» Business » SBI Q4 net down 8%, but ahead of estimates

SBI Q4 net down 8%, but ahead of estimates

May 23, 2014 13:37 IST
Get Rediff News in your Inbox:

State Bank of India (SBI), the nation's top lender, reported its fifth consecutive quarter of declining profit as slower loan growth and a rise in bad loans take a toll on Indian lenders.

SBI, which accounts for about a quarter of India's loans and deposits, said standalone net profit fell about 8 per cent from a year earlier to Rs 30.41 billion ($519.8 million) in its fiscal fourth quarter to March 31, but ahead of analysts' estimate of Rs 28.03 billion

Net non-performing loans as a percentage of total assets rose to 2.57 per cent in March quarter from 2.1 per cent in the year-ago quarter, but was lower than 3.24 per cent for the December quarter.

Lenders in India are betting that a new government that is set to take over next week will help revive an economy facing its worst slowdown since the 1980s, spurring loan growth and checking a rise in bad loans.

SBI shares were trading 3.1 per cent up as of 1:10 p.m. in a Mumbai market that gained 0.65 pe rcent.

(Reporting by Devidutta Tripathy; Editing by Matt Driskill) 

Get Rediff News in your Inbox:
© Copyright 2021 Reuters Limited. All rights reserved. Republication or redistribution of Reuters content, including by framing or similar means, is expressly prohibited without the prior written consent of Reuters. Reuters shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

Moneywiz Live!