Q1FY19 Result: State Bank of India narrows net loss
Country’s largest bank State Bank of India posted a consecutive net loss in the third quarter of Q1FY19.
The bank's net interest income for the quarter rose by 23.8 per cent yoy to Rs. 21,799 crore in Q1FY19 as against Rs. 17,606 crore in the corresponding quarter the previous year and Rs. 19,974 crore in the corresponding quarter the previous year. The interest income for the quarter rose 7.1 per cent qoq to Rs. 58,813 crore.
In terms of asset quality, the bank showed improvement sequentially as GNPAs declined by 5 per cent qoq to Rs. 2,12,839 crore in Q1FY19 as compared Rs. 2,23,427 crore in the previous quarter. The GNPAs as a percentage to advances also contracted by 22 bps to 10.69 as against 10.91 per cent in the previous quarter.
The provisions for the quarter also declined 31 per cent yoy to Rs. 19,228 crore in Q1FY19 as against Rs. 28,096 crore in the previous quarter. This led to a narrowing of net loss to Rs. 4,875 crore in Q1FY19 as compared to Rs. 7,718 crore in the previous quarter and net profit of Rs. 2,005 crore in Q1FY18. While the bank's advances for the quarter remained subdued with 3 per cent qoq decline and 4 per cent yoy increase.
Meanwhile, the stock of SBI closed at Rs. 304.45 per share, down by 3.79 per cent after surging to a day's high of Rs. 325.85, after posting results on Friday.