Johnson Cherian.
The country’s largest lender SBI on Friday posted multi-fold jump in consolidated net profit at ₹ 1,840.43 crore for the second quarter ended on September 30, boosted by sale of its stake in SBI Life Insurance.
Its profit was just ₹ 20.70 crore during the same quarter of the last financial year.
On standalone basis, SBI’s profit declined by 37.9 per cent to ₹ 1,581.55 crore, from ₹ 2,538.32 crore on account of rise in bad loans.
Total income on standalone basis increased to ₹ 65,429.63 crore in July-September 2017 against ₹ 50,742.9 crore in the same period a year ago, State Bank India said in a filing to stock exchanges.
As of September 30, the bank’s gross NPAs deteriorated to 9.83 per cent of gross advances, compared with 7.14 per cent year a year ago. Similarly, the net NPAs rose to 5.43 per cent from 4.19 per cent.
Provisioning for non-performing assets (NPAs) or bad loans by the bank more than doubled to ₹ 16,715.20 crore during the quarter under review, as against ₹ 7,669.66 crore in the same period of last financial year.
In absolute terms, its gross NPAs rose to ₹1,86,114.60 crore, from ₹ 1,05,782.96 crore at the second quarter of the previous fiscal. Net NPAs increased to ₹97,896.29 crore as against ₹ 60,013.45 crore.
Total income on consolidated basis rose to ₹ 74,948.52 crore during the second quarter of the current fiscal, from ₹ 72,918.4 crore in the same period of 2016-17.
SBI mopped up about ₹ 8,400 crore by diluting its stake in SBI Life Insurance through initial public offer during the September quarter.
Stock up 7 per cent
Shares of SBI on Friday surged 7 per cent after the company posted multi-fold jump in consolidated net profit for the second quarter ended on September 30.
The stock soared 6.99 per cent to Rs 335.70 on BSE. At NSE, shares of the company jumped 6.71 per cent to Rs 334.75.
The stock was the top performer among the bluechips on both the indices during afternoon trade.
