SBI Reports 7% Fall In Q3 Net Profit As Provisions Rise

On Thursday, the State Bank of India (SBI) reported a 6.9% fall in its standalone net profit at Rs 5,196.22 crore for the December-ended quarter, largely driven by a marginal increase in provisions against bad loans.

For the same period a year ago, the public-sector lender clocked a net profit of Rs 5,583.4 crore.

When compared to the previous quarter, the PAT (profit after tax) was up 13.6% from Rs 4,574.2 crore reported in the September-2020 quarter.

SBI reported an operating profit of Rs 17,333.16 crore for the third quarter of the current financial year as against Rs 18,222.56 crore in the same quarter of the previous year, a 4.8% decline.

Its net interest income (NII), which is difference between interest received on loans and interest paid on deposits, was up 3.7% to Rs 28,820 crore in the December-ended quarter, as against Rs 27,778.8 crore a year ago.

SBI's gross non-performing assets (GNPA) were at Rs 1.17 trillion in the December-ended quarter when compared to Rs 1.26 trillion in the previous quarter and Rs 1.59 trillion a year ago. GNPA ratio was 4.77% when compared with 5.28% in the previous quarter and 6.94% a year ago.

The public sector bank's total provisions for the quarter were Rs 10,342.39 crore, of which provisions for NPAs were Rs 2,290.38 crore. In the year-ago period, total provisions were at Rs 7,252.9 crore, of which Rs 8,193.06 crore were earmarked for NPAs.