SBI Reports Modest Profit Growth In Q1 FY25 Amidst Margin Pressures And Rising Provisions

State Bank of India (SBI) reported a modest 0.89% increase in net profit for Q1 FY25, reaching Rs 17,035 crore, up from Rs 16,884.29 crore in the same period last year. This slight growth was impacted by reduced net interest margins, a dip in other income, and a sharp rise in loan loss provisions. Despite these challenges, SBI saw a 16.2% year-on-year increase in interest income and earned Rs 6,922 crore in fee income during the April-June 2024 quarter. Notably, Rs 1,252 crore came from loan processing charges, while Rs 1,512 crore was generated from miscellaneous fees. Chairman Dinesh Kumar Khara outlined the bank's strategic responses to these issues, aiming to sustain growth amid a dynamic financial landscape.