SBI Q4 profit jumps 80 pc to Rs 6,451 crore on lower provisioning

Government-owned State Bank of India (SBI) on Friday reported a standalone net profit of Rs 6,451 crore for January to March quarter (Q4 FY21) due to lower provision for bad loans.

The profit was over 80 per cent higher than Rs 3,581 crore in Q4 FY20. It was also supported by 19 per cent jump in net interest income -- the difference between interest earned and interest expended -- at Rs 27,067 crore in the quarter ended March.

Provisions and contingencies were at Rs 11,051 crore in the January to March quarter, down 18 per cent year-on-year.

The country's largest public sector lender has declared a dividend of Rs 4 per share for FY21.

Meanwhile, its pre-tax profit meanwhile stood at Rs 8,649 crore as compared to Rs 4,970 crore in the corresponding quarter of the previous fiscal.

However, gross non-performing assets (GNPAs) increased to Rs 1.26 lakh crore from Rs 1.17 lakh crore in Q3 FY21. They totalled Rs 1.49 lakh crore in Q4 FY20.

Net NPAs stood at Rs 36,810 crore as compared to Rs 29,032 crore in Q3 FY21 and Rs 51,871 crore in Q4FY20.

SBI said it has proactively made additional provision towards the possible impact of Covid-19 pandemic. This is in addition to provisions held as per Reserve Bank of India guidelines.

"The bank's management is not expecting any significant impact on liquidity or profitability," it said.

Just before market closing hour, the bank's stock was 3.98 per cent higher on BSE at Rsw 399.85 per unit.

( With inputs from ANI )