SBI Q2 net profit plunges 35 per cent, gross NPAs rise to 7.14 per cent

State owned banking major State Bank of India (SBI) on Friday reported a 34.57 per cent drop in standalone net profit (after minority interest) at Rs 2,538.32 crores for the quarter ended September 30.

Many domestic brokerages had projected a 30-38 per cent drop in profit for the lender on higher slippages and accelerated provisioning.

The largest domestic lender had reported Rs 3,879.07.77 crore profit for the corresponding quarter last year. Interest earned for the quarter rose to Rs 42,318.crore compared with Rs 40,657.56 crore in the same quarter last year.

NII for the quarter came in at Rs 14,438 crore, which was lower than Rs 14,438 crore estimated by analysts at an ET Now poll.

Gross non-performing assets (NPAs) for the quarter rose to 7.14 per cent from 6.94 per cent in June quarter. On a net basis, NPAs advanced to 4.19 per cent from 4.05 per cent in the June quarter of FY17.