Bank of Maharashtra on Thursday reported a 115.19% year-on-year bounce in its web revenue to Rs 355 crore for the March quarter. The web curiosity margin (NIM) improved to three.17% from 3.11% whereas the web curiosity revenue grew 16.56% to Rs 1,612 crore. Gross NPAs declined to three.94% from 7.23% final 12 months. Net NPAs get diminished to 0.97% from 2.48%.
AS Rajeev, managing director and CEO, mentioned the expansion in revenue was on account of the expansion in NII. The financial institution was in a position to report greater revenue regardless of discount within the revenue on sale of investments. In the final eight to 10 quarters, the financial institution’s NII progress charge had been round 15-20%, he mentioned.
In addition, there was discount in working prices, together with worker and pension prices. The financial institution had been in a position to management working prices and the price to revenue ratio was contained to 44.76%. Higher CASA base was additionally enhancing profitability, Rajeev mentioned. BoM’s CASA touched 57.85 % as a share of whole deposits. There was an total enchancment within the asset high quality whereas provisioning for dangerous loans and contingencies was all the way down to Rs 824 crore, in contrast with Rs 1,376 crore within the year-ago interval.
During This autumn, the financial institution reported progress in all of the enterprise segments, together with an 18.66% progress in retail, agriculture and MSME loans. The company mortgage phase too picked up. These led to a 26% progress in advances to Rs 1,35,240 crore. Total deposits grew 16.26% to Rs 2,02,294 crore.
The financial institution’s board on Thursday authorised plans to lift Rs 5,000 crore in FY23 to fund progress. This could be via follow-on public provide, rights concern, certified institutional placement, preferential concern or some other mode or mixture thereof or via concern of Basel III compliant bonds.
The financial institution doesn’t foresee any hostile influence of rate of interest hikes on progress. Advances are anticipated to develop at 16-18% whereas deposit progress could be within the 12-15% vary.
Source: www.financialexpress.com”