SBI Q4 loss widens to Rs 77.18 billion as higher NPAs worsen asset quality

Mumbai: State Bank of India (SBI) reported whopping Rs 77.18 billion loss in its fourth quarter, against Rs 28.14 billion profit in the same quarter an year ago, as asset quality worsened significantly and the lender provided huge money as provision against its stressed loans.

The bank had reported a loss – Rs 24.16 billion in the December quarter as well.

Provisions for non-performing assets (NPA) stood at Rs 240.80 billion, against Rs 109.93 billion a year ago. Gross NPA ratio (gross NPA as a percentage of advances) for the quarter was at 10.91 per cent, against 6.90 per cent a year ago and 10.35 per cent in the third quarter.

After provisioning, net NPA ratio was at 5.73 per cent for the fourth quarter ended March, against 3.71 per cent a year ago and 5.61 per cent in the December quarter. The absolute gross NPA stood at Rs 2.23 trillion, against Rs 1.99 trillion in the December quarter and Rs 1.12 trillion in the year ago quarter. This indicates a slippage of about Rs 242.9 billion in  a quarter.  

The bank’s treasury operations incurred a loss of Rs 33.5 billion in the fourth quarter, against loss of Rs 32.55 billion in the third quarter.

The bank’s capital adequacy ratio fell to 12.60 per cent, while its core equity ratio was at 9.68 per cent.

At 2.15 pm, the stock of the bank was up 2.39 per cent, to Rs 250.95 a piece on BSE.


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