|
State Bank of India has reported 8% growth in net profit at Rs 14330.02 crore
for the quarter ended September 2023 (Q2FY2024). The bank has posted 12% growth
in net interest income (NII), while the core fee income of the bank also
improved 10% in Q2FY2024. The Net Interest Margin (NIM) of the bank improved to
3.29% in Q2FY2024 compared to 3.17% in the corresponding quarter of previous
year.
On
business front, the bank as has posted 12% growth in business with 12% increase
in loan book. The asset quality of the bank has continued to improve in
Q2FY2024. Bank has improved the credit to deposit ratio to 72.7% at end
September 2023 from 72.4% at end September 2022. The CASA ratio of the bank has
declined to 40.2% at end September 2023 from 42.9% at end September 2022.
Asset
quality improves: The bank has maintained stable asset quality in Q2FY2024.
The fresh
slippages of loans stood at Rs 4081 crore in Q2FY2024 compared with 7872 crore
in previous quarter and Rs 2441 crore in the corresponding quarter last year.
The
recoveries of NPAs stood at Rs 4015 crore and upgradations at Rs 4420 crore in
Q2FY2024.
The
standard restructured loan book of the bank stood at Rs 20854 crore end
September 2023 compared to Rs 22666 crore a quarter ago.
Provision
coverage ratio was steady at 91.93% at end September 2023 compared to 91.41% a
quarter ago and 91.54% a year ago.
The
capital adequacy ratio of the bank stood at 14.3% with Tier I ratio at 11.8% at
end September 2023.
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Asset Quality Indicators: State Bank of India
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|
|
Sep/23
|
Jun/23
|
Mar/23
|
Dec/22
|
Sep/22
|
Variation
|
|
QoQ
|
YTD
|
YoY
|
|
Gross NPA (Rs Crore)
|
86974.08
|
91327.84
|
90927.78
|
98346.50
|
106804.14
|
-5
|
-4
|
-19
|
|
Net NPA (Rs Crore)
|
21352.40
|
22995.37
|
21466.64
|
23484.31
|
23572.19
|
-7
|
-1
|
-9
|
|
% Gross NPA
|
2.55
|
2.76
|
2.78
|
3.14
|
3.52
|
-21
|
-23
|
-97
|
|
% Net NPA
|
0.64
|
0.71
|
0.67
|
0.77
|
0.80
|
-7
|
-3
|
-16
|
|
% PCR
|
91.93
|
91.41
|
91.91
|
91.52
|
91.54
|
52
|
2
|
39
|
|
% CRAR - Basel III
|
14.28
|
14.56
|
14.68
|
13.27
|
13.51
|
-28
|
-40
|
77
|
|
% CRAR - Tier I - Basel III
|
11.78
|
11.97
|
12.06
|
10.80
|
11.12
|
-19
|
-28
|
66
|
|
Variation in basis points for figures given in percentages and
in % for figures in Rs crore
|
Business
Highlights:
Double
digit business growth: The business of the bank has increased 12%
YoY to Rs 8100471 crore end September 2023, driven by 12% surge in advances to
Rs 3411252 crore. Deposits rose 12% to Rs 4689219 crore at end September 2023.
CASA
deposits ratio declines: The CASA deposits of the bank rose 5% YoY to
Rs 1886014 crore at end September 2023. The current account deposits increased
9% to Rs 252975 crore, while saving account deposits moved up 4% to Rs 1633039
crore end September 2023. The CASA ratio declined to 40.2% at end September 2023
compared to 42.9% at end September 2022, while declined from 41.2% a quarter
ago. The term deposits have increased 9% to Rs 2617327 crore end September
2023.
Strong
loan growth: Advances growth was driven by retail loans rising 16% YoY to Rs
1243421 crore at end September 2023, while credit to agriculture increased 15%
to Rs 273866 crore and MSME 23% to Rs 388974 crore at end September 2023. The
corporate credit rose 7% to Rs 977745 crore end September 2023. The overseas
credit has moved up 8% to Rs 527245 crore end September 2023.
Investment book of the
bank moved up 8% YoY to Rs 1642033 crore at end September 2023. The AFS book
dipped -6% to Rs 575040 crore, while HTM book rose 17% to Rs 1058290 crore at
end September 2023. The duration of the AFS investment portfolio stood at 1.91
years end September 2023 compared with 1.94 years at end September 2022.
Margins
improve yoy: The bank has showed 81 bps YoY jump in cost of deposits to 4.65%,
while yield on advances increased 120 bps YoY to 8.86% in Q2FY2024. Thus, the
NIM has improved 17 bps YoY to 3.29%, while eased marginally from 3.33% in the previous quarter.
Book
value of the bank stood at Rs 371.4 per share at end September 2023,
while the adjusted book value (net of NNPA and 10% of restructured advances)
was Rs 341.6 per share at end September 2023.
Quarterly
Performance
NII rises
as NIM improves yoy: Bank has recorded 27% increase in the interest earned at Rs
101378.80 crore, while interest expenses increased 39% to Rs 61878.84 crore in
Q2FY2024. NII improved 12% to Rs 39499.96 crore in the quarter ended September
2023.
Double
digit growth in the core fee income: Bank has posted strong 10% growth
in core fee income to Rs 6536 crore, while the treasury income jumped 342% to
Rs 2021 crore, leading 22% rise in the
overall non-interest income to Rs 10790.63 crore in the quarter ended September
2023. The forex income has declined 27% to Rs 298 crore.
Expenses
ratio spurts: The operating expenses of the bank increased 35% to Rs 30873.97
crore, as other expenses moved up 19% to Rs 11947.58 crore, while employee
expenses zoomed 47% to Rs 18926.39 crore in Q2FY2024. Cost to income ratio
short up to 61.4% in Q2FY2024 compared with 52.1% in Q2FY2023, causing 5%
decline in the Operating Profit to Rs 19416.62 crore.
Provisions
and contingencies decline: The bank has showed -96% decline in
provisions to Rs 115.28 crore. The loan loss provisions declined -10% to Rs
1815 crore, while the bank has written back investment provisions of Rs 1
crore, standard asset provisions Rs -720 crore and other provisions Rs -979
crore.
Effective
tax rate declined to 25.8% in Q2FY2024 from 26.6% in Q2FY2023. Net Profit rose by 8%
YoY to Rs 14330.02 crore during quarter ended September 2023.
Financial
Performance H1FY2024:
Bank has
posted 61% increase in net profit to Rs 31214.31 crore in the half year ended
September 2023 (H1FY2024). The net interest income increased 18% to Rs 78404.91
crore, while non-interest income moved up 104% to Rs 22854.01 crore, pushing up
net total income by 31% to Rs 101258.92 crore in H1FY2024. The operating expenses
increased 29% to Rs 56545.37 crore, while provision and contingencies dipped
65% to Rs 2616.59 crore, allowing profit before tax to increase 59% to Rs
42096.96 crore in H1FY2024. The cost-to-income ratio improved to 55.8% in
H1FY2024 compared to 56.3% in H1FY2023. An effective tax rate declined to 25.9%
in H1FY2024 compared to 26.9% in H1FY2023. The net profit has increased 61% to
Rs 31214.31 crore in H1FY2024.
Consolidated quarterly performance:
On the
consolidated front, the bank has posted 9% increase in the net profit at Rs
16099.58 crore over 13% rise in NII at Rs 44435.63 crore in Q2FY2024. The other
income increased 22% to Rs 36865.34 crore, leading to 17% rise in net total
income to Rs 81300.97 crore. The operating expenses rose 28% to Rs 58597.64
crore, allowing 5% growth in the operating profit to Rs 22703.33 crore in the
quarter ended September 2023. The provisions dipped -78% to Rs 767.62 crore,
PBT rose 8% to Rs 21935.71 crore in Q2FY2024. The effective tax rate eased to
25.0% in Q2FY2024 from 25.8% in Q2FY2023, allowing the net profit to move up 9%
to Rs 16647.89 crore before minority interest and share of associates. The
Minority interest increased 1% to Rs 548.31 crore, while the profit from
associate companies rose 5% to Rs 264.71 crore. Net Profit increased 9% to Rs
16099.58 crore for quarter ended September 2023.
Consolidated Financial Performance H1FY2024:
For the
year ended September 2023 (H1FY2024), Bank on consolidated basis has posted 57%
increase in net profit to Rs 34636.38 crore. The net interest income improved
19% to Rs 87850.70 crore, while non-interest income jumped 41% to Rs 67738.11
crore in H1FY2024. The expense ratio declined -102 bps yoy to 67.2% in
H1FY2024. The operating expenses increased 25% to Rs 104577.27 crore, while
provision and contingencies dipped -53% to Rs 3868.19 crore in H1FY2024. The
profit before tax improved 54% to Rs 47143.35 crore in H1FY2024. The effective
tax rate declined -70 bps yoy to 25.2%. Net profit advanced 57% to Rs 34636.38
crore in H1FY2024.
|
State
Bank of India: Standalone Results
|
|
Particulars
|
2309
(3)
|
2209
(3)
|
Var %
|
2309
(6)
|
2209
(6)
|
Var %
|
2303
(12)
|
2203
(12)
|
Var %
|
|
Interest Earned
|
101378.80
|
79859.59
|
27
|
197354.25
|
152535.95
|
29
|
332103.06
|
275457.28
|
21
|
|
Interest Expended
|
61878.84
|
44676.15
|
39
|
118949.34
|
86156.59
|
38
|
187262.56
|
154749.70
|
21
|
|
Net Interest Income
|
39499.96
|
35183.44
|
12
|
78404.91
|
66379.36
|
18
|
144840.50
|
120707.58
|
20
|
|
Other Income
|
10790.63
|
8874.27
|
22
|
22854.01
|
11186.47
|
104
|
36615.60
|
40563.91
|
-10
|
|
Net Total Income
|
50290.59
|
44057.71
|
14
|
101258.92
|
77565.83
|
31
|
181456.10
|
161271.49
|
13
|
|
Operating Expenses
|
30873.97
|
22937.69
|
35
|
56545.37
|
43693.26
|
29
|
97743.13
|
85979.13
|
14
|
|
Operating Profits
|
19416.62
|
21120.02
|
-8
|
44713.55
|
33872.57
|
32
|
83712.97
|
75292.36
|
11
|
|
Provisions & Contingencies
|
115.28
|
3038.67
|
-96
|
2616.59
|
7431.05
|
-65
|
16507.33
|
24452.13
|
-32
|
|
Profit Before Tax
|
19301.34
|
18081.35
|
7
|
42096.96
|
26441.52
|
59
|
67205.64
|
50840.23
|
32
|
|
EO
|
0.00
|
0.00
|
-
|
0.00
|
0.00
|
-
|
0.00
|
-7418.39
|
-
|
|
PBT after EO
|
19301.34
|
18081.35
|
7
|
42096.96
|
26441.52
|
59
|
67205.64
|
43421.84
|
55
|
|
Provision for tax
|
4971.32
|
4816.83
|
3
|
10882.65
|
7108.93
|
53
|
16973.19
|
11745.87
|
45
|
|
PAT
|
14330.02
|
13264.52
|
8
|
31214.31
|
19332.59
|
61
|
50232.45
|
31675.97
|
59
|
|
EPS*(Rs)
|
64.2
|
59.5
|
|
70.0
|
43.3
|
|
56.3
|
41.6
|
|
|
Adj BV (Rs)
|
341.6
|
281.4
|
|
341.6
|
281.4
|
|
305.1
|
247.6
|
|
|
*
Annualized on current equity of Rs 892.46 crore. Face Value: Re 1, Figures in
Rs crore
|
|
Source:
Capitaline Corporate Database
|
|
State Bank of India: Consolidated Results
|
|
Particulars
|
2309
(3)
|
2209
(3)
|
Var %
|
2309
(6)
|
2209
(6)
|
Var %
|
2303
(12)
|
2203
(12)
|
Var %
|
|
Interest Earned
|
107390.78
|
84462.87
|
27
|
208850.79
|
161243.73
|
30
|
350844.58
|
289972.69
|
21
|
|
Interest Expended
|
62955.15
|
45232.19
|
39
|
121000.09
|
87163.35
|
39
|
189980.81
|
156194.34
|
22
|
|
Net Interest Income
|
44435.63
|
39230.68
|
13
|
87850.70
|
74080.38
|
19
|
160863.77
|
133778.35
|
20
|
|
Other Income
|
36865.34
|
30319.61
|
22
|
67738.11
|
48063.05
|
41
|
122533.56
|
117000.40
|
5
|
|
Net Total Income
|
81300.97
|
69550.29
|
17
|
155588.81
|
122143.43
|
27
|
283397.33
|
250778.75
|
13
|
|
Operating Expenses
|
58597.64
|
45776.84
|
28
|
104577.27
|
83342.39
|
25
|
189814.48
|
166945.04
|
14
|
|
Operating Profits
|
22703.33
|
23773.45
|
-5
|
51011.54
|
38801.04
|
31
|
93582.85
|
83833.71
|
12
|
|
Provisions & Contingencies
|
767.62
|
3430.97
|
-78
|
3868.19
|
8193.45
|
-53
|
18184.28
|
26676.69
|
-32
|
|
PBT
|
21935.71
|
20342.48
|
8
|
47143.35
|
30607.59
|
54
|
75398.57
|
57157.02
|
32
|
|
P&L of Associate Company
|
264.71
|
279.43
|
-5
|
623.10
|
547.41
|
14
|
1191.45
|
827.01
|
44
|
|
PBT before EO
|
22200.42
|
20621.91
|
8
|
47766.45
|
31155.00
|
53
|
76590.02
|
57984.03
|
32
|
|
EO
|
0.00
|
0.00
|
-
|
0.00
|
0.00
|
-
|
0.00
|
-7418.39
|
-
|
|
PBT after EO
|
22200.42
|
20621.91
|
8
|
47766.45
|
31155.00
|
53
|
76590.02
|
50565.64
|
51
|
|
Provisions for tax
|
5552.53
|
5325.20
|
4
|
12024.22
|
8062.06
|
49
|
18840.13
|
13382.46
|
41
|
|
Net Profit before minority interest
|
16647.89
|
15296.71
|
9
|
35742.23
|
23092.94
|
55
|
57749.89
|
37183.18
|
55
|
|
Minority Interest
|
548.31
|
544.71
|
1
|
1105.85
|
1015.83
|
9
|
2101.71
|
1809.30
|
16
|
|
Net profit
|
16099.58
|
14752.00
|
9
|
34636.38
|
22077.11
|
57
|
55648.18
|
35373.88
|
57
|
|
EPS*(Rs)
|
72.2
|
66.1
|
|
77.6
|
49.5
|
|
62.4
|
45.7
|
|
|
Adj BV (Rs)
|
380.8
|
313.0
|
|
380.8
|
313.0
|
|
345.1
|
276.2
|
|
|
* Annualized on current equity of Rs 892.46 crore. Face Value:
Rs 1, Figures in Rs crore,
|
|
Source: Capitaline Corporate Database
|
|