Financial Services · NSE: MAHABANK
Bank of Maharashtra
Q2 FY27 earnings call · Guided by management
Call held 26 Oct 2026 · Read the filing on NSEFiling
- M.Cap
- ₹70,601Cr
- P/E
- 8.8×
- 1Y return
- +59.44%
- From 52W high
- −2.9%
Highlights are read by AI from the company's filing and can contain mistakes. Check the source page linked to each line.
Share price
Results Q2 FY27, as filed · consolidated · ₹ Cr
| Q2 FY27 | Q2 FY26 | YoY | Q1 FY27 | QoQ | |
|---|---|---|---|---|---|
| Interest earned | 8,606 | 7,128 | +20.7% | 8,035 | +7.1% |
| Net interest income | 3,955 | 3,248 | +21.8% | 3,770 | +4.9% |
| Operating profit | 3,369 | 2,575 | +30.9% | 3,118 | +8.1% |
| Net profit | 2,136 | 1,669 | +28.0% | 2,023 | +5.6% |
| EPS (₹) | 2.78 | 2.17 | +28.1% | 2.63 | +5.7% |
From the company's own results filing on NSE. Net profit is the owners' share. Growth and the dotted lines are worked out from the filed figures.
Guidance
Management says each guidance number set for the year has been met
Nidhu Saxena · Managing Director and Chief Executive Officer · p. 3
Management says each guidance number set for the year has been met
“And I'm happy to share that each one of those guidance numbers have been met, and this is getting consistently met also is one good feature.”
More figures from the call
“So we have a book of almost INR21,500 crores of write-off book. We have targeted annually for the next 4 to 5 years to recover something like 1,300 crores to INR1,500 crores annually.”
“The capital adequacy is also maintained at the healthy level and above our guidance number. CET1 is 15.61% and CRAR stands at 18.51%.”
“Sectors where we have taken exposure and where these proposals of INR23,000 crores lie are mostly infra -- within infra, infra power, around 18%, infra road, HAM projects of NHAI and 12%, renewable energy, 10%, and metal and other space, 10%.”
“And we decided to do around $1.5 billion. I can tell you that we did $1.65 billion, putting FCNR (B) and OFCB together.”
“So agri will attract the lowest rate. MSME will be priced a little higher, 50 bps or so.”
“Around 50% has been concluded, I would say. The rest 50% will be seen in due course.”
In short
- 01Management said every guidance number set for the year has been met.
- 02Domestic credit grew 23% against a guidance of 18%; management expects to stay above 18%.
- 03Net profit grew 41% and operating profit 31%; ROE reached 26.98%, ROA 2.02%, NIM 3.97%.
- 04GNPA fell to 1.25% and NNPA to 0.12%, with provision coverage at 98.53%.
- 05ECL need assessed at Rs 2,500 crore over 4 years; Rs 750 crore already provided, covering FY27-28.
- 06Write-off recovery targeted at Rs 1,300-1,500 crore a year for the next 4 to 5 years.
- 07Rs 1,200 crore of the Maharashtra debt waiver received; state indicated 31 March 2027 for the rest.
- 08Credit pipeline of Rs 23,000 crore, with Rs 10,000 crore expected to be disbursed by March 2027.
Segments
Large credit: Large credit grew Rs 36,000 crore; Rs 18,000 crore of it in the GIFT City IBU branch
Nidhu Saxena · Managing Director and Chief Executive Officer · p. 3
Large credit: Large credit grew Rs 36,000 crore; Rs 18,000 crore of it in the GIFT City IBU branch
“So INR36,000 crores of large credit has grown Y-o-Y. And as I just said, 50%, INR18,000 crores of this has happened in the GIFT City IBU branch of the bank.”
Agriculture: Agriculture book grew Rs 11,000 crore, or 34%, year-on-year
Nidhu Saxena · Managing Director and Chief Executive Officer · Q&A · p. 11
Agriculture: Agriculture book grew Rs 11,000 crore, or 34%, year-on-year
“So INR11,000 crores actually has grown year-on-year in the agriculture book, which is translating to 34%”
Agriculture: Agri gold loans grew from Rs 6,500 crore to Rs 18,600 crore in a year
Nidhu Saxena · Managing Director and Chief Executive Officer · Q&A · p. 11
Agriculture: Agri gold loans grew from Rs 6,500 crore to Rs 18,600 crore in a year
“agri gold loan, INR6,500 crores was the number in September '25, has grown to INR18,600 crores in September '26.”
Retail: Retail gold book fell as customers moved to priority sector buckets
Nidhu Saxena · Managing Director and Chief Executive Officer · Q&A · p. 11
Retail: Retail gold book fell as customers moved to priority sector buckets
“They have not customers who have left the bank, but they have moved from retail to other priority sector eligible buckets.”
Gold loans: Total gold loans Rs 33,000 crore; MSME gold loans about Rs 2,000 crore
Management · Q&A · p. 12
Gold loans: Total gold loans Rs 33,000 crore; MSME gold loans about Rs 2,000 crore
“So the total gold loan outstanding is INR33,000 crores and MSME gold loan outstanding is around INR2,000 crores.”
Margins and costs
Cost of deposits at 4.38% and cost of funds at 4.07%, both lower year-on-year
Nidhu Saxena · Managing Director and Chief Executive Officer · p. 4
Cost of deposits at 4.38% and cost of funds at 4.07%, both lower year-on-year
“So cost of deposits also has reduced for the bank year-on-year by 4 basis points, stands at 4.38%. Likewise, cost of funds overall have reduction -- shown reduction of 25 basis points. It stands at 4.07%.”
NIM rose 12 basis points to 3.97%; ROA rose 20 basis points to 2.02%
Nidhu Saxena · Managing Director and Chief Executive Officer · p. 4
NIM rose 12 basis points to 3.97%; ROA rose 20 basis points to 2.02%
“NIM has improved by 12 basis points to 3.97%. And the ROA has improved by 20 basis points to 2.02%.”
NPA provisions fell from Rs 580 crore to Rs 120 crore; high coverage cited
Nidhu Saxena · Managing Director and Chief Executive Officer · Q&A · p. 5
NPA provisions fell from Rs 580 crore to Rs 120 crore; high coverage cited
“So INR580 crores has come down to INR120 crores. So there are 2 broad reasons around this. One is that with the high provision coverage ratio, we are maintaining of 98.5% plus.”
Standard asset provisions of Rs 603 crore include Rs 500 crore ECL provisioning
Nidhu Saxena · Managing Director and Chief Executive Officer · Q&A · p. 5
Standard asset provisions of Rs 603 crore include Rs 500 crore ECL provisioning
“This year was INR603 crores. So this is on account of ECL provisioning that we have done of INR500 crores.”
Rs 750 crore of ECL provisioning already done (Rs 250 crore earlier plus Rs 500 crore)
Nidhu Saxena · Managing Director and Chief Executive Officer · Q&A · p. 5
Rs 750 crore of ECL provisioning already done (Rs 250 crore earlier plus Rs 500 crore)
“But assuming INR2,500 crores, today with INR250 crores plus INR500 crores in this quarter, INR750 crores of ECL provisioning that we have already done”
Debt and working capital
Deposits grew 19% excluding FCNR (B); CASA grew 12% year-on-year
Nidhu Saxena · Managing Director and Chief Executive Officer · p. 3
Deposits grew 19% excluding FCNR (B); CASA grew 12% year-on-year
“So even if we exclude the FCNR (B), the deposit growth has happened at the Y-o-Y rate of 19% within which CASA has grown in the bank at 12% Y-o-Y”
Domestic credit grew 23% and deposits grew 22% year-on-year
Nidhu Saxena · Managing Director and Chief Executive Officer · p. 3
Domestic credit grew 23% and deposits grew 22% year-on-year
“As against the domestic credit growth of 23%, the deposits have also grown healthy 22% Y-o-”
Refinance book of Rs 18,300 crore outstanding at 6% to 6.5%
Nidhu Saxena · Managing Director and Chief Executive Officer · p. 4
Refinance book of Rs 18,300 crore outstanding at 6% to 6.5%
“Today, in the bank, we have an outstanding of INR18,300 crores of refinance book, which is between 6% to 6.5%.”
Infra bonds raised last year: Rs 2,400 crore outstanding
Nidhu Saxena · Managing Director and Chief Executive Officer · p. 4
Infra bonds raised last year: Rs 2,400 crore outstanding
“Likewise, infra bond raises, which happened in the last FY, outstanding is INR2,400 crores.”
LCR at 123% and NSFR at 127%
Nidhu Saxena · Managing Director and Chief Executive Officer · p. 4
LCR at 123% and NSFR at 127%
“The LCR is standing at 123% and NSFR at 127%.”
Fund raising
IBU: FCNR mobilisation of $820 million; IBU leverage from it $560 million
Nidhu Saxena · Managing Director and Chief Executive Officer · Q&A · p. 6
IBU: FCNR mobilisation of $820 million; IBU leverage from it $560 million
“First, we had a mobilization of $820 million and $760 million was IBU loan where the leverage from the IBU is $560 million only.”
First foreign bond issue under MTN programme subscribed 3 times
Nidhu Saxena · Managing Director and Chief Executive Officer · Q&A · p. 8
First foreign bond issue under MTN programme subscribed 3 times
“it was the first ever foreign bond issuance for the bank, and we got 3x the issue size as subscription from the investors.”
Acquisitions and new business
Gold loans: New MSME gold loan product introduced after RBI guideline change
Nidhu Saxena · Managing Director and Chief Executive Officer · Q&A · p. 11
Gold loans: New MSME gold loan product introduced after RBI guideline change
“But after the RBI guideline, we immediately introduced a new MSME gold loan product.”
Management
Employee strength rose to 17,500 from 13,000 two years back
Nidhu Saxena · Managing Director and Chief Executive Officer · Q&A · p. 13
Employee strength rose to 17,500 from 13,000 two years back
“If I have to give you a number, 2 years back, we were 13,000 in terms of the employee strength. But for this manning the initial positions, the new branches, but now the number is standing at 17,500.”
Specialist hiring in treasury, IBU and IT
Nidhu Saxena · Managing Director and Chief Executive Officer · Q&A · p. 13
Specialist hiring in treasury, IBU and IT
“So we have gone for a lot of recruitments in these kind of specialized skill sets, treasury, IBU and IT as well.”
One-offs
Debt waiver write-off recovery added 2 to 3 bps to NIM
Nidhu Saxena · Managing Director and Chief Executive Officer · Q&A · p. 9
Debt waiver write-off recovery added 2 to 3 bps to NIM
“So of 2, 3 bps, which has come as contribution to our NIM.”
Agriculture: About Rs 1,200 crore of debt waiver received; Rs 422 crore was write-off recovery
Nidhu Saxena · Managing Director and Chief Executive Officer · Q&A · p. 14
Agriculture: About Rs 1,200 crore of debt waiver received; Rs 422 crore was write-off recovery
“we have received around INR1,200 crores, wherein the write-off recovery is INR422 crores.”
Agriculture: Debt waiver recovery on NPA side was Rs 465 crore
Nidhu Saxena · Managing Director and Chief Executive Officer · Q&A · p. 14
Agriculture: Debt waiver recovery on NPA side was Rs 465 crore
“The recovery in the NPA side has been INR465 crores.”
Agriculture: Further Rs 115 crore of debt waiver received on 1 October
Nidhu Saxena · Managing Director and Chief Executive Officer · Q&A · p. 18
Agriculture: Further Rs 115 crore of debt waiver received on 1 October
“So out of that INR1,500 crores that we are just discussing, on 1st October, INR115 crores is received by the bank.”
Agriculture: Management expects some extra write-off and overall recovery from the debt waiver this FY
Nidhu Saxena · Managing Director and Chief Executive Officer · Q&A · p. 18
Agriculture: Management expects some extra write-off and overall recovery from the debt waiver this FY
“I think we'll see some extra outcome, extra recovery in the write-off book also and the overall recovery also out of this debt waiver event.”
Risks
GNPA fell 47 basis points to 1.25%
Nidhu Saxena · Managing Director and Chief Executive Officer · p. 3
GNPA fell 47 basis points to 1.25%
“GNPA also has improved. It has reduced by 47 basis points and GNPA stands at 1.25%.”
NNPA at 0.12% and provision coverage ratio at 98.53%
Nidhu Saxena · Managing Director and Chief Executive Officer · p. 3
NNPA at 0.12% and provision coverage ratio at 98.53%
“NNPA for the bank is at 0.12%. Provision coverage ratio is at a healthy level of 98.53%.”
Stressed book fell from 4.93% to 3.26%; SMA 1 and 2 at 1.37%
Nidhu Saxena · Managing Director and Chief Executive Officer · p. 4
Stressed book fell from 4.93% to 3.26%; SMA 1 and 2 at 1.37%
“It has also reduced overall 167 bps year-on-year from 4.93% to 3.26%, within which the SMA 1 and 2 portfolio is also shown a reduction of 50 basis points, and it stands at 1.37%.”
Total ECL provisioning need assessed at Rs 2,500 crore over 4 years
Nidhu Saxena · Managing Director and Chief Executive Officer · Q&A · p. 5
Total ECL provisioning need assessed at Rs 2,500 crore over 4 years
“Our total assessment was that INR2,500 crores is our ECL provisioning to be done in 4 years.”
ECL requirement under validation and may go down
Nidhu Saxena · Managing Director and Chief Executive Officer · Q&A · p. 5
ECL requirement under validation and may go down
“Yes, we have put some system in place and validation is going on. Maybe this number appears to even go down.”
Other
Business grew 25% and advances grew 30% year-on-year as of September 2026
Nidhu Saxena · Managing Director and Chief Executive Officer · p. 3
Business grew 25% and advances grew 30% year-on-year as of September 2026
“The business for this September '26 has grown by 25%, within which advances have grown at the rate of 30% Y-o-Y.”
Credit growth excluding IBU was 23% year-on-year
Nidhu Saxena · Managing Director and Chief Executive Officer · p. 3
Credit growth excluding IBU was 23% year-on-year
“A large contribution -- significant contribution has come from the IBU and minus the IBU, also, the credit growth in the bank Y-o-Y has been healthy 23%.”
Operating profit grew 31% and net profit grew 41% year-on-year
Nidhu Saxena · Managing Director and Chief Executive Officer · p. 4
Operating profit grew 31% and net profit grew 41% year-on-year
“Operating profit has shown a growth of 31% Y-o-Y, while the net profit has grown year-on-year 41%.”
ROE improved 440 basis points to 26.98%
Nidhu Saxena · Managing Director and Chief Executive Officer · p. 4
ROE improved 440 basis points to 26.98%
“ROE has improved by 440 basis points and has reached 27%, 26.98%, to be precise.”
Business crossed Rs 7 lakh crore for the first time
₹7,00,000CrNidhu Saxena · Managing Director and Chief Executive Officer · Q&A · p. 5
Business crossed Rs 7 lakh crore for the first time
₹7,00,000Cr“Let me confirm that, yes, business for the bank crossed INR7 lakh crores for the first time.”
Sources
- Earnings call transcript, Q2 FY27 Filed 29 Oct 2026 · 20 pages
Management's own statements, quoted from its NSE filings. This page was read by AI and can contain mistakes: check the source pages before relying on any figure. No forecast or opinion of ours. Not investment advice.