State Bank of India (SBI), the country’s largest lender, reported a 10.23% year-on-year increase in net profit to ₹21,121 crore for the first quarter ended June 30, 2026, driven by healthy growth in net interest income, advances and improved asset quality.
The bank’s operating profit rose 9.77% to ₹33,529 crore, while net interest income (NII) grew 14.88% to ₹46,992 crore during the quarter. Return on Assets (RoA) stood at 1.11%, while Return on Equity (RoE) was 17.87%.
Business crosses ₹110 lakh crore
SBI said its total business crossed the ₹110 lakh crore milestone during the quarter, with deposits exceeding ₹60 lakh crore and advances crossing ₹50 lakh crore.
Gross advances increased 18.63% year-on-year to ₹50.47 lakh crore, led by broad-based growth across retail, agriculture, SME and corporate segments. Domestic advances rose 18.15%, while overseas advances grew 21.38% in rupee terms.
The bank’s RAM (Retail, Agriculture and MSME) advances expanded 18.20%, driven by 25.43% growth in agriculture loans, 22.33% growth in SME advances and 15.15% growth in retail personal loans. Corporate advances also registered a healthy 18.05% increase.
Deposits continue to grow
Total deposits rose 9.73% year-on-year to ₹60.06 lakh crore, while CASA deposits increased 9.30%. The CASA ratio stood at 39.24% at the end of June 2026, with retail term deposits registering a 14.39% annual growth.
Asset quality strengthens further
SBI continued to improve its asset quality during the quarter. The gross non-performing asset (GNPA) ratio declined to 1.47% from 1.83% a year earlier, while the net NPA ratio improved to 0.38% from 0.47%.
The Provision Coverage Ratio (PCR), including accounts written off under AUCA, stood at 91.82%, while the slippage ratio improved to 0.57%. Credit cost remained low at 0.27%.
Margins improve, capital remains strong
SBI’s domestic net interest margin (NIM) improved by 7 basis points sequentially to 3.00%, while the whole bank NIM rose to 2.86%.
The bank maintained a strong capital position, with the Capital to Risk Weighted Assets Ratio (CRAR) improving to 15.67%, including a CET-1 ratio of 12.89%.
Digital banking gains momentum
Digital adoption continued to strengthen during the quarter, with more than 64% of savings bank accounts opened through YONO. Alternate channels accounted for nearly 98.8% of total transactions, up from about 98.6% a year earlier.