Sbi Quarterly Results Q1 2021

Should you buy SBI shares despite miss on margins?

– SBI chairman on record profit, declining NIM and more.

– At Rs 16,884 crore, SBI posts highest quarterly profit.

– SBI Q1 Results: Profit skyrockets 178% YoY to Rs 16,884 cr, NII jumps 25%

– SBI profit up in Q1, RoA almost same as last quarter: Mahantesh Sabarad. More items

SBI Q1 2021 Financial Performance

In the first quarter of FY2022, SBI reported a 55.25% year-on-year increase in net profit, reaching Rs 6,504 crore. The operating margin also saw growth, rising by 5.06% to Rs 18,975 crore compared to the previous year. Net Interest Income (NII) increased by 3.74% year-on-year and 2.11% quarter-on-quarter to reach Rs 27,638 crore. Non-interest income showed significant growth as well, with a y-o-y increase of 48%, totaling Rs 11,803 crore in Q1 FY22.

The home loan segment witnessed notable growth over the last financial year with a remarkable23% increase.Earnings Per Share (EPS) rose fromRs18.83toRs29.23 on a yearly basis.

Misses

  • Operating profit q-o-q fell by 3.68% from Rs 19,700 crore in the previous quarter to Rs 18,975 in the June 2021 quarter.
  • Net Interest Margin (NIM) dipped by 9 base points to 3.15% y-o-y.
  • Non-Performing Asset (NPA) ratio climbed to 5.3% against 4.9% recorded in the March quarter. The NPA ratio increased by 27 base points over the quarter.
  • Slippages worth Rs 15,666 crore were reported in Q1 FY2022 compared to Rs 3,637 crore recorded in Q1 FY21. Small and medium enterprises contributed Rs 6,416 crore in slippages.
  • SBI’s total liabilities grew by over 10% to Rs 1,75,834 crore in the June quarter compared to Rs 1,43,917 crore in the year-ago period.
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SBI Q1 2021 Segment-Wise Revenue

– The amount generated from Treasury Operations for Q1 FY2022 was Rs 26,091 crore, which increased from Rs 22,683 crore in Q4 FY2021.

– Wholesale Banking Operations contributed Rs 19,279 crore in Q1 FY2022 compared to Rs 23,767 crore in Q4 FY2021.

– Retail Banking Operations recorded a revenue of Rs 31,886 crore in Q1 FY2022 as opposed to Rs 33,840 crore in Q4 FY2021.

– Unallocated revenue amounted to Rs 109 crore in Q1 FY2022 and decreased from Rs 1,036 crore in Q4 FY2021.

SBI Q1 Outcome: What is the Result?

The largest commercial bank in India, State Bank of India (SBI), announced its financial results for the first quarter of the fiscal year 2021-2022 on Friday afternoon. The bank reported a significant increase in its net profit compared to the same period last year. The net profit rose by 178.25% year-on-year (YoY) to reach ₹16,884 crore.

This rise in net profit indicates that SBI has been able to generate more income and manage its expenses effectively during this period. It reflects positively on their financial performance and shows that they are doing well as a bank.

SBI Q1 2021 Results Announcement

The decline in asset quality of the bank was attributed to the impact of the COVID-19 pandemic, which caused a decrease in economic activities and financial market movements. As a result, collections for the bank were affected. SBI is taking proactive measures to address these challenges, including dealing with extended working capital cycles, fluctuating cash flow patterns, and potential difficulties faced by borrowers in meeting their loan obligations on time.

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What is the net profit of SBI in recent quarter?

To improve their financial performance going forward, SBI should focus on addressing the root causes behind the decline in net profit. This may involve implementing stricter credit risk assessment measures to reduce NPAs and enhance recovery efforts from defaulting borrowers. Additionally, optimizing operational efficiency through digitization initiatives can help reduce costs and improve overall profitability.

What Implications Does This Have for Investors?

SBI exceeded market expectations, leading to a surge in its stock price. The bank reported its highest quarterly net profit, which boosted market confidence. Analysts predict that the bank will continue to perform well despite the challenges posed by the second wave of the pandemic. SBI is expected to have a strong position in terms of market capitalization, provisions, and asset quality, supported by recoveries from United Breweries. However, there are concerns about a slowdown in business activity across industries due to the ongoing pandemic.

State Bank of India (SBI) has reported a 55% increase in net profit for the first quarter of fiscal year 2021-22, amounting to Rs 6,504 crore.

SBI Q1 23 24 Outcome

Furthermore, these positive financial results can be attributed to various factors such as improved asset quality and increased lending activities by SBI. The bank has been successful in maintaining a healthy loan portfolio and minimizing non-performing assets (NPAs), which have positively impacted its profitability.

SBI q4 outcomes

State Bank of India (SBI), the largest bank in the country, announced its financial results for the first quarter of 2021. The bank reported a net profit of ₹16,694.5 crore during this period, which marks an impressive 83% increase compared to the same quarter last year when it recorded a net profit of ₹9,113.5 crore. This significant growth can be attributed to various factors such as improved operational efficiency and increased interest income.

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– State Bank of India (SBI) reported a net profit of ₹16,694.5 crore for Q1FY21.

– This represents an impressive 83% increase compared to the same quarter last year.

The Unavoidable Failure of SBI

In simple terms, this means that SBI, HDFC Bank, and ICICI Bank are very important players in the Indian banking industry. They have a significant impact on the overall functioning of the financial system due to their size and influence. If any of these banks were to face major financial difficulties or collapse, it could have severe consequences for the entire economy.

Being part of this list indicates that SBI has performed well in terms of its quarterly results for Q1 2021. It is an achievement for these banks as they continue to play a crucial role in supporting economic growth by providing various banking services such as loans, deposits, and other financial products to individuals and businesses across India.

Ownership of SBI

As of December 2023, the Government of India held approximately 57.49% equity shares in SBI, making it the largest shareholder. The Life Insurance Corporation of India, which is also state-owned, holds a significant stake in the company with a shareholding of 9.02%.