SBI Q2 profit rises 10% led by exceptional gain from stake sale in Yes Bank
Mumbai: State Bank of India announced net profit on Tuesday ₹20,160 crore in the second quarter of FY26, up 10% over the same period last year, driven by extraordinary gain from the sale of part of its shares in Yes Bank.
SBI announced on September 18 that it has completed the sale of 13.18% stake in private sector lender Yes Bank to Japan’s Sumitomo Mitsui Banking Corp. ₹8,888.97 crore. SBI currently holds 10.8% stake in Yes Bank.
SBI on Tuesday said its stake sale in Yes Bank has yielded profits so far ₹4,593.22 crore.
The country’s largest lender was expected to post a standalone net profit ₹17,523 crore, down over 4% year-on-year in the three months ended September, according to a Bloomberg analyst survey.
The bank reported a 3.3% year-on-year increase in net interest income (NII). ₹42,984 crore, the lender said in a statement on Tuesday. NII is the difference between interest earned and spent.
Domestic net interest margin (NIM), an important indicator of profitability, increased by 7 basis points consecutively, but decreased by 18 basis points compared to the previous year, falling to 3.09%.
asset quality
The bank’s asset quality improved in the second quarter; The ratio of gross bad loans to total loans decreased by 10 basis points and 40 basis points on an annual basis, respectively, to 1.73%.
New declines eased in second quarter ₹4,754 crore in return ₹7,945 crore in the June quarter and ₹4,871 crore in the September quarter last year.
SBI reported 12.3% year-on-year growth in domestic advances. When loans received from foreign offices are included, loan growth was 12.7% and the total loan book ₹44.2 trillion.
In the three months until September, corporate loans increased by 7% and individual loans increased by 14%. Total deposits of the bank ₹55.9 trillion, an increase of 9.3% compared to the same period last year.
On Tuesday, SBI shares were trading at the following levels: ₹It was at 953.50 on the National Stock Exchange, up 0.4% from the previous close in a largely weak market.
