SBI Q1 Results: net profit zooms 178%, NII grows by 24.71%

State Bank of India, India’s largest lender, revealed its financial results for the June quarter today. The company reported a remarkable net profit of Rs 16,884 crore, a staggering 178% increase compared to Rs 6,068 crore in the same quarter last year. 

The net interest income also exhibited strong growth, rising by 25% from Rs 31,196 crore to Rs 38,905 crore in the first quarter of FY24. Additionally, the Net Interest Margins (NIMs) experienced a boost of 24 basis points, reaching 3.47% from 3.23%. 

The company’s operating profit stood at Rs 25,297 crore, showing a significant surge of 98% from Rs 12,753 crore during the corresponding quarter of the previous year. Moreover, the credit cost declined by 29 bps from 0.61% to 0.32%. 

Analyzing the asset quality, the Gross Non-Performing Assets (GNPA) ratio improved from 3.91% to 2.76%, while the Net Non-Performing Assets (NNPA) ratio also saw improvement, decreasing from 1.00% to 0.71% in the June quarter.  

Sequentially, the GNPA ratio showed a slight improvement from 2.78% in the March quarter to 2.76% in the June quarter, with a minor increase from 0.67% to 0.71% in NNPA. 

During the June quarter, the company’s gross advances grew by an impressive 13.90% YoY, reaching Rs 33,03,731 crore from Rs 29,00,636 crore.  

Furthermore, the total deposits saw a growth of 12% from Rs 40,45,696 crore to Rs 45,31,237 crore. The Current Account and Savings Account (CASA) ratio experienced a growth of 5.57%, reaching Rs 18,66,059 crore from Rs 17,67,666 crore. 

During the market trading hours, SBI declared its results, following which the stock began to decline, ultimately concluding the session at Rs 573.25. This price represented a 2.94% decrease from the previous closing price of Rs 590.60 on the BSE. 

Assessing the stock’s performance, it has shown a negative return of 3% in the past month and a 7.5% negative return in the past year. 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet, and is subject to changes. Please consult an expert before making related decisions.