Correct Answer : State Bank of India
State Bank of India on Saturday(5th Nov 2022) reported the highest-ever quarterly profit at ₹13,265 crore, reflecting an increase of 74% for the quarter ended September 2022, spurred by robust loan sales, higher interest income and lower provisions.
* Total income increased to ₹88,734 crore during the quarter under review from ₹77,689.09 crore a year earlier. Net interest income rose 13% to ₹35,183 crore.
* Of the total income, more than one-fourth, or ₹24,400 crore, came from investment gains, though the bank has not booked profit from government securities in which it holds an additional exposure of more than ₹3.85 lakh crore, chairman Dinesh Kumar Khara told reporters during the earnings conference at the bank's headquarters.
* As the bank nearly passed on the entire rate by the central bank to borrowers as well as depositors, its domestic net interest margin improved to 3.55% from 3.5%.
* The asset quality of the bank improved with the gross non-performing asset (NPAs) ratio crashing by 138 basis points (bps) to 3.52% from 4.9%, while net NPAs nearly halved to 0.8% of the advances from 1.52%.
* As a result, provisions for bad loans declined to ₹2,011 crore from ₹2,699 crore, the Chairman said.
* In absolute terms, gross NPAs declined by 13.8% to ₹1,06,804 crore and net NPAs by 36.5% to ₹23,572 crore.
* While the bank earned an interest income of
₹79,860 crore, up 15%, interest expenses rose
16.6% to ₹44,676 crore. Of the total income, the key net interest income rose
12.8% to
₹35,183 crore as its
NIM (Net Interest Margin) improved by
5 bps to 3.55%..
Source : The Hindu
