India's Bank of Maharashtra targets high profit growth amid NPAs

50 percent net profit growth.

For Bank of Maharashtra, this is the minimum of what it intends to achieve in the current financial year.

"We are targeting a minimum 50 percent growth in net profit (in 2012-13). There will be substantial growth in the profit, we have already reached Rs 306 crore by September 30, 2012," said Bank of Maharashtra Chairman and Managing Director Narendra Singh.

The bank had posted net profit of Rs 430 crore in the previous fiscal ended March 31, 2012.

However, non-performing assets remain a concern for the bank.

Bank's gross NPAs were 2 per cent of loan assets as on September 30, 2012, against 2.15 per cent during the same period a year ago.

Agriculture and small and medium enterprises are the main sectors that have contributed towards NPAs.

Both the sectors have 35 per cent contribution (each) to the NPAs.

He also said the bank has requested Finance Minister P Chidambaram for an additional capital infusion of about Rs 800 crore this fiscal.

Chidamabaram in a meeting with PSU bank chiefs here last week had said Rs 15,000 crore additional capital would be infused into the banking system in the current fiscal.

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