenses and a drop in provisions, down 8% year-on-year to ₹75,588 lakh,  helped boost profit before tax by 27% to ₹1,81,886 lakh. Over the first half of FY26, net profit rose 23% to ₹3,22,659 lakh, showing that the bank's growth momentum remains firmly intact.

Financial Sarthis added that the bank's strategy of cost optimization and focusing on efficiency is helping it preserve profitability even amid rising interest expenses.

Technical Outlook

Financial Sarthis highlighted a symmetrical triangle formation on the daily chart, suggesting that prices are consolidating between higher lows and flat resistance near ₹57.5.

Gradual improvement in trading volumes points to accumulation ahead of a potential breakout.

According to the analyst, a close above ₹57.5 could trigger a strong rally, signaling renewed bullish momentum in banking stocks.

Q2 earnings fineprint

The bank was able to improve on its efficiency parameter,s with its cost-to-income ratio decreasing to 37.1% compared to 38.8% in the same quarter last year.

It maintained its profitability, with return on assets and return on equity at 1.82% and 22.6%, respectively, which is 1.12% lower than last year, yet still among the highest in the PSBs.

Business growth remained well distributed. Total business increased by 14.2% to ₹5.64 trillion on the back of 12.1% growth in deposits to ₹3.10 trillion and 16.8% increase in advances to ₹2.54 trillion. Growth in loans to retail, agriculture, and MSMEs was close to 17% with retail loans up 37.5% YoY. Indicative of strong consumer demand in the economy. 

Gross NPA and Net NPA were at 1.72% and 0.18%, respectively. The provision coverage ratio was strong at 98.3%. Capital adequacy ratio (Basel III) improved to 18.13% with the CET1 ratio at 14.05%, providing enough cushion for the bank to grow.

What is the retail mood on Stocktwits?

On Stocktwits, retail sentiment was 'neutral' amid 'normal' message volume.

Bank of Maharashtra's stock has risen 10% so far in 2025.

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