SBI Posts 84% Surge in Net Profit at Rs 16,891 Crore in Q3 FY25
India's largest public sector lender, State Bank of India (SBI), has reported a significant 84.32% year-on-year rise in its net profit, which stood at Rs 16,891 crore for the October-December quarter (Q3 FY25), compared to Rs 9,164 crore in the same period last year.
Mumbai: India’s largest public sector lender, State Bank of India (SBI), has reported a significant 84.32% year-on-year rise in its net profit, which stood at Rs 16,891 crore for the October-December quarter (Q3 FY25), compared to Rs 9,164 crore in the same period last year.
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Profit Boosted by Higher Core Income
The impressive profit increase was driven by a higher core income during the quarter. The net interest income (NII) or core income rose by 4.09% year-on-year, reaching Rs 41,445.5 crore compared to Rs 39,816 crore in the previous year, as per the bank’s stock exchange filing.
Improvement in Gross NPA Ratio
SBI’s gross non-performing assets (NPA) ratio improved to 2.07% as of December 31, 2024, compared to 2.13% in the September quarter. On a sequential basis, the net NPA ratio remained unchanged at 0.53% as of December 31, 2024.
Key Financial Ratios
The bank’s Return on Assets (ROA) and Return on Equity (ROE) for the nine months of FY25 stood at 1.09% and 21.46%, respectively.
Employee Expenses and Domestic Loan Growth
SBI’s employee expenses decreased by 17% to Rs 16,074 crore, while its domestic loans grew by 14.06% year-on-year. Provisions increased by 32.4% from the previous year to Rs 911.06 crore.
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Operating Profit Growth
Operating profit for Q3 FY25 saw a 15.81% year-on-year growth, reaching Rs 23,551 crore.
Credit and Deposit Growth
SBI reported a credit growth of 13.49% year-on-year, with domestic advances growing by 14.06%. Gross advances exceeded Rs 40 lakh crore on a year-on-year basis. Whole bank deposits grew by 9.81% year-on-year, with Current Account Savings Account (CASA) deposits rising by 4.46%. The CASA ratio stood at 39.20% as of December 31, 2024.
Segment-Wise Advances Growth
Advances from foreign offices grew by 10.35%, while Small and Medium Enterprises (SME) advances rose by 18.71%. Agricultural advances increased by 15.31%, and corporate advances and retail personal advances grew by 14.86% and 11.65%, respectively.
Market Response
Following the Q3 results, SBI’s shares were trading at Rs 752.2 apiece, down by 1.81%.
