Public sector bank State Bank of India (SBI) on Friday posted its fiscal first quarter profit at Rs 18,735.95 crore, up 148.9 per cent as against Rs 7528.25 crore during the corresponding quarter of FY23, surpassing estimates. It posted total interest earned during the quarter at Rs 1,01,460.01 crore, up 32.1 per cent in comparison to Rs 76,780.86 crore during Q1FY23. According to CNBC TV18 estimates, SBI was expected to post a profit of Rs 15,838.2 crore during the quarter.
On a standalone basis, the bank posted net profit of Rs 16,884 crores, up 178.25 per cent on-year. Operating Profit for Q1FY24 grew by 98.37 per cent YoY to Rs 25,297 crores. The Net Interest Income (NII) for Q1FY24 increased by 24.71 per cent on-year to Rs 38,905 crore. SBI’s domestic NIM for Q1FY24 increased by 24 bps on-year to 3.47 per cent.
In terms of SBI’s balance sheet, the public sector bank posted credit growth at 13.90 per cent YoY with domestic advances growing at 15.08 per cent YoY which was driven by SME advances (18.27 per cent YoY) followed by retail personal advances which grew by 16.46 per cent YoY. Foreign Offices’ advances grew at 7.44 per cent YoY. While auto loans at SBI crossed Rs 1 lakh crore, agri and corporate loans registered YoY growth of 14.84 per cent and 12.38 per cent respectively. “Whole bank deposits grew at 12.00 per cent YoY, out of which CASA deposits grew by 5.57 per cent YoY. CASA ratio stands at 42.88 per cent as on 30th June 23,” SBI said in a regulatory filing.
SBI’s asset quality during Q1FY24
SBI’s gross NPA was at Rs 91,327.84 crore during the quarter and the net NPA was at Rs 22,995.37 crore. The gross NPA ratio was at 2.76 per cent, down by 115 bps YoY. The net NPA ratio was at 0.71 per cent, down by 29 bps on-year. The provision coverage ratio (PCR) was at 74.82 per cent, down by 23 bps on-year and the slippage ratio for Q1FY24 improved by 44 bps to 0.94 per cent.
SBI’s Q1 performance across segments
SBI’s treasury operations posted a revenue of Rs 30,316.90 crore during the quarter ended June 2023 from Rs 18,404.43 crore during the year-ago quarter. Its corporate/wholesale banking segment clocked a revenue of Rs 30,099.87 crore as against Rs 19,728.26 crore during Q1 FY23. SBI’s retail banking operations brought in a revenue of Rs 48,518.72 crore from Rs 37,247.22 crore a year earlier. And finally, the insurance business posted a revenue at Rs 18,528.00 crore in comparison to Rs 15,480.96 crore during Q1FY23.