Aug 11: State Bank of India, post-merger of associate banks, announced its first quarter net profit today, with a 436 percent increase being recorded. The first quarter 2018 net profit for the banking behemoth grew to Rs 2,006 crore, well aided by a fall in provisions.
According to the banking major, the first quarter of fiscal 2018 performance is based on the merged audited numbers for June 2017. As a combined entity, the public sector lender’s net profit for April-June 2016 or first quarter of fiscal 2017, stood at Rs 374 crore. The bank aggregated the audited numbers of the erstwhile associate banks, Bharatiya Mahila Bank and itself for comparison.
The bank posted net Interest Income at a decrease of 3.51 per cent from Rs 18,246 crore in Q1 of last year to Rs 17,606 crore this corresponding quarter. Meanwhile, interest income on advances slipped from Rs 39,454 crore in Q1 last year to Rs 36,142 crore. Non-interest Income plummeted 8.62 per cent from Rs 8,761 crore in Q1 of fiscal 2017 to Rs 8,006 crore in Q1 of this year.
The bank had made provisions, for bad loans included, at a dip of 26.3 per cent to Rs 9,869 crore in April-June 2017 from Rs 13,388 crore in April-June 2016, a report stated.
It also need to be noted that gross NPAs went up to Rs 1,88,066 crore in June 2017 from Rs 1,37,662 crore in June 2016 for the merged entity, the report quoting SBI said.