SBI Q3 profit jumps 24.5% to Rs 21,028 crore as asset quality improves

India’s largest bank by assets reported strong profit growth in the December quarter, aided by higher core income, lower provisions and improving asset quality.

State Bank of India on Saturday reported a 24.5 percent year-on-year rise in standalone net profit to Rs 21,028 crore for the December quarter of FY26, compared with Rs 16,891 crore in the same period last year.

The bank’s net interest income (NII) increased 9 percent YoY to Rs 45,190 crore, up from Rs 41,445 crore, reflecting steady growth in core lending income.

SBI reported a sequential improvement in asset quality during the quarter. Gross non-performing assets (NPAs) declined to Rs 73,636.8 crore from Rs 76,243 crore in the September quarter, while net NPAs eased to Rs 18,012 crore from Rs 18,460 crore QoQ.

The gross NPA ratio improved to 1.57 percent from 1.73 percent in the previous quarter, and the net NPA ratio declined to 0.39 percent from 0.42 percent.

Provisions for the quarter stood at Rs 4,506 crore, lower than Rs 5,400 crore in the previous quarter and sharply down from Rs 911 crore a year earlier, indicating easing credit costs.

The bank’s net interest margin (NIM) came in at 3.12 percent, compared with 3.15 percent in the year-ago period. The slippage ratio for Q3FY26 remained contained at 0.40 percent.