The State Bank of India (SBI), the country’s largest lender, has reported a significant growth in its profits for the March quarter. The bank’s consolidated net profit for the quarter grew by 18.18% to Rs 21,384.15 crore, up from Rs 18,093.84 crore in the same period last year.
On a standalone basis, SBI’s profit also saw a substantial increase, rising to Rs 20,698.35 crore from Rs 16,694.51 crore a year ago. The bank attributed this growth to various factors, including an increase in total income to Rs 1.28 lakh crore from Rs 1.06 lakh crore in the year-ago period.
Operating expenses for the bank grew at a slower rate, reaching Rs 30,276 crore compared to Rs 29,732 crore in the previous year. Additionally, provisions nearly halved to Rs 1,609 crore from Rs 3,315 crore in the year-ago period.
SBI also saw an improvement in its gross non-performing assets ratio, which decreased to 2.24% as of March 31, 2024, from 2.78% in the same period last year and 2.42% at the end of the December quarter.
The positive financial results have had a positive impact on SBI’s stock performance, with the bank’s scrip trading 1.81% higher at Rs 825.10 on the BSE. This growth comes despite a 1.15% correction on the benchmark index.
Overall, SBI’s strong performance in the March quarter reflects its resilience and ability to navigate challenging economic conditions, positioning it as a key player in the banking sector.