Mumbai, Aug 4: The country’s largest lender SBI on Wednesday reported a 55.25 per cent jump in standalone profit after tax at Rs 6,504 crore for the quarter ended June, helped by lower provisioning for bad loans and higher non-interest income.
The lender’s standalone profit after tax stood at Rs 4,189 crore in the same quarter of the previous fiscal. On a consolidated basis, the profit after tax stood at Rs 7,539.22 crore, as against Rs 5,203.49 crore in the year-ago quarter.
“The bank has done well on most of the parameters. As far as the net profit is concerned, the number was around Rs 6,500 crore which is an increase of 55.25 per cent on a y-o-y basis and is the highest quarterly profit posted by the bank ever since the year 2008.
“In respect of asset quality also, I am satisfied with the outcome,” SBI Chairman Dinesh Khara told reporters.
Net interest income (NII) grew by 3.74 per cent to Rs 27,638 crore as against Rs 26,642 crore in Q1 FY21.
Non-interest income rose by 24.28 per cent to Rs 11,803 crore from Rs 9,497 crore. Domestic net interest margin declined by 9 basis points to 3.15 per cent from 3.24 per cent.
Gross non-performing assets (GNPA) improved to 5.32 per cent from 5.44 per cent. Net NPA also declined to 1.77 per cent from 1.86 per cent.
Fresh slippages in the quarter stood at Rs 15,666 crore.
“Slippages have come on account of the lockdowns. I think once the economic activity comes back, we will also be in a position to pull back the slippages,” he said. Khara said slippages came in from the small and medium enterprises (SMEs) and the home loan segments.