SBI
SBI Q2 profit shoots up by 52 pc (YoY) Rs 4,574 Cr; NII increases by 14.6 pc
New Delhi/IBNS: India's largest public sector lender SBI on Wednesday posted a strong net profit of Rs 4,574 Crores, up by 51.88 per cent Year-on-Year (YoY) in quarter ended September 30 of this fiscal.
SBI had reported a net profit of Rs 3,012 crore in the same quarter last year.
Net interest income - the difference between the revenue generated from a bank's interest-bearing assets and interest paid to the depositors- rose to 14.6 per cent (YoY) to Rs 28,181.5 crore in Q2FY21.
The bank recorded a credit growth of 6.02 per cent in the second quarter of FY21 (YoY), and a net interest margin at 3.34 percent for the period, registering an increase of 12 bps (YoY).
Total Deposits grew at 14.41 per cent (YoY), out of which Current Account Deposit grew by 8.55 per cent YoY, while Saving Bank Deposits grew by 16.28 per cent (YoY).
"Bank has delivered a strong performance in Q2FY21 with all round improvement in Profitability, Capital Adequacy and Provision Coverage Ratio, including Additional Provision over Minimum Regulatory Provisions required,"the bank said in a statement on Wednesday.
The bank's asset quality improved with Gross NPA ratio at 5.28 per cent, down 191 bps YoY and 16 bps QoQ while Net NPA ratio stood at 1.59 per cent, down 120 bps YoY and 27 bps QoQ.
Gross NPA ratio is calculated as the ratio of total gross NPA to total advances (loans) of the bank while Net NPA ratio is the ratio of Net NPA to advances.
The GNPA and NNPA would have been at 5.88 per cent and 2.08 per cent, respectively, had the bank declared the loan accounts as NPA after August 2020, in accordance with the Income Recognition and Asset Classification (IRAC) norms of the RBI, SBI said.
SBI said its slippages dropped to Rs 2,756 crore compared to Rs 3,637 crore in June quarter and Rs 8,805 crore in the same quarter last year. Slippages Ratio for Q2FY21 has declined to 0.46% from 1.57% as at the end of Q2FY20.
Here are other highlights of SBI Q2 results:
Slippages Ratio for Q2FY21 has declined to 0.46% from 1.57% as at the end of Q2FY20.
Credit Cost as at the end of Q2FY21 has declined 103 bps YoY to 0.94%.
Cost to Income Ratio has improved from 53.47% in H1FY20 to 52.61% in H1FY21, an improvement of 86 bps.
Capital Adequacy Ratio (CAR) has improved by 113 bps YoY to 14.72% as on Sep 2020.
Return on Assets (RoA) increased by 14 bps YoY to 0.43% in H1FY21 against 0.29% in H1FY20.
Share of Alternate Channels in total transactions has increased from 90% in H1FY20 to 93% in H1FY21.
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