SBI's March quarter showing impresses Street; stock jumps over 5%

Sequential comparisons indicate economic activity did not pick up

The Q4, 2020-21, results of State Bank of India (SBI), India’s largest lender, beat expectations. The stock jumped over 5 per cent on the National Stock Exchange. SBI reported an 80 per cent year-on-year (YoY) rise in net profit to Rs 6,450.75 crore, which beat consensus estimates.  

Provisions and contingencies fell to Rs 11,051 crore against Rs 13,495.1 crore for the corresponding period a year ago. The net interest income (NII) saw growth of 19 per cent YoY to Rs 27,067 crore. The asset quality improved as the gross non-performing assets (NPA) ratio came in at 4.98 per cent of assets