State Bank of India (SBI) reported 122 percent year-on-year (YoY) rise in net profit for the quarter ended March to Rs 2,814 crore on Friday which was slightly lower than CNBC-TV18 estimate of Rs2,832 crore.
The largest public sector bank reported a net profit of Rs 1,263.81 crore in the corresponding quarter of last fiscal.
The net interest income surged by 17.3 percent (YoY) to Rs 18,070.7 crore for the quarter ended March which was higher than CNBC-TV18 estimate of Rs 15,275.90 crore. SBI reported net interest income of Rs 15,401.30 crore in the year-ago period.
Asset quality improved on QoQ basis. The Gross non-performing assets (NPAs) showed slight moderation to 6.9 percent at the end of the March quarter compared with 7.23 percent reported in the previous quarter. On a year-on-year basis, gross NPAs stood at 6.5 percent.
The net non-performing assets (NPAs) stood to 3.7 percent at the end of the March quarter compared with 4.2 percent reported in the previous quarter. On a year-on-year basis, gross NPAs stood at 3.8 percent.
In accordance with RBI instruction, the Bank has made a provision of 7.5% amounting to Rs856 crores against outstanding in the long term food credit advance to a State Government.
The Provision Coverage Ratio as on March 31, 2017 was 65.95 percent.
The Central Board has declared a dividend of Rs 2.60 per share at 260 percent for the year ended March 31, 2017 including on shares issued to the shareholders of erstwhile Associate Banks after merger with SBI on April 01, 2017.Other Income for the year and quarter ended December 31, 2016 includes gain of Rs1,755 Crore on sale of 3.9 percent stake held by the bank in the subsidiary SBI Life Insurance Company Limited.