India's largest bank, State Bank of India (SBI) has announced its third quarter results of FY10. The bank has reported 8.4% decline in its consolidated net profit of Rs 3,304.59 crore as against Rs 3,607.61 crore in the same quarter of previous year.
Consolidated net interest income increased 9.08% to Rs 8,781.7 crore from Rs 8,050.8 on year-on-year basis (YoY).
Its standalone net profit was flat at Rs 2,479.05 crore as against Rs 2,478.42 crore and net interest income went up 9.69% to Rs 6,316.3 crore from Rs 5,758.25 crore. CNBC-TV18 poll saw the net interest income at Rs 6,075.33 crore and net profit at Rs 2,556.15 crore.
At a press conference, SBI Chairman OP Bhatt said the bank’s global credit growth grew at 19% while domestic advances were up by 17%. He, however, expected a rise in non-performing assets (NPAs) in the coming quarters. “We will continue to restructure loans going forward.”
The bank's net non-performing assets (NPAs) were up 64.2% in Q3 to Rs 11,270 crore and provision cover was at 40.24% versus 42.86% in Q2.
Net NPAs stood at 1.88% and provision coverage ratio at 56%. The bank has provided Rs 440 crore as additional provision. Deposit growth was at 11% (YoY).
“SBI has a surplus liquidity of Rs 75,000 crore,” he said. “Our credit-to-deposit ratio is at 71.4% versus 64% in the year-ago quarter.”
On retail advances, the SBI chairman said he sees an improvement in the bank’s share by 3% going forward.
SBI’s current-account-savings-account (CASA) improved by 6.36%, he said. The bank hired 27,000 employees in the last 12 months and has made additional provision for salary increases, he added.
SBI's other income increased to Rs 3,365.71 crore from Rs 3225.6 crore and provisions went up to Rs 856.61 crore versus Rs 196.83 crore.
Shares in SBI closed at Rs 2,093.35, up Rs 3.15, or 0.15% over previous closing price. The market cap stood at Rs 132,902.65 crore.
Source: CNBC-TV18Courtesy moneycontrol.com
Also check
Posts
No comments:
Post a Comment