Bank of Maharashtra top performer in terms of loan growth, among PSU banks

According to a review of the most recent financial data of public sector banks, the Bank of Maharashtra (BoM) has emerged as the best performer among state-owned lenders in terms of loan growth percentage during the third quarter of 2022–23.

According to the public sector bank (PSB)'s most recent quarterly figures, the lender saw year-over-year growth in gross advances of 21.67%.

Notwithstanding COVID-19 challenges, the bank has consistently held the top spot in credit growth in percentage terms for the past 10 quarters.

Union Bank of India, which experienced growth of 19.80%, came in second to BoM. The largest lender in the nation, State Bank of India (SBI), took fourth place with a 16.91% increase in advances.

In absolute terms, SBI's total loans were roughly 17 times larger at Rs26,47,205 crore than BoM's were at Rs1,56,962 crore.

BoM has seen the biggest annual growth in Retail-Agriculture-MSME (RAM) loans, with a 19.18% increase, followed by Punjab & Sind Bank with a 19.07% increase and Bank of Baroda with an 18.85% increase.

According to the public sector lenders' quarterly financial reports, BoM and SBI were in the bottom quartile in terms of gross non-performing assets (NPAs) and net NPAs.

As of December 31, 2022, the gross non-performing assets (NPAs) recorded by BoM and SBI were 2.94% and 3.144% of their respective total advances, respectively. These two banks' net NPAs decreased to 0.47 % and 0.77 %, respectively.

As of December 31, 2022, BoM had the highest capital adequacy ratio among PSBs at 17.53%, followed by Canara Bank (16.72%) and Indian Bank (15.74%).

Bank of Baroda achieved the top spot in terms of deposit growth with 14.50% growth, followed by Union Bank of India with 13.48% growth on an annual basis.

According to the data, BoM ranked third among PSBs in terms of overall deposit growth during the third quarter.

Union Bank of India had the greatest increase of 16.07% in the third quarter in terms of overall business growth. BoM came in second with a growth of 15.77% on an annual basis, and Bank of Baroda took third with a rise of 15.23%.

For the third quarter that concluded in December 2022, PSBs reported a strong profit rise of 65% at Rs29,175 crore, with Bank of Maharashtra (BoM) finishing as the top performer in terms of profit growth percentage.

According to the lender's quarterly reports, it saw a 139% increase in profit at the end of December 2022, at Rs775 crore.

BoM was followed by UCO Bank of Kolkata, which reported a profit of Rs653 crore, an increase of 110% over its results for the third quarter of the prior fiscal.

For feedback and suggestions, write to us at editorial@iifl.com