State Bank of India has rallied 4% to Rs 1,914, bouncing back over 5% from intra-day’s low of Rs 1,820 after reporting better-than-expected net profit at Rs 4,050 crore for the fourth quarter ended March 2012, due to lower provisioning and higher other income. Analysts on average had expected net profit at Rs 3,477 crore from India’s largest lender.
Net interest income (NII) grew 2% at Rs 11,704 crore on quarter-on-quarter (q-o-q) basis. NII is the difference between the interest income and the interest paid out on deposits.
Gross non-performing assets (NPA) in absolute terms declined to Rs 39,676 crore from Rs 40,098 crore in previous quarter. Its gross NPA saw a marginal improvement at 4.44% against 4.61% at the end of December quarter, while net NPA declined to 1.82% from 2.22% on q-o-q basis.
The board of directors of the bank has proposed a dividend of Rs 35/- per share for the accounting year ended March 31, 2012.
As many as a combined 5.82 million shares have changed hands on the counter so far, against an average around four million shares that were traded daily in pas two weeks on both the exchanges