State Bank of India reported a 13.06% year-on-year rise in consolidated net profit to ₹21,317 crore for the December quarter of FY26, supported by steady income growth, improved asset quality, and stronger capital buffers.
In the year-ago period, the country’s largest lender had posted a consolidated profit of ₹18,853 crore, while profit in the preceding September quarter stood at ₹21,137 crore.
Standalone Profit Jumps 24%, Income Crosses ₹1.4 Trillion
On a standalone basis, SBI delivered a sharper performance, with net profit rising 24.48% YoY to ₹21,028 crore, compared to ₹16,891 crore in Q3 FY25.
The bank’s total standalone income increased to ₹1.40 trillion, up from ₹1.28 trillion in the corresponding quarter last year. This growth came despite a rise in costs, reflecting resilience in core banking operations.
Expenses and Provisions Rise, But Balance Sheet Strengthens
Standalone expenses for the quarter rose to ₹1.08 trillion, compared to ₹1.05 trillion in Q3 FY25, driven by higher operating and interest-related costs.
Provisions increased sharply to ₹4,507 crore, compared to ₹911 crore in the year-ago quarter, reflecting a more conservative provisioning approach despite improving asset quality.
Asset Quality Continues to Improve
SBI reported further improvement in asset quality metrics during the quarter. The gross non-performing assets (GNPA) ratio declined to 1.57% as of December 31, 2025, from 1.73% in September 2025, indicating continued recovery in stressed assets.
The improvement underscores the bank’s sustained focus on recoveries, better credit underwriting, and a stabilising loan book environment.
Capital Adequacy Remains Comfortable
The bank’s capital adequacy ratio stood at 14.04% as of December-end, providing a comfortable buffer above regulatory requirements. The core Tier-I capital ratio was reported at 10.99%, reflecting balance sheet strength and capacity to support future credit growth.
Outlook
With improving asset quality, stable profitability, and strong capital buffers, SBI enters the final quarter of FY26 on a solid footing. Analysts expect the bank to benefit from credit demand momentum while maintaining disciplined risk management amid a gradually normalising interest rate environment.
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