BML records MVR 631M net profit in 2026 Q1, a 27% increase compared to 2025

Bank of Maldives (BML) has reported a strong set of results for the first quarter of 2026, reflecting continued financial resilience following two consecutive years of record performance. The Bank ended 2025 as the most successful year in its 43-year history, with this momentum extending into the new financial year.

Strong profit growth

The Bank recorded operating profit of MVR 879 million and net profit after tax of MVR 631 million for Q1 2026, marking a 27 percent increase compared to the same period last year. The growth was attributed to strengthened core banking performance and improved asset quality.

Revenue and efficiency gains

Total revenue for the quarter stood at MVR 1.24 billion, supported by steady growth in net interest income, which reached MVR 796 million, and fee and commission income of MVR 332 million.

Operational efficiency also improved, with the cost-to-income ratio strengthening to 24 percent from 25 percent a year earlier. The Bank stated that credit provisioning remains prudently managed in line with IFRS 9 standards.

Balance sheet expansion

The Bank’s balance sheet expanded significantly during the quarter, with total assets reaching MVR 60.6 billion—an increase of approximately MVR 4.8 billion from Q4 2025. This marks the first time in the Bank’s history that its asset base has exceeded MVR 60 billion.

Customer deposits rose to MVR 40.7 billion, while the loan portfolio expanded to MVR 27.6 billion, driven by lending to both individuals and businesses.

Capital strength

BML maintained a strong capital adequacy ratio throughout the period, reinforcing its financial stability and regulatory compliance while supporting long-term growth.

Foreign exchange activity and external pressures

During Q1 2026, the Bank facilitated USD 106.2 million in foreign currency sales to support imports of food, essential goods, and commercial requirements. This represents a monthly average of over USD 35.4 million, a 142 percent increase compared to the previous year.

Foreign exchange support was also provided for approximately 32,000 outward remittances during the quarter. In addition, USD 119.9 million was processed through credit and debit card transactions, bringing total USD-related outflows in Q1 to over USD 226 million.

The Bank noted emerging external pressures following the onset of Middle East conflict on February 28, including increased travel cancellations and reduced tourist spending. Net foreign currency inflows from cards declined by around one-third in April, while outflows for imports and external services doubled.

Liquidity management and continued support

Despite these pressures, BML stated that it has maintained foreign currency liquidity and continues to support businesses and individuals. In the first 15 days of April alone, over USD 25 million was allocated for essential imports, more than double the amount during the same period last year.

Card-based foreign spending also rose to USD 22 million during the same period. The Bank indicated that temporary adjustments to foreign currency sales may be implemented if external pressures persist.

Sectoral financing and lending growth

The Bank continued engagement with key economic sectors including tourism, construction, and fisheries, providing working capital and financing support.

In Q1 2026, BML disbursed MVR 4.6 billion in new loans, with an additional MVR 488 million issued in early April, bringing total lending for the year to over MVR 5 billion. This equals half of total lending recorded in 2025.

Network expansion

In April 2026, the Bank expanded its physical presence with the opening of six new branches across multiple islands and the deployment of 90 ATMs across 70 islands. The expansion was inaugurated at a ceremony attended by President Mohamed Muizzu, where the ATM rollout was launched simultaneously nationwide.

The Bank’s network now comprises 253 MVR ATMs and 86 USD ATMs.

Market capitalization surge

Following a bonus share issuance and share split approved at the latest Annual General Meeting, the Bank’s market capitalization increased significantly, rising from MVR 3.6 billion to MVR 28.2 billion at the end of Q1 2026.

Outlook

Overall, the Bank stated that its first-quarter performance reflects strong fundamentals, continued balance sheet expansion, and sustained profitability driven by core banking operations.