The country's largest lender by assets, State Bank of India, on Friday reported that its profit in October-December period rose 41 per cent to Rs 5,583.36 crore compared with Rs 3,954.81 crore in the same quarter last year. The higher profit in December quarter came on the account of lower provisioning for bad loans.
State Bank of India's provisions for bad loans fell 41.35 per cent to Rs 8,193.06 crore from Rs 13,971 crore in the same quarter last year.
SBI's core income - net interest income - or the difference between interest earned and interest expended rose 22 per cent to Rs 27,779 crore from Rs 22,691 crore in same quarter last year.
The bank's gross non-performing assets as a percentage of total advances improved to 6.94 per cent versus 7.19 per cent in the previous quarter.
Gros non-performing assets stood at Rs 1,59,661.19 crore as against Rs 1,61,636 crore.
The net NPAs came in at 2.65 per cent versus 2.79 per cent in the previous quarter.
State Bank of India shares surged 3.5 per cent to Rs 321.60 after the earnings announcement.