Live news , top stories, corporate news, company news, sector news, economy news, results analysis news, ceo interviews, fund manager interview, advisor interview, market news, bazaar talk, hot stocks news, ipo news, commodities news, mutual fund news, insurance news, news wire
01 November, 2014 10:49 IST
News
SBI Q3 subdued, maintain Accumulate: Angel Broking
Source: IRIS | 14 Feb, 2013, 04.39PM
Comments  |  Post Comment

State Bank (Q,N,C,F)* of India (SBI), the largest public sector lender, announced Thursday a rise of 4.08% y-o-y in net profit to Rs 33.96 billion for the quarter ended Dec. 31, 2012. Analysts on an average had expected net profit to come at Rs 35.13 billion.

During the quarter, total income grew 14.12% to Rs 339.92 billion over same period last year. NII for the quarter came in at Rs 111.54 billion.

Meanwhile, net NPA was at 2.59% as on the quarter ended Dec. 31, 2012, as compared to 2.22% in the year ago period. While gross NPA is at 5.30% as on Dec. 31, 2012 as compared to 4.61% in the same period last year.

Vaibhav Agrawal, VP research, Angel Banking said, ''State Bank of India reported subdued operating performance for 3QFY2013, as its net interest income (NII) and operating profit declined by 2.7% and 4.2% yoy, respectively. The bank has been aggressive in cutting its lending rates, so the decline in NII, was in-line with our expectations. The bank witnessed continued pressures on the asset quality front, as elevated slippages and sequentially lower recoveries/upgrades resulted in 8.6% sequential increase in gross NPA levels, with net slippages being about Rs 8 billion higher than our estimates. As a result, in spite of slightly higher provisioning expenses than estimated by us, provisioning coverage ratio declined by about 130bp sequentially. We await the guidance of the management on the asset quality outlook, in the backdrop of an improvement seen in the overall asset quality of the PSU pack. At the current market price, the stock is trading at 1.5x FY2014E ABV (adjusting for value of subsidiaries 1.3x FY2014E ABV) vis-à-vis its historic range of 1.3-2.3x and median of 1.6x. We maintain our Accumulate view on the stock."

Disclaimer: IRIS has taken due care and caution in compilation of data for its web site. Information has been obtained by IRIS from sources which it considers reliable. However, IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website.


Sector News
D S Kulkarni Developers standalone quarterly net up 22.93% - 31-Oct-2014 18:37
Apcotex Industries standalone quarterly net soars 2.84 times - 31-Oct-2014 18:01
National Oxygen loss widens in Jul-Sep quarter - 31-Oct-2014 17:33
Angel Broking maintains Neutral on Ambuja Cement - 31-Oct-2014 17:22
Dalmia Bharat Sugar and Industries loss narrows in Jul-Sep quarter - 31-Oct-2014 17:19
Angel Broking recommends Neutral on Union Bank - 31-Oct-2014 17:18
Angel Broking recommends Buy on M&M - 31-Oct-2014 17:14
Hatsun Agro Product standalone quarterly profit plunges 66.78% - 31-Oct-2014 17:09
NMDC standalone quarterly profit rises 18.83% - 31-Oct-2014 16:59
Igarashi Motors India standalone quarterly net falls 39.64% - 31-Oct-2014 16:55
M C S loss narrows in Jul-Sep quarter - 31-Oct-2014 16:33
more...
* Q - Quote , N - News , C - Chart , F - Financials
Comments Post comment 
 Post Comment
Name Email
Comment
Security Code type   4hnqm9 into this box
Home  |   Shares  |   F&O  |   Mutual Funds  |   Loans  |   Insurance  |   News Centre
Wealth Tracker  |   Newsletters  |   Tax Corner  |   NRI Centre  |   Advertise
© All rights reserved. IRIS Business Services Limited
A Disclaimer