State Bank of India (SBI) beats estimates as it reported NII at Rs 38,068.8 crore and net profit of Rs 14,205 crore surpassing street expectations by a wide margin.
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India’s largest public lender State Bank of India (SBI) beat estimates as it reported a 68 per cent year-on-year jump in fiscal third quarter net profit to a highest ever of Rs 14,205 crore; whereas Net Interest Income (NII) jumped 24 per cent on year to Rs 38,068.8 crore. Earlier, Bloomberg had pegged NII for Oct-Dec quarter at Rs 46,946 crore, and net profit at Rs 13,196 crore. Brokerages had maintained that SBI may report loan growth of 17-19 per cent year-on-year, in line with industry growth, while deposit growth was expected to be around 10 per cent on year which would support NII improvement and margin expansion.
Prior to the results, ICICI Securities had said, “We expect SBI to deliver over 17 per cent RoE aided by growth build-up, contained credit cost and improving margin profile. Absence of treasury knock is likely to support operating profit growth.” Earlier in the previous quarter, State Bank of India (SBI) had reported its highest-ever quarterly profit after tax (PAT) of Rs 13,264.62 crore, up 74 per cent year-on-year (YoY). On Thursday, SBI stock closed 0.90% higher at Rs 532.10 apiece on NSE. Some of the key monitorables include profit and NII, deposit growth, asset quality outlook, loan book traction, slippages.
