State Bank of India Q4 Results: Profit falls 9.9% YoY to ₹18,643 crore; NII rises 1.5%

State Bank of India (SBI), the country's largest lender by assets, reported a 9.9% year-on-year decline in net profit for the March quarter (Q4FY25) at ₹18,643 crore, compared with ₹20,698 crore a year earlier. The profit surpassed analysts' average estimate of ₹17,093.6 crore, according to a CNBC-TV18 poll.

Net interest income (NII) rose 1.5% to ₹42,774 crore from ₹41,655 crore in Q4FY24, aided by steady loan growth, though margins remained under pressure. This was slightly above the poll's forecast of ₹42,465.7 crore.

Operating profit for the quarter rose 8.8% to ₹31,286 crore, while provisions increased 20.4% YoY to ₹3,964 crore. The bank’s gross NPA ratio improved to 1.82% from 2.24% a year earlier, and net NPA dropped to 0.47% from 0.57%.

The bank’s net interest margin (NIM) for Q4FY25 stood at 3.00% for the whole bank and 3.15% for domestic operations, down 47 basis points and 32 basis points respectively from the year-ago quarter.

SBI’s asset quality saw notable improvement, with the gross NPA ratio falling to 1.82% from 2.24% a year earlier, and the net NPA ratio easing to 0.47% from 0.57%. The provision coverage ratio (including AUCA) rose to 92.08%, while credit cost increased slightly to 0.39%, up from 0.37% in Q4FY24.

Total advances as of March 2025 rose to ₹42.21 trillion, a 12.03% increase YoY, driven by 16.9% growth in SME loans and 14.5% growth in home loans. Domestic retail personal advances grew by 11.4% to ₹15.06 trillion.

Deposits rose 9.5% YoY to ₹53.82 trillion. The CASA ratio came in at 39.97%, down from 41.11% in the year-ago period. Domestic CASA deposits grew 6.34% YoY.

The lender maintained a solid capital position with a capital adequacy ratio (CAR) of 14.25% and CET-1 ratio of 10.81%. The bank continued to expand its digital footprint, with 64% of new savings bank accounts sourced through its YONO app, and 98.2% of total transactions conducted via alternate channels.