SBI Q1 Profit Climbs Nearly 14% to Rs 24,113 Crore as Asset Quality Improves

State Bank of India (SBI), the country's largest lender, reported a 13.73 per cent rise in consolidated net profit for the June quarter, reflecting stronger earnings, improved asset quality and lower provisioning for bad loans despite higher operating expenses.

The banking major posted a consolidated net profit of Rs 24,113 crore for the first quarter of FY27, compared with Rs 21,201.47 crore in the corresponding period last year. The figure also improved from Rs 19,642.87 crore recorded in the March quarter, underscoring sustained business momentum.

On a standalone basis, the bank registered a 10.23 per cent year-on-year increase in net profit to Rs 21,121.22 crore, up from Rs 19,160.44 crore in the April-June quarter of FY26, according to its regulatory filing.

Total income rose to Rs 1.43 lakh crore, compared with Rs 1.35 lakh crore a year earlier, supported by healthy business growth across key segments. At the same time, total expenditure increased to Rs 1.10 lakh crore from Rs 1.04 lakh crore, reflecting higher operating costs.

A key highlight of the quarter was the continued strengthening of the bank's balance sheet. Provisions for non-performing assets (NPAs) declined to Rs 3,359 crore from Rs 4,934 crore in the year-ago quarter, although they were marginally higher than Rs 3,140 crore reported in the preceding quarter.

The bank's gross NPA ratio improved to 1.47 per cent as of June 30, 2026, compared with 1.49 per cent at the end of March and 1.83 per cent a year earlier, indicating continued progress in asset quality.

Meanwhile, SBI's capital adequacy ratio stood at 15.67 per cent, including a core capital buffer of 12.89 per cent, providing a comfortable cushion for future growth. Following the earnings announcement, SBI shares gained over 2 per cent, with the stock trading at Rs 1,108 on the BSE, reflecting positive investor sentiment.