Net profit in the year-ago quarter was ₹18,331 crore. A Bloomberg poll of analysts had expected profit to fall 4% year on year to ₹17,523 crore. RAM advances rose 15% on year crossing ₹25 lakh crore in the bank’s loan book led by a 19% growth in loans to small and medium advances and an identical 14% growth in retail and agriculture advances.
Chairman CS Setty increased the bank’s loan growth forecast for the year to 12% to 14% from 11% to 12% earlier, mainly on optimism around double-digit loan demand in the RAM segment. “The enablers both from the fiscal side (GST cut) as well as RBI (rate cuts) will give sustained opportunity to grow in the RAM portfolio….We have seen an improvement in consumer demand particularly after the GST cuts especially in sectors like auto loans where we have gained market share…we will also growth our Xpress credit (personal loan) portfolio in double digits,” Setty said.
ET BureauSBI made a ₹4,593 crore profit from the sale of a part of its stake sale in Yes Bank. In September the bank completed the divestment of a 13.18% stake in Yes Bank to Japan’s Sumitomo Mitsui Banking Corporation (SMBC).
Net interest income (NII) increased 3% year on year, reflecting the pressure on the bank’s margins as deposit repricing still lagged loans. NII increased 3% to ₹42,984 crore in the quarter ended September 2025. Net interest margin (NIM), or the difference between yield on advances and cost of deposits, fell to 2.97% in September 2025 from 3.14% a year ago mainly because yield on advances dropped to 8.68% from 8.93% a year ago after the cuts in policy rates. Quality of Advances
Asset quality improved with net NPA falling to 0.42% from 0.53% a year ago. The bank continues to hold about 10% stake in Yes Bank, which was bailed out through central bank interventions in 2020.
Setty said more than the 14% rate of return the bank made from the stake sale, SBI played a key role in the restructuring plan initiated in 2020, finally drawing a strategic partner for the lender.
The quarter marked another milestone for India’s largest bank with total assets and deposits crossing the ₹100 lakh crore mark. Setty said the bank has set its sights on becoming bigger.
“If we want to become a top 10 among global banks in assets, we still have a long way to go. We have consistently maintained our total business at 20% of GDP and we aim to increase it to 25% of GDP,” Setty said.
Corporate advances increased 7% year on year, but the bank is confident that growth in this segment will pick up because of the strong pipeline of loans. Managing director in charge of corporate banking Ashwini Tewari said the bank has a pipeline of more than ₹7 lakh crore of corporate loans at different stages of sanctions and disbursements which also improve credit demand for the rest of the fiscal.
Chairman Setty said the bank is open to collaborating with other banks for M&A financing. “We know the corporates, we have always been doing outbound deals. We do not mind collaborating with others,” he said.
M&A financing will be part of corporate banking, but Setty said the bank would develop a strategy only after final guidelines are issued by the central bank.