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SBI net profit falls 13.6 percent; shares drop

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Reuters MUMBAI
Last Updated : Aug 12 2013 | 5:18 PM IST

MUMBAI (Reuters) - State Bank of India (SBI), the country's largest lender, posted a second consecutive drop in quarterly net profit, missing estimates, on worsening asset quality, higher operating expenses and muted growth in interest income.

The state-run bank posted on Monday a 13.6 percent drop in net profit to 32.41 billion rupees in the fiscal first quarter that ended in June compared with 37.52 billion rupees a year ago.

Net interest income rose 3.5 percent to 115.12 billion rupees.

Analysts had expected a net profit of 36.2 billion rupees, according to Thomson Reuters I/B/E/S. The bank's shares fell more than 5 percent after the earnings were announced.

SBI shares closed 3.5 percent lower at 1605.35 rupees.

(Reporting by Swati Pandey; Editing by Miral Fahmy)

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First Published: Aug 12 2013 | 5:09 PM IST

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