State Bank of India(SBI) posts Q1 profit of Rs 2,312 crore

Mumbai: Riding on lower provisioning and improved asset quality, state-run State Bank of India(SBI) on Friday reported a net profit of Rs 2,312 crore during the first quarter ending June against a net loss of Rs 4,876 crore during same period of 2018-19.

India’s largest lender’s April-June profit was 176 per cent higher sequentially over the net profit registered during the fourth quarter of the last fiscal. In the January-March quarter, the bank reported a net profit of Rs 838.40 crore. Though the bank’s bottomline jumped substantially, its gross slippage during the quarter in consideration stood at a five-quarter high of Rs 16,212 crore, against Rs 7,961 crore in the previous quarter.

The asset quality in the June quarter was stable with gross non-performing assets (NPAs) as a percentage of gross advances flat at 7.53 per cent compared to the previous quarter, though net NPAs as a percentage of net advances inched up by 6 basis points (bps) sequentially to 3.07 per cent. The operating profit increased by 10.63 per cent over the same quarter last year. Excluding the one-off item in the first quarter of 2018-19, operating profit has increased year-on-year (YoY) by 31.89 per cent.

Net interest income (NII) during the quarter in consideration grew by 5.23 per cent YoY. Excluding the one-off item the the corresponding quarter last year, NII saw healthy growth at 5.45 per cent YoY. NII had grown 5.2 per cent year-on-year to Rs 22,938.8 crore in June quarter of 2018-19. (IANS)

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