The profit was supported by one-time gain of Rs 2,731.34 crore from the stake sale in SBI Cards done during the quarter.
According to analysts, gains from SBI Cards stake sale, worth Rs 3,000 crore, may support profitability.
Won't let go of quality corporate credit, says Rajnish Kumar
Gross NPAs declined to 7.53 per cent against 8.71 per cent in the previous quarter and 10.91 per cent in the corresponding quarter of the previous fiscal.
While analysts believe there may not be significant slippage, the classification of loans extended to Jet Airways and beleaguered infrastructure developer, IL&FS, will be keenly watched
Largest lender's guidance on NPAs is clear but ambitious
Surge in provisions for NPAs, erosion in value of investments take toll
Provisioning for depreciation of investments also affected the bank's bottom line
Kolkata, 19 MayLed by healthy growth in net interest income (NII), State Bank of India (SBI) posted a big 122.7 per cent growth in net profit at Rs 2,815 crore for the quarter ended March 31. In the same (fourth or Q4) quarter of 2015-16, it was Rs 1,264 crore.NII rose 17.3 per cent to Rs 8,071 crore in Q4, from the same quarter of FY16.The stock closed 1.7 per cent higher at Rs 308 on the BSE exchange on Friday. Its net interest margin (domestic) declined to 3.11 per cent as of end-March, from 3.27 per cent at the end of FY16.During the quarter, the main focus of the country's largest lender was on automobile, individual and services loans. Those to engineering, infrastructure and textiles took a back seat. Loans to the automobile segment, nearly 3.5 per cent of the entire portfolio, increased sharply by 21.2 per cent. Home loans, 16.6 per cent of total disbursal, grew 16.8 per cent. In comparison, the infrastructure segment's telecom, roads and ports segments showed a decline of ...