SBI's Q1 results: Net profit rises to ₹17,035cr, NPA down
The State Bank of India (SBI), India's largest lender, has reported an increase in its net profit for the first quarter of the current financial year. The bank's net profit rose by 1% to ₹17,035.16 crore. However, this figure represents a sequential decline of 17.7%. SBI also disclosed that its gross non-performing assets (NPA) ratio stood at 2.21% as of June 30, marking a slight decrease from the previous quarter, and significantly lower than the same period last year.
Decrease in gross NPAs
SBI's gross NPAs were ₹84,226.04 crore as of June 30, a slight decrease from ₹84,276.33 crore at the end of March. This figure is also lower than the ₹91,327.84 crore recorded on June 30 last year. The net NPA remained stable at 0.57% for both June and March, but showed a decrease from 2023's 0.71%. Net NPA was ₹21,554.69 crore as on June 30, compared to ₹21,051.08 crore as on March 31 and ₹22,995.37 crore as on June 30 2023.
Provision coverage ratio stands at 91.76%
The bank's Provision Coverage Ratio (PCR) with Adjusted Underwriting Credit Assessment (AUCA) stands at an impressive rate of 91.76%, with PCR alone being at a robust rate of 74.41%. The Slippage Ratio for Q1 FY25 improved by 10 basis points year-on-year, and stands at a low rate of just 0.84%. The Credit Cost for Q1 FY25 is reported to be 0.48%. These figures indicate the bank's strong financial health, and ability to cover potential losses from non-performing assets.
SBI reports 8.18% YoY increase in deposits
SBI reported an 8.18% YoY increase in deposits to ₹49.02 lakh crore during the reporting quarter, compared to ₹45.31 lakh crore in the same period a year ago. However, on a sequential basis, there was a marginal decrease of 0.29%. Under deposits, domestic Current Account Savings Account (CASA) rose by 2.59% YoY to ₹19.15 lakh crore in the April-June quarter, while domestic term deposit jumped by 12.20% YoY to ₹27.9 lakh crore.
