The bank is also accelerating its foray into international operations through its IFSC Banking Unit (IBU) at GIFT City, which became operational in September 2025. In just a few months, the unit has built a business of approximately Rs 3,500 crore 

Bank of Maharashtra continued its impressive growth trajectory in the third quarter of FY26, clocking a healthy 20% year-on-year increase in advances, even as its Managing Director & CEO, Nidhu Saxena, chose to retain the bank's original guidance of 17-20% loan growth for the full year. We remain very mindful of which sectors we are raising our exposures in," he stated, noting that the guided 17% growth remains ambitious compared to the industry's expected single-digit or 8-10% credit expansion. He highlighted a strong pipeline, with Rs 55,000 crore in sanctions already processed and Rs 33,000 crore yet to be disbursed, including Rs 8,000 crore targeted for the current quarter.

The bank is also accelerating its foray into international operations through its IFSC Banking Unit (IBU) at GIFT City, which became operational in September 2025. In just a few months, the unit has built a business of approximately Rs 3,500 crore (equivalent to about $400 million), with ambitions to reach $1 billion (around ₹10,000 crore) in the first 12 months. This marks the bank's first venture into overseas business after nearly 90 years, contributing to a global balance sheet and supporting sustained high double-digit growth.

Adding to the momentum is the bank's ambitious "Project 321", under which it plans to open 321 new branches in a scientifically planned manner over the next 18 months, identifying locations down to the pin-code level. On the liabilities side, Saxena expressed confidence in achieving the guided 14% deposit growth for the year. The bank has already delivered 15% year-on-year deposit growth in the recent period, with a strong focus on low-cost CASA (Current and Savings Accounts) deposits, which grew at 16%. A dedicated vertical targeting institutional CASA, offering tailored products and tech-based solutions, has helped secure stable, core funding without heavy reliance on high-cost bulk deposits.

Regarding Net Interest Margin (NIM), the bank reported a robust 3.87% in Q3, surpassing the previous quarter's 3.85% and comfortably above the full-year guidance of 3.75%. Saxena attributed the conservative guidance to the anticipated impact of rate cuts by the RBI (including the recent 125 basis points reduction), with around 40% of the loan portfolio linked to the repo rate and immediate transmission of rate benefits to borrowers. Deposits re-price with a lag, prompting the bank to maintain prudence. He indicated that even with potential further cuts (25-50 bps), NIM is likely to stay above the guided level.

Asset quality remained a highlight, with the bank achieving some of the best metrics in the industry. Gross NPA improved to 1.6% (well below the guided <2%), Net NPA stood at 0.15% (below the <0.25% target), and Provision Coverage Ratio (PCR) was a strong 98.4%. Saxena pointed to significant recovery potential from a Rs 20,000 crore technical write-off book, with the bank targeting Rs 1,200-1,500 crore in annual recoveries. Last year saw Rs 1,375 crore recovered, and the bank has already crossed Rs 1,000 crore in the current year by Q3, with upside flowing directly to operating profit.

Overall, Bank of Maharashtra's Q3 results — which included a 26-27% rise in net profit to Rs 1,779 crore — underscored its strong execution, balanced growth, and prudent risk management. Saxena reiterated the bank's commitment to outperforming guidance while prioritizing sustainable and risk-calibrated expansion in the evolving interest rate environment.