Mumbai, August 7: State Bank of India (SBI) shares will remain in focus today as it has reported a 10.2% year-on-year (YoY) rise in net profit to ₹21,121 crore for the first quarter ended June 30, 2026 (Q1 FY27). This has beaten street estimates, following strong credit demand, double-digit growth in interest income, and lower bad loan provisions, which have boosted profits.
The company has seen its Net Interest Income (NII) increase to ₹46,992 crore from ₹40,907 crore, a 15% rise from last year, with its net interest margin(NIM) has expanded 7 basis points over the past three months.
With the demand for credit increasing, SBI has seen its gross loans grow by 18.63% for the quarter, with an 18.05% growth in corporate credit and a 15.15% rise in retail loans as well. Overall, total revenue has crossed ₹111 crore, with deposits reaching ₹60.06 lakh crore and advances surpassing ₹50.47 lakh crore.
In a recent analyst meet, SBI has promised to maintain the NIM above 3% during the year, with the RBI’s guidelines related to the FCNR(B) deposits expected to help in maintain liquidity in the banking system.
Beyond that, the management remains concerned about the risks due to the subdued monsoon this year that could impact demand, and credit growth as well, in rural areas.
SBI’s shares have risen more than 5.6% in the last one month, and is currently trading at ₹1,097 a piece.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Investing in stocks includes financial risks, and past performance is not indicative of future results. Readers should conduct their own research or consult with a qualified financial advisor before making any investment decisions.
