SBI Q1 profit up 81 pc to Rs 4,189 cr on one-time gain

Mumbai (Maharashtra) [India], July 31 (ANI): Government-owned State Bank of India (SBI) on Friday reported 81 per cent year-on-year jump in its net profit at Rs 4,189 crore for the quarter ended June compared to Rs 2,312 crore in the same quarter last year.
The surge in profit was due to gain of Rs 1,540 crore on account of stake sale in arm SBI Life. "Exceptional items for quarter ended June represent a profit of Rs 1,539.73 crore on sale of a certain portion of investment in bank's subsidiary SBI Life Insurance Company Ltd," said the bank in a statement.
On a quarterly basis, the net profit grew 17 per cent from Rs 3,581 crore reported in January to March quarter.
The net interest income -- the difference between interest earned and expended -- came in at Rs 26,642 crore, marking 16 per cent growth year-on-year from Rs 22,939 crore.
The bank made total provisions of Rs 12,501 crore in Q1 FY21. "The bank has made an additional provision of Rs 1,836 crore on account of Covid-19 related accounts. The provision of Rs 3,008 crore is held by the bank on Covid-19 related accounts as on June 30," it said.
For accounts covered under the provisions of Insolvency and Bankruptcy Code (IBC), the bank is holding a total provision of Rs 5,835 crore (95.67 per cent of total outstanding) as on June-end.
However, SBI reported fresh slippages at Rs 3,637 crore, down from Rs 8,101 crore reported in Q4FY20.
Gross non-performing assets (NPAs) totalled Rs 1.29 lakh crore in Q1 FY21, down from Rs 1.49 lakh crore in Q4 FY20.
On the other hand, net NPAs were Rs 42,703 crore, down from Rs 51,871 crore in Q4 FY20.
At 2:35 pm, SBI stock was trading 4.07 per cent higher on BSE Ltd at Rs 194.15 per unit. (ANI)