August 3, 2024
New Delhi, India
Q1 Results
State Bank of India (SBI), the country’s largest lender, reported a marginal increase of around 1% in its net profit for Q1 of the current financial year, amounting to Rs 17,035.16 crore. This follows a sequential decline of 17.7% in net profit.
Asset Quality:
1. Gross and Net NPA: The gross non-performing assets (NPA) ratio stood at 2.21% as of June 30, compared to 2.24% on March 31 and 2.76% on June 30, 2023. Net NPA was steady at 0.57% as of June 30, unchanged from March 31, but down from 0.71% a year ago. In absolute terms, gross NPAs were Rs 84,226.04 crore as of June 30, down slightly from Rs 84,276.33 crore on March 31 and Rs 91,327.84 crore a year earlier. Net NPAs stood at Rs 21,554.69 crore as of June 30, compared to Rs 21,051.08 crore on March 31 and Rs 22,995.37 crore a year ago.
2. Provision Coverage Ratio (PCR): The PCR, with AUCA, was 91.76%, while the standard PCR was 74.41%. The slippage ratio for Q1FY25 improved by 10 basis points (bps) year-on-year to 0.84%. Credit cost for the quarter was 0.48%.
Deposits:
1. Deposit Growth: Deposits increased by 8.18% year-on-year to Rs 49.02 lakh crore in the reporting quarter, up from Rs 45.31 lakh crore a year ago. However, on a sequential basis, deposits fell marginally by 0.29%.
2. CASA Deposits: Domestic CASA deposits rose by 2.59% year-on-year to Rs 19.15 lakh crore. Domestic term deposits increased by 12.20% year-on-year to Rs 27.9 lakh crore. The CASA ratio fell by 218 bps year-on-year and 41 bps sequentially, standing at 40.70% as of June 30, compared to 41.11% on March 31 and 42.88% a year earlier.
Advances:
1. Growth in Advances: Gross advances grew by 15.39% year-on-year to Rs 38.12 lakh crore in the April-June quarter. Sequentially, gross advances grew by 1.18%. Domestic advances growth was driven by SME advances (19.87% year-on-year) and agriculture advances (17.06% year-on-year).
2. Corporate and Retail Advances: Domestic corporate advances rose to Rs 11.39 lakh crore in the June quarter, slightly up from Rs 11.38 lakh crore in the previous quarter and Rs 9.82 lakh crore a year ago. Domestic retail personal advances increased by 13.60% year-on-year to Rs 13.68 lakh crore.
NII and NIM:
1. Net Interest Income: Net interest income (NII) for the April-June quarter rose by 5.71% year-on-year to Rs 41,125 crore, up from Rs 38,905 crore a year ago.
2. Net Interest Margins: The net interest margin (NIM) for the entire bank fell by 11 bps year-on-year to 3.22% as of June 30, down from 3.33% a year earlier. Domestic NIM also fell by 12 bps to 3.35% in the April-June quarter, down from 3.47% a year ago.
Capital Adequacy Ratio (CAR): The CAR at the end of Q1FY25 was 13.86%.
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