Bank of Maha Q1 FY27 Earnings Call — Analysis (NSE: MAHABANK)
Bank of Maharashtra Q1FY27 net profit surges 27% YoY to ₹2,020 Cr on 27% advances growth, while NIM remains above guidance at 3.85%.
The take
Q1FY27 Net Profit ₹2,020 Cr ( +27% YoY ) .
Results
Net profit ₹2,020 Cr +27% YoY; advances growth 27% YoY (₹65,000 Cr added); deposits up 13% YoY; NIM 3.85% (-10bps YoY); Gross NPA 1.45%, NNPA 0.13%.
Financial highlights
| Metric | Value | Change | Basis |
|---|---|---|---|
| Net Profit | ₹2,020 Cr | +27% | yoy · Q1FY27 |
| Operating Profit | ₹3,117 Cr | +21% | yoy · Q1FY27 |
| Advances Growth (YoY) | 27% | +27% | yoy · Q1FY27 |
| Deposits Growth (YoY) | 13% | +13% | yoy · Q1FY27 |
| CASA Growth (YoY) | 9% | +9% | yoy · Q1FY27 |
| Net Interest Margin (NIM) | 3.85% | −10 bps | yoy · Q1FY27 |
| Gross NPA | 1.45% | +0 bps | qoq · Q1FY27 · vs Mar-26 |
| Net NPA | 0.13% | +0 bps | qoq · Q1FY27 · vs Mar-26 |
| ROA | 1.90% | +10 bps | yoy · Q1FY27 |
| ROE | 24.65% | +165 bps | yoy · Q1FY27 |
| Credit Cost | 0.99% | −20 bps | yoy · Q1FY27 |
| CET1 Ratio | 15.56% | point_in_time · Q1FY27 · end-Q1FY27 |
Guidance
Management reaffirmed all FY27 guidance: advances growth ~18%, NIM ~3.75%, credit cost <1%, GNPA <2%, cost-to-income <40%.
Key themes
Consistent profitable growth with strong asset quality and branch expansion
Operational commentary
- Opened branches at a pace of 200 per year, targeting potential growth centres; branches older than 3 years turned profitable, and new branches significantly contribute to overall growth.
- GIFT City IBU built a loan book of ₹8,200 Cr in 8-9 months, contributing 3% to overall advances growth.
- Stress in loan book reduced to 3.18% of total loans, down 140 bps YoY; SMA 1+2 improved to 1.34% despite a one-off government account (₹87 Cr) entering SMA 2, expected to regularise.
- ECLGS: disbursed ₹3,560 Cr (82% of ₹4,500 Cr sanctions) out of ₹6,700 Cr eligible portfolio; MSMEs are primary borrowers.
- Recovery at ₹709 Cr in Q1 (cash ₹490 Cr, upgrades ₹208 Cr); recovery from write-off book ₹305 Cr.
- Maharashtra debt waiver expected within FY27: eligible amount ₹3,500 Cr, govt. receivable ₹2,750 Cr, farmer contribution ₹260 Cr, max haircut ₹450-500 Cr; bank holds ₹1,700 Cr provisions and ₹1,100 Cr TWO, so potential write-back.
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