Mumbai: India's largest lender State Bank of India (SBI) on Friday reported a forecast beating net profit of Rs 4,050 crore for the fourth quarter (Jan-March) of FY12 as against Rs 21 crore a year ago, aided by higher interest income and lower provisioning for non-performing loans. Analysts on an average had expected profit at Rs 3,580 crore.
However, the exponential year-on-year jump in its net profit is not comparable. In Q4, FY11, the lower net profit was on account of higher provisions for loans and gratuity payments. It was the first quarter for the bank's existing chairman Pratip Chaudhuri, who had succeeded O P Bhat.
Net interest income or the difference between interest earned and paid out, jumped more than 45 per cent y-o-y to Rs 11,704 crore beating analysts' expectation of Rs 11,777 crore. Other income rose 9 per cent y-o-y to Rs 5264 crore.
Provisions for non-performing assets fell 13 per cent y-o-y to Rs 2,837 crore. The same fell by nearly 6 per cent sequentially (Q4 vs Q3).
Net non-performing asset (NPA) ratio declined to 1.82 per cent as against 2.22 per cent in the October-December quarter while the gross NPA ratio fell from 4.61 per cent to 4.44 per cent during the same period.
Capital adequacy ratio improved at 13.86 per cent versus 11.98 per cent year-on-year. Other income went up to Rs 5,264 crore from Rs 4,815 crore during the same period.
Provision coverage ratio for the financial year 2011-12 stood at 68.10 per cent versus 64.95 per cent (YoY).
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