SBI shares tank 4% post Q1 results
Shares of State Bank of India Monday fell by 4 percent after it reported 13.6 percent decline in standalone net profit for the quarter ended June 30, 2013.
Mumbai: Shares of State Bank of India Monday fell by 4 percent after it reported 13.6 percent decline in standalone net profit for the quarter ended June 30, 2013.
SBI's scrip settled 3.41 percent lower at Rs 1,604.80 on the BSE. During the day, the bank's stock plunged 5.2 percent to Rs 1,575 -- its 52-week low.
At the NSE, the scrip ended the day with 4.02 percent loss at Rs 1,597.30.
Following weakness in the stock, the market value of the bank plunged Rs 3,875 crore, to Rs 1,09,773 crore.
The blue-chip stock was the worst performer among the frontline scrips on both the key indices -- Sensex and Nifty.
"Banking major SBI reported its Q1 numbers which were down by 13.6 percent YoY. The stock slipped 4 percent as the bank's asset quality was under pressure," said Milan Bavishi, Head Research, Inventure Growth and Securities.
SBI today reported 13.6 percent decline in Q1, 2013-14 standalone net profit to Rs 3,241.08 crore due to increased provisioning for rising non-performing assets.
The country's largest bank had standalone net profit of Rs 3,752 crore in the same quarter of last fiscal.
Total income increased to Rs 36,192.62 crore in Q1, from Rs 32,415 crore in the year-ago period.
The bank's gross non-performing assets (NPAs) rose to 5.56 percent of total advances at the end of June, as against 4.99 percent a year ago, reflecting the impact of slowing economy.
On consolidated basis, SBI's net profit fell by 12 percent to Rs 4,298.56 crore for the quarter ended June 30, from Rs 4,874.7 crore in the same period a year ago.
Total income on consolidated basis increased to Rs 52,502.29 crore as against Rs 46,839 crore in the April-June quarter of 2012-13.
In value terms, SBI's Gross NPAs increased to Rs 60,891.46 crore (5.56 percent of loans) during the June quarter, from Rs 47,156.38 crore (4.99 percent) in the corresponding period a year ago.
Net NPAs of the bank rose to Rs 29,989.84 crore (2.83 percent) at the end of the first quarter, as against Rs 20,324.01 crore (2.22 percent) in the year ago.