State Bank of India has recorded a 20.99 per cent growth
in net profit for the second quarter ended September 30,2003,
at Rs 988.74 crore as compared to Rs 817.20 crore in the
year ago period.
A.K. Purwar, Chairman, SBI, said, growth in retail advances
largely contributed to the profit in the second quarter.
"Although the bank's net interest margins have been
under pressure, the position is likely to improve by the
fourth quarter. Net interest margins have been lower as
advances' growth has not been along the targeted lines.
Interest margins are expected to go up from 2.79 to 2.90
per cent by year end."
total income for the quarter grew to Rs 102,69.01 crore
(Rs 8,962.91 crore). This is inclusive of interest earned
at Rs 7,613.94 crore (Rs 7,825 crore) and other income
at Rs 2,655.07 crore (Rs 1,137.91 crore).
expenditure of the bank was at Rs 7,408.10 crore (Rs 7,284.08
crore). This is inclusive of interest expended at Rs 5,198.91
crore (Rs 5,425.95 crore) and operating expenses at Rs
2,209.19 crore (Rs 1,858.13 crore).
gross NPA ratio has come down to 8.89 per cent as on September
30, from 9.34 per cent as on March 31.
During this period, the net NPA ratio was at 2.56 per
cent (4.50 per cent). Gross NPAs of the bank have declined
from Rs 13,506 crore to Rs 13,135.71 crore.
provisions and contingencies made by the bank for the
quarter ended September 30, stood at Rs 1,872.17 crore
(Rs 861.63 crore).
bank has also earmarked the Rs 1,010.32 crore premium
earned on from the debt buyback programme of the Government
of India, for additional NPA provisions.
provisioning for the income-tax was at Rs 1,195.56 crore
(Rs 918.20 crore).