SBI's Profits Surge by Over 27% in Q2 Amidst Strong Credit Growth

State Bank of India reported a 27.92% rise in net profits for the July-September quarter, reaching Rs 18,331 crore. Net interest income increased by 5.37%, while credit growth saw a 14.93% rise year-on-year. The bank displayed improved operational metrics and lower attrition rates during this period.

The State Bank of India (SBI) announced a significant increase in profits for the July-September quarter, marking a 27.92% rise in net profits, which reached Rs 18,331 crore. When combining figures from the prior April-June quarter, the bank's net profit saw a 13.30% rise to Rs 36,367 crore.

SBI's net interest income, a critical measure of its profitability, rose 5.37% to Rs 41,620 crore for the quarter. Over the combined six-month period, this income grew by 5.54% to total Rs 82,745 crore. The bank's credit growth surged 14.93% year-on-year, totaling Rs 39.21 lakh crore, with domestic advances experiencing a 15.55% increase.

Growth was also noted in sectors such as SME and retail personal advances, which registered increases of 17.36% and 12.32% respectively. The gross Non-Performing Assets (NPA) ratio improved significantly, dropping 42 basis points year-on-year to 2.13% by the end of September. SBI highlighted a rise in productivity with its Profit and Business per Employee metrics, in spite of a minor attrition rate of 0.38% during the first half of the fiscal year. At report time, SBI's shares were trading at 837.45 points, reflecting a 2.58% decline.

(With inputs from agencies.)