SBI drops as net NPA ratio rises on sequential basis

State Bank of India fell 3.27% to Rs 273.85 at 13:02 IST on BSE as the bank's ratio of net non-performing assets to net advances increased to 2.24% as on 30 June 2015 from 2.12% as on 31 March 2015.

The Q1 result was announced during market hours today, 11 August 2015.

Meanwhile, the S&P BSE Sensex was down 183.27 points or 0.65% at 27,918.45.

The stock declined on heavy volumes. On BSE, so far 31.53 lakh shares were traded in the counter as against average daily volume of 15.75 lakh shares in the past one quarter.

The stock was volatile. The stock fell as much as 4.16% at the day's low of Rs 271.30 so far during the day. The stock rose as much as 2.26% at the day's high of Rs 289.50 so far during the day. The stock had hit a 52-week high of Rs 335.90 on 28 January 2015. The stock had hit a 52-week low of Rs 234.52 on 8 October 2014.

The stock had outperformed the market over the past one month till 10 August 2015, surging 4.66% compared with the Sensex's 1.59% rise. The scrip had also outperformed the market in past one quarter, jumping 8.14% as against Sensex's 3.68% rise.

The large-cap public sector bank has equity capital of Rs 756.62 crore. Face value per share is Re 1.

SBI's net profit rose 10.25% to Rs 3692.43 crore on 9.79% growth in total income to Rs 44730.87 crore in Q1 June 2015 over Q1 June 2014. SBI's provisions and contingencies rose 14.38% to Rs 3999.73 crore in Q1 June 2015 over Q1 June 2014. The provisions and contingencies include provisions for non-performing assets. SBI's provisions for non-performing assets dropped 13.95% to Rs 3358.58 crore in Q1 June 2015 over Q1 June 2014.

The bank's ratio of net non-performing assets (NPA) to net advances stood at 2.24% as on 30 June 2015, higher than 2.12% as on 31 March 2015 and lower than 2.66% as on 30 June 2014.

On absolute basis, gross NPA declined to Rs 56420.77 crore as on 30 June 2015 from Rs 56725.34 crore as on 31 March 2015 and Rs 60434.24 crore as on 30 June 2014. The ratio of gross NPA to gross advances stood at 4.29% as on 30 June 2015, higher than 4.25% as on 31 March 2015 and lower than 4.9% as on 30 June 2014.

The provision coverage ratio as on 30 June 2015 stood at 69.49%.

The bank's Capital Adequacy Ratio (CAR) as per Basel III norms stood at 12% as on 30 June 2015, unchanged from the level as on 31 March 2015 and lower than 12.33% as on 30 June 2014.

Government of India holds 59.15% stake in State Bank of India (as per the shareholding pattern as on 30 June 2015).

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