Mumbai: State Bank of India, the nation's top lender, reported its fifth consecutive quarter of declining profit as slower loan growth and a rise in bad loans take a toll on Indian lenders.
SBI, which accounts for about a quarter of India's loans and deposits, said standalone net profit fell about 8 percent from a year earlier to 30.41 billion rupees ($519.8 million) in its fiscal fourth quarter to March 31, but ahead of analysts' estimate of 28.03 billion rupees.
Net non-performing loans as a percentage of total assets rose to 2.57 percent in March quarter from 2.1 percent in the year-ago quarter, but was lower than 3.24 percent for the December quarter.
Lenders in India are betting that a new government that is set to take over next week will help revive an economy facing its worst slowdown since the 1980s, spurring loan growth and checking a rise in bad loans. SBI shares were trading 3.1 per cent up, but in Mumbai market that gained 0.65 per cent.
