SBI tumbles as much as 5.9% post Q1 results as bad loans soar

STOCK MARKET - The nation's biggest lender State Bank of India fell as much as 5.9% to Rs 279 after provisions for bad loans soared.

The public- sector lender posted a 20% fall in first-quarter profit on a standalone basis. Net profit, not including contributions from subsidiaries, fell to Rs 2,006 crore in the quarter ended June 30, from Rs 2,521 crore a year earlier.

Gross NPA increased to Rs 1.88 lakh crore from Rs 1.12 lakh crore and net NPA jumped to Rs 1.07 lakh crore from Rs 58,277 crore on sequential basis.

Gross bad loans as a percentage of total loans rose to 9.97% at end-June from 6.90% at March-end and 6.94% a year earlier.

Standalone net interest income (NII) of SBI increased 22% (y-o-y) to Rs 17,606.01 crore from Rs 14,437.31 crore. Fresh slippages for including associates stood at Rs 26,249 crore in Q1FY18.

At 2:00 pm, the scrip was trading 4% lower at Rs 284 as against 1.1% fall in S&P BSE Sensex. It hit a high and low of Rs 302.8 and Rs 279 respectively.

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