India Financials

Saumya Agarwal

Equity Bottom-Up

<p>State Bank of India (SBI), India’s largest Bank, reported its Q4FY21 results today. Despite a mammoth loan book accounting for ~22% of the banking sector loans, SBI reported an improvement in asset quality, on an incremental q-o-q basis. This was marked by lower fresh slippages and a decline in the Overdue book. However, Agriculture continued to be its most stressed segment, a trend common to all PSU banks.</p><p>While FY21 Net profits posted a robust jump, aided by moderate growth in revenue and lower credit costs,  YONO, its fintech platform has scaled up well, largely inline with management guidance.</p>

State Bank of India (SBI), India’s largest Bank, reported its Q4FY21 results today. Despite a mammoth loan book accounting for ~22% of the banking sector loans, SBI reported an improvement in asset quality, on an incremental q-o-q basis. This was marked by lower fresh slippages and a decline in the Overdue book. However, Agriculture continued to be its most stressed segment, a trend common to all PSU banks.While FY21 Net profits posted a robust jump, aided by moderate growth in revenue and lower credit costs,  YONO, its fintech platform has scaled up well, largely inline with management guidance.

SBI Q4FY21: Lower Slippages and Smaller Overdue Loans on an Incremental Basis + YONO Scales up Well

State Bank Of India

SBI Q4FY21: Lower Slippages and Smaller Overdue Loans on an Incremental Basis + YONO Scales up Well