SBI reports Rs 2,416 cr loss in Q3

The State Bank of India (SBI) on Friday reported loss of Rs. 2,416 crore in the third quarter of the current fiscal, attributed to lower trading income on account of hardening of bond yields, higher corporate slippages leading to higher loan loss provisions and significant investment depreciation hit.

As per the results released by the state-owned lender, operating profits declined by 18.38 percent, from Rs.14,401 crore in Q3FY17 to Rs.11,755 crore in Q3FY18.

Furthermore, operating income declined by 8.55 percent from Rs.29,276 crore in Q3FY17 to Rs. 26,772 crore in Q3FY18.

The company reported its net interest income, which is the difference between interest earned and interest expended, rose by 26.68 percent to Rs 18,687.52 crore, compared to Rs 14,751.54 crore last year.

SBI stated that asset quality lowered further on sequential basis; with gross non-performing assets (NPAs) increasing by 10.35 percent compared to 9.83 percent in the previous quarter, and net NPAs at 5.61 percent in the December quarter, compared to 5.43 percent in the September quarter.

In absolute terms, SBI reported a seven percent increase in gross NPAs to Rs 1, 99,141.34 crore and 4.6 percent rise in net NPAs to Rs 1, 02,370.12 crore.