|
State Bank of India on standalone basis for merged entity has
recorded strong 74% growth in the Net Profit to Rs 13264.52 crore for the
quarter ended September 2022 (Q2FY2023), driven healthy performance across all
parameters. Bank has posted robust improvement in asset quality on sequential
basis as well as over a year earlier level. Bank has improved Net Interest
Margin (NIM) on sequential basis to 3.17% helping Net Interest Income (NII)
growth to accelerate in Q2FY2023. Bank has improved business growth at 14% along
with rise in credit deposit ratio to 72.4% at end September 2022. Bank has witnessed
decline in CASA deposits ratio at 44.6% at end September 2022.
Asset
quality improves: Bank has improved the asset quality on sequential as well as
year-on-year basis in Q2FY2023.
Fresh slippages of advances
dipped to Rs 2399 crore (annualized 0.9% of advances in Q2FY2023) compared with
Rs 9740 crore (1.4%) in the previous quarter and Rs 4176 crore in the
corresponding quarter last year.
Recoveries, upgradations and
write-offs together were healthy at Rs 8909 crore in Q2FY2023.
The bank has improved provision
coverage ratio to 91.5% at end of September 2022 from 87.7% end September 2021.
|
Asset Quality Indicators: State Bank of India
|
|
|
Sep-22
|
Jun-22
|
Mar-22
|
Dec-21
|
Sep-21
|
Variation
|
|
QoQ
|
YTD
|
YoY
|
|
Gross NPA (Rs Crore)
|
106804.14
|
113271.72
|
112023.37
|
120028.77
|
123941.77
|
-6
|
-5
|
-14
|
|
Net NPA (Rs Crore)
|
23572.19
|
28257.92
|
27965.71
|
34539.68
|
37118.61
|
-17
|
-16
|
-36
|
|
% of GNPA
|
3.52
|
3.91
|
3.97
|
4.50
|
4.90
|
-39
|
-45
|
-138
|
|
% of NNPA
|
0.80
|
1.00
|
1.02
|
1.34
|
1.52
|
-20
|
-22
|
-72
|
|
Provision coverage ratio %
|
77.93
|
75.05
|
75.04
|
88.32
|
87.68
|
288
|
289
|
-975
|
|
CRAR Basel III %
|
13.51
|
13.43
|
13.83
|
13.23
|
13.35
|
8
|
-32
|
16
|
|
Tier I - Basel III %
|
11.12
|
11.15
|
11.42
|
10.91
|
11.02
|
-3
|
-30
|
10
|
|
Variation in basis points for figures given in percentages and
in % for figures in Rs crore
|
Business Highlights:
Business
growth improves: Business of the bank rose at improved pace of 14% yoy to Rs 7225326
crore at end September 2022. Deposits increased at higher pace of 10% at Rs 4190255
crore, while advances growth accelerated to 20% at Rs 3035071 crore at end
September 2022.
Domestic advances rose at
improved pace of 18% to Rs 2547390 crore, while international advances growth
also accelerated to 30% yoy to Rs 487681 crore at end September 2022.
The credit-deposit ratio of the
bank increased to 72.4% at end September 2022 from 71.7% a quarter ago.
Retail
and large corporate credit driving loans growth: Of the
domestic advances, large corporate credit increased 21% yoy to Rs 917016 crore,
while retail credit improved at higher pace of 19% to Rs 1074853 crore. The SME
credit also increased 13% to Rs 316878 crore and agriculture credit rose 11% to
Rs 238643 crore at end September 2022.
CASA
ratio eases: Deposits grew 10% yoy to Rs 4190255 crore in the quarter under
review. Domestic deposits grew 9% yoy to Rs 4028012 crore of which CASA deposits
grew 5% yoy to Rs 1797751 crore. Domestic CASA ratio declined 161 bps yoy to 44.6%
at end September 2022. Overseas deposits moved up 36% to Rs 162243 crore at end
September 2022.
NIM of the
bank improved to 3.17% in Q2FY2023 from 3.02% in the previous quarter, as credit-deposit
ratio gained to 72.4% at end September 2022.
Network expansion: Bank has added 15 branches
in the quarter under review, taking the total branch count up to 22309 at end
September 2022. ATMs count of the bank has increased to 65796 ATMs end
September 2022.
Book
Value per share stood at Rs 315.5 per share at end September 2022, while
the adjusted book value (net of NNPA and 25% of restructured assets) stood at
Rs 281.4 per share at end of September 2022.
Quarterly Performance:
Healthy NII
growth on better NIMs and credit-deposit ratio: Bank has
posted 13% rise in NII at Rs 35183.44 crore for quarter ended September 2022. Interest
earned moved up 15% to Rs 79859.59 crore, while the interest expenses increased
17% to Rs 44676.15 crore.
Core fee
income and exchange gains boost other income: Non-interest income of
the bank increased 8% to Rs 8874.27 crore in Q2FY2023, driven by healthy growth
in profit on sale of investment at 7% to Rs 457.00 crore. Further, the forex
income surged 263% to Rs 1911 crore, while the core fee income of the bank rose
10% to Rs 5942 crore in Q2FY2023.
Expense
ratio improves: Net total income of the bank increased 12% to Rs 44058 crore in
Q2FY2023, while the operating expenses rose at moderate pace of 8% to Rs 22938 crore,
leading to an improvement in expense ratio to 52.1% in Q2FY2023 from 54.1% in
Q2FY2022. The employee expenses rose 2% to Rs 12867.35 crore, while other
operating expenses declined 38% to Rs 10070.34 crore in Q2FY2023.
The operating profit galloped 17%
to Rs 21120.02 crore in Q2FY2023.
Provisions
jumps on low base: The provisions and contingencies increased 1510% to Rs 3038.67 crore
in Q2FY2023 over Q2FY2022. The NPA provisions declined 25% to Rs 2011 crore, while
standard assets provisions also dipped 74% to Rs 125 crore in Q2FY2023.
However, the investment provisions rebounded to Rs 5 crore and other provisions
to Rs 898 crore in Q2FY2023 from hefty write backs of Rs 626 crore and Rs 2363
crore in Q2FY2022.
With the surge provisions, the
PBT rose 1% to Rs 18081.35 crore in the quarter ended September 2022. However,
after EO expense item of Rs 7418.39 crore, PBT increased 73% to Rs 18081.35
crore in Q2FY2023.
Tax rate eases: The effective tax
rate eased to 26.6% in Q2FY2023 from 27.2%, in Q2FY2023, allowing 74% jump in the
net profit to Rs 13264.52 crore for quarter ended September 2022.
Standalone Financial Performance
H1FY2023:
For the six months ended
September 2022 (H1FY2023), Bank posted 37% increase in net profit to Rs 19332.60
crore. The net interest income improved 13% to Rs 66379.37 crore, while
non-interest income declined 44% to Rs 11186.47 crore in H1FY2023. The expense
ratio increased 333 bps yoy to 56.3% in H1FY2023. The operating expenses rose 5%
to Rs 43693.26 crore, while provision and contingencies declined 27% to Rs 7431.05
crore in H1FY2023. The profit before tax after EO improved 36% to Rs 26441.53 crore
in H1FY2023. The effective tax rate declined 26 bps yoy to 26.9%. Net profit
moved up 37% to Rs 19332.60 crore in H1FY2023.
Consolidated quarterly
performance:
On the consolidated front, the
bank has posted 66% increase in the net profit at Rs 14752.00 crore over 14% rise
in NII at Rs 39230.68 crore. The other income increased 8% to Rs 30319.61 crore,
leading to 11% rise in net total income to Rs 69550.29 crore. The operating
expenses rose 9% to Rs 45776.84 crore, allowing the operating profit to
increase 16% to Rs 23773.45 crore in the quarter ended September 2022. The
provisions zoomed 457% to Rs 3430.97 crore, PBT rose 3% to Rs 20342.48 crore in
Q2FY2023. The effective tax rate eased to 25.8% in Q2FY2023 from 26.0% in
Q2FY2022, allowing the net profit to move up 64% to Rs 15296.71 crore before
minority interest and share of associates. The Minority interest increased 21% to
Rs 544.71 crore, while the profit from associate companies moved up 33% to Rs 279.43
crore. Net Profit increased 66% to Rs 14752.00 crore for quarter ended
September 2022.
Net profit of non-banking
subsidiaries increased 17% to Rs 1260 crore in Q2FY2023, driven by SBI Life 53%
to Rs 377 crore, SBI Funds Management 47% to Rs 380 crore and SBI Cards & Payment Services 52% to
Rs 526 crore. SBI General Insurance recorded net loss
of Rs 23 crore in Q2FY2023,
Consolidated Financial Performance
H1FY2023:
For the half year ended September
2022 (H1FY2023), Bank on consolidated basis has posted 36% increase in net
profit to Rs 22077.11 crore. The net interest income improved 14% to Rs 74080.38
crore, while non-interest income declined 8% to Rs 48063.05 crore in H1FY2023. The
expense ratio rose 335 bps yoy to 68.2% in H1FY2023. The operating expenses rose
9% to Rs 83342.39 crore, while provision and contingencies declined 26% to Rs 8193.45
crore in H1FY2023. The profit before tax improved 35% to Rs 31155.00 crore in
H1FY2023. The effective tax rate declined 35 bps yoy to 25.9%. Net profit
advanced 36% to Rs 22077.11 crore in H1FY2022.
|
State Bank of India: Standalone Results
|
|
Particulars
|
2209
(3)
|
2109
(3)
|
Var %
|
2209
(6)
|
2109
(6)
|
Var %
|
2203 (12)
|
2103
(12)
|
Var %
|
|
Interest Earned
|
79859.59
|
69481.49
|
15
|
152535.96
|
135045.92
|
13
|
275457.29
|
265150.63
|
4
|
|
Interest Expended
|
44676.15
|
38297.59
|
17
|
86156.59
|
76223.59
|
13
|
154749.70
|
154440.63
|
0
|
|
Net Interest Income
|
35183.44
|
31183.90
|
13
|
66379.37
|
58822.33
|
13
|
120707.59
|
110710.00
|
9
|
|
Other Income
|
8874.27
|
8207.60
|
8
|
11186.47
|
20010.34
|
-44
|
40563.91
|
41956.64
|
-3
|
|
Net Total Income
|
44057.71
|
39391.50
|
12
|
77565.84
|
78832.67
|
-2
|
161271.50
|
152666.64
|
6
|
|
Operating Expenses
|
22937.69
|
21312.42
|
8
|
43693.26
|
41778.77
|
5
|
85979.13
|
82652.22
|
4
|
|
Operating Profits
|
21120.02
|
18079.08
|
17
|
33872.58
|
37053.90
|
-9
|
75292.37
|
70014.42
|
8
|
|
Provisions & Contingencies
|
3038.67
|
188.75
|
1510
|
7431.05
|
10240.71
|
-27
|
24452.13
|
44013.03
|
-44
|
|
PBT before EO
|
18081.35
|
17890.33
|
1
|
26441.53
|
26813.19
|
-1
|
50840.24
|
26001.39
|
96
|
|
EO
|
0.00
|
-7418.39
|
-
|
0.00
|
-7418.39
|
-
|
-7418.39
|
1539.73
|
PL
|
|
PBT after EO
|
18081.35
|
10471.94
|
73
|
26441.53
|
19394.80
|
36
|
43421.85
|
27541.12
|
58
|
|
Provisions for Tax
|
4816.83
|
2845.37
|
69
|
7108.93
|
5264.23
|
35
|
11745.87
|
7130.65
|
65
|
|
Net Profit
|
13264.52
|
7626.57
|
74
|
19332.60
|
14130.57
|
37
|
31675.98
|
20410.47
|
55
|
|
EPS*(Rs)
|
59.5
|
58.4
|
|
86.6
|
43.8
|
|
41.6
|
21.6
|
|
|
Adj BV (Rs)
|
281.4
|
224.2
|
|
281.4
|
224.2
|
|
247.6
|
211.8
|
|
|
* Annualized on current equity of Rs 892.46 crore. Face Value:
Rs 1, Figures in Rs crore
PL: Profit to Loss, LP: Loss to Profit
|
|
Source: Capitaline Corporate Database
|
|
State Bank of India: Consolidated Results
|
|
Particulars
|
2209
(3)
|
2109
(3)
|
Var %
|
2209
(6)
|
2109
(6)
|
Var %
|
2203
(12)
|
2103
(12)
|
Var %
|
|
Interest Earned
|
84462.87
|
73029.13
|
16
|
161243.73
|
141989.08
|
14
|
289972.69
|
278115.48
|
4
|
|
Interest Expended
|
45232.19
|
38638.14
|
17
|
87163.35
|
76887.23
|
13
|
156194.34
|
156010.17
|
0
|
|
Net Interest Income
|
39230.68
|
34390.99
|
14
|
74080.38
|
65101.85
|
14
|
133778.35
|
122105.31
|
10
|
|
Other Income
|
30319.61
|
28114.12
|
8
|
48063.05
|
52421.11
|
-8
|
117000.40
|
105855.14
|
11
|
|
Net Total Income
|
69550.29
|
62505.11
|
11
|
122143.43
|
117522.96
|
4
|
250778.75
|
227960.45
|
10
|
|
Operating Expenses
|
45776.84
|
42060.12
|
9
|
83342.39
|
76247.71
|
9
|
166945.04
|
150429.60
|
11
|
|
Operating Profits
|
23773.45
|
20444.99
|
16
|
38801.04
|
41275.25
|
-6
|
83833.71
|
77530.85
|
8
|
|
Provisions & Contingencies
|
3430.97
|
615.44
|
457
|
8193.45
|
11125.68
|
-26
|
26676.69
|
46102.16
|
-42
|
|
PBT
|
20342.48
|
19829.55
|
3
|
30607.59
|
30149.57
|
2
|
57157.02
|
31428.69
|
82
|
|
P&L of Associate Company
|
279.43
|
210.37
|
33
|
547.41
|
373.74
|
46
|
827.01
|
-391.90
|
LP
|
|
PBT before EO
|
20621.91
|
20039.92
|
3
|
31155.00
|
30523.31
|
2
|
57984.03
|
31036.79
|
87
|
|
EO
|
0.00
|
-7418.39
|
-
|
0.00
|
-7418.39
|
-
|
-7418.39
|
1367.27
|
PL
|
|
PBT after EO
|
20621.91
|
12621.53
|
63
|
31155.00
|
23104.92
|
35
|
50565.64
|
32404.06
|
56
|
|
Provisions for tax
|
5325.20
|
3279.93
|
62
|
8062.06
|
6060.73
|
33
|
13382.46
|
8516.25
|
57
|
|
Net Profit before minority interest
|
15296.71
|
9341.60
|
64
|
23092.94
|
17044.19
|
35
|
37183.18
|
23887.81
|
56
|
|
Minority Interest
|
544.71
|
451.76
|
21
|
1015.83
|
774.44
|
31
|
1809.30
|
1482.36
|
22
|
|
Net profit
|
14752.00
|
8889.84
|
66
|
22077.11
|
16269.75
|
36
|
35373.88
|
22405.45
|
58
|
|
EPS*(Rs)
|
66.1
|
64.5
|
|
49.5
|
48.7
|
|
45.7
|
24.0
|
|
|
Adj BV (Rs)
|
313.0
|
251.2
|
|
313.0
|
251.2
|
|
276.2
|
236.1
|
|
|
* Annualized on current equity of Rs 892.46 crore. Face Value:
Rs 1, Figures in Rs crore,
PL: Profit to Loss, LP: Loss to Profit
|
|
Source: Capitaline Corporate Database
|
|