SBI Q2 FY23 Results

Q2FY23 RESULTS

HighlightsProfitability·      Highest ever quarterly Net Profit at Rs. 13,265 crores; grew by 73.93% YoY.·      Operating Profit for Q2FY23 at Rs. 21,120 crores; grew by 16.82% YoY.·      ROA at 1.04% for the quarter improved by 38 bps YoY.·       Bank’s ROA and ROE for the half year stand at 0.76% and 16.08% respectively.·      Net Interest Income (NII) for Q2FY23 increased by 12.83% YoY.·      Domestic NIM for Q2FY23 increased by 5 bps YoY to 3.55%. Balance Sheet·      Credit growth at 19.93% YoY with Domestic Advances growing by 18.15% YoY.·      Foreign Offices’ Advances grew by 30.14% YoY.·      Domestic Advances growth driven by Corporate Advances (21.18% YoY) followed by Retail Personal Advances which grew by 18.84% YoY.·      REH Advances cross Rs. 6 lakh crores.·      SME and Agri loans have registered YoY growth of 13.24% and 11.00% respectively.·      Whole Bank Deposits grew at 9.99% YoY, out of which CASA Deposit grew by 5.35% YoY. CASA ratio stands at 44.63% as on 30th September 22.Asset Quality·      Net NPA ratio falls below 1%, stands at 0.80% down by 72 bps YoY.·      Gross NPA ratio at 3.52% down by 138 bps YoY.·      Provision Coverage Ratio (PCR) at 77.93% improved by 788 bps YoY, PCR (Incl. AUCA) stands at 91.54%.·      Slippage Ratio for Q2FY23 at 0.33% improved by 33 bps YoY.·      Credit Cost for Q2FY23 at 0.28%; improved by 15 bps YoY. Capital Adequacy·      Capital Adequacy Ratio (CAR) as at the end of Q2FY23 stands at 13.51%. Alternate Channels·      62% of SB accounts and 45% of retail asset accounts acquired digitally through YONO.·      Share of Alternate Channels in total transactions increased from 95.1% in H1FY22 to 96.8% in H1FY23.

Key Summary of Q2FY23 Results

In Rs Crores	Q2FY22	Q1FY23	Q2FY23	YoY %	QoQ %	H1FY22	H1FY23	YoY %
Profit & Loss
Interest Income	69,481	72,676	79,860	14.94	9.88	1,35,046	1,52,536	12.95
Interest Expenses	38,298	41,480	44,676	16.66	7.70	76,224	86,157	13.03
Net Interest Income	31,184	31,196	35,183	12.83	12.78	58,822	66,379	12.85
NIM, % (Domestic)	3.50	3.23	3.55	5 bps	32 bps	3.33	3.39	6 bps
Operating Profit	18,079	12,753	21,120	16.82	65.61	37,054	33,873	-8.59
Loan loss provisions	2,699	4,268	2,011	-25.50	-52.89	7,729	6,279	-18.76
Profit after tax	7,627	6,068	13,265	73.93	118.59	14,131	19,333	36.81

In Rs Crores	Sep 21	Jun 22	Sep 22	YoY %	QoQ %
Balance Sheet
Gross advances	25,30,777	29,00,636	30,35,071	19.93	4.63
Domestic Corporate	7,56,764	8,74,014	9,17,016	21.18	4.92
Domestic Retail Personal	9,04,473	10,34,111	10,74,853	18.84	3.94
Of which: Home loans	5,18,703	5,75,075	5,94,292	14.57	3.34
Deposits	38,09,630	40,45,696	41,90,255	9.99	3.57
Domestic CASA	17,06,387	17,67,666	17,97,752	5.35	1.70
Domestic Term Deposits	19,83,642	21,32,185	22,30,260	12.43	4.60
CASA Ratio (%)	46.24	45.33	44.63	-161 bps	-70 bps
GNPA	1,23,942	1,13,272	1,06,804	-13.83	-5.71
NNPA	37,119	28,258	23,572	-36.49	-16.58

Ratios, %	Q2FY22	Q1FY23	Q2FY23	YoY, bps	QoQ, bps	H1FY22	H1FY23	YoY, bps
Asset Quality
GNPA	4.90	3.91	3.52	-138	-39	4.90	3.52	-138
NNPA	1.52	1.00	0.80	-72	-20	1.52	0.80	-72
PCR (with AUCA)	87.68	90.14	91.54	386	140	87.68	91.54	386
PCR (without AUCA)	70.05	75.05	77.93	788	288	70.05	77.93	788
Slippage Ratio	0.66	1.38	0.33	-33	-105	1.56	0.86	-70
Credit Cost	0.43	0.61	0.28	-15	-33	0.61	0.45	-16
Capital Ratios
CET-1 ratio	9.76	9.72	9.53	-23	-19	9.76	9.53	-23
Tier-1 ratio	11.02	11.15	11.12	10	-3	11.02	11.12	10
CAR	13.35	13.43	13.51	16	8	13.35	13.51	16