SBI Net Profit Grows Around 22% YoY In FY24 Despite Wage Settlement

The profit after tax (PAT) of State Bank of India (SBI) has been Rs 61,077 crore in the financial year 2023-24 (FY24) which is a growth of 21.59 per cent as compared to the previous financial year FY23.
On a quarter-on-quarter (QoQ) basis the growth in the net profit has been 125.87 per cent due to a lower base effect since in the last quarter there was a one-time exceptional item and wage settlement of Rs 7,100 crores. The bank has registered a net profit of Rs 20,698 crore in the quarter ending March 2024 (Q4 FY24) with a QoQ growth of 23.98 per cent on a YoY basis.

Gross NPA ratio at 2.24 per cent improved by 54 bps YoY. Net NPA ratio at 0.57 per cent improved by 10 bps YoY. Provision coverage ratio (PCR) stands at 91.89 per cent with being at 75.02 per cent. Slippage Ratio for FY24 improved by 3 basis points YoY and stands at 0.62 per cent. Credit Cost for FY24 improved by 3 bps YoY and stands at 0.29 per cent.
The slippage ratio has also decreased from 0.65 per cent to 0.62 per cent in this financial year.

Capital Adequacy Ratio (CAR) as at the end of FY24 stands at 14.28 per cent which is a decrease of 40 bps when compared to the previous financial year. The net interest margins (NIM) has also decreased to 3.43 per cent from 3.58 per cent in the previous financial year. The net interest income (NII) has increased from Rs 1,44,841 crore last year to Rs 1,59,876 crore this year showing an increase of 10.38 per cent.

Credit growth is at 15.24 per cent YoY with domestic advances growing by 16.26 per cent YoY. Corporate advances and agri Advances crossed Rs 11 lakh crores and 3 lakh crores respectively. Foreign Offices’ Advances grew by 9.47 per cent YoY. Domestic Advances growth was driven by SME Advances (20.53 per cent YoY) followed by Agri Advances which grew by 17.92 per cent YoY. Retail Personal Advances and Corporate loans registered YoY growth of 14.68 per cent and 16.17 per cent respectively. Whole Bank Deposits grew at 11.1 per cent YoY, out of which current accounts and savings account (CASA) deposit grew by 4.25 per cent YoY. CASA ratio stands at 41.11 per cent as of 31 March 2024.