State Bank of Hyderabad (SBH) has posted an 89% decline in its net profit for the quarter ended June to Rs 28 crore, compared with Rs 251 crore in the year-ago period.
The total provisioning stood at Rs 882 crore from Rs 461 crore. The bank said the operating profit showed a growth of 27.62% on a year-on-year basis to reach Rs 910 crore.
Santanu Mukherjee, managing director, said provisioning was made to take care of future requirements of assets under stress.
The total business of the bank stood at Rs 2,52,245 crore while its total advances increased 5.26% to Rs 1,12,451 crore.
The total deposits increased by 4.79% to Rs 1,39,794 crore. According to the bank, the net interest margin was at 3.09%.
The retail loan portfolio accounted for 57% of total advances. The MSME sector accounted for 14% and agriculture accounted for 15%, the bank said. The capital adequacy ratio improved by 70 bps to 11.81%.