SBI Q4 preview: Strong loan growth, stable margins may cushion margins

Kotak Institutional Equities expects the bank’s operating profit to decline by 11% year-on-year, mainly due to weakness in treasury revenue. “We are recording a 5% increase in annual NII growth despite a 14% annual credit growth due to the high cost of funds and the impact of recent interest rate cuts,” the brokerage said. It was also noted that wage income growth may moderate throughout the quarter.