SBI, the country’s largest lender, on Friday posted a multifold 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 in 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.
The 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 non-performing assets (NPA) 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 NPAs or bad loans more than doubled to ₹ 16,715.20 crore in the quarter under review, 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, against ₹ 60,013.45 crore.
The total income on consolidated basis rose to ₹ 74,948.52 crore in the second quarter of the current fiscal, from ₹ 72,918.4 crore in the same period of 2016-17.
The bank 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 the bank on Friday surged 7 per cent after the company posted multifold 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, the shares jumped 6.71 per cent to Rs 334.75.
The stock was the top performer among the bluechips on both the indices in afternoon trade.
