SBI posts record 80% quarterly profit YoY, announces dividend of Rs 4 a share

Shares of State Bank of India on Friday gained 5 per cent after the company reported an 80 per cent surge in standalone net profit for the fourth quarter ended March 2021.

The stock rallied 4.30 per cent to close at Rs 401.10 on the BSE. During the day, it jumped 5.16 per cent to Rs 404.40.

On the NSE, it gained 5.05 per cent to close at Rs 404.

The company's market valuation zoomed Rs 14,771.17 crore to Rs 3,57,966.17 crore on the BSE.

In traded volume terms, 94.17 lakh shares were traded at the BSE and over 19.28 crore units at the NSE during the day.

The country's largest lender SBI on Friday reported an 80 per cent surge in standalone net profit at Rs 6,450.75 crore for the fourth quarter ended March 2021, aided by a decline in bad loans.

State Bank of India (SBI) had earned a profit of Rs 3,580.81 crore during the January-March period of 2019-20, the lender said in a regulatory filing.

Total income of the bank during the March quarter of the last financial year rose to Rs 81,326.96 crore from Rs 76,027.51 crore in the same period of 2019-20.

During the quarter under review, net interest income rose 19 per cent to Rs 27,067 crore, from Rs 22,767 crore in the same period a year ago.

On a consolidated basis, the bank reported a 60 per cent increase in net profit at Rs 7,270.25 crore, compared to Rs 4,557.49 crore in the fourth quarter of the financial year 2019-20.

With regard to asset quality, gross non-performing assets (NPAs) of the bank improved to 4.98 per cent of gross advances as of March 31, 2021, as against 6.15 per cent in the same period of 2020.

It further said that in absolute terms gross NPAs declined to Rs 1,26,389 crore in March 2021 from Rs 1,49,092 crore in the same period last year.

Net NPA or bad loans too came down to 1.50 per cent as on March 31, 2021, from 2.23 per cent in the year-ago period. The net NPA in absolute terms eased to Rs 36,810 crore from Rs 51,871 crore in March 2020.

As a result, the provision for bad loans moderated by 17 per cent to Rs 9,914 crore, as compared to Rs 11,894 crore in the fourth quarter of the previous fiscal.