SBI rallies 5% on surge in net profit

The stock soared to Rs 1,824 and finally ended at Rs 1,814, up 5% from the previous close. Around 1.06 million shares were traded as compared to the two-week daily average traded volumes of 553,261 shares.
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(Updated at 1306hrs)

SBI has surged over 5% to Rs 1,812, owing to 68.11% increase in its consolidated net profit to Rs 2,758.53 crore for the first quarter of the current financial year.

The stock touched a high of Rs 1,814, after opening at Rs 1,749. The counter has witnessed trades of around 599,600 shares as against its two-week average traded quantity of 553,261 shares. The scrip has rallied 6.71% within a week.

State Bank of India, the country’s largest lender, achieved a strong result largely on account of its treasury operations. The treasury operations generated pre-tax profit of Rs 4,075 crore during the quarter-ended June 2009, as against a loss of Rs 817 crore during the corresponding period last year.

The bank’s total income went up 39.52% to Rs 33,132.70 crore against Rs 23747.43 crore during the corresponding period last year. On a standalone basis, SBI’s net profit went up 42.03 per cent to Rs 2,330.37 crore, while total income was 29.86 per cent higher at Rs 21,041.51 crore.