State Bank of India (SBI), the country’s largest public sector bank, reported a strong financial performance for the first quarter of FY27, with net profit rising 10.23 per cent year-on-year to ₹21,121 crore. The bank had posted a net profit of ₹19,160 crore in the same quarter last year. On a sequential basis, SBI’s profit increased 7.30 per cent from ₹19,684 crore recorded in the fourth quarter of FY26.
The growth in profitability was primarily supported by higher net interest income, reflecting improved earnings from lending operations. However, the bank’s overall net interest margin (NIM) moderated slightly to 2.86 per cent in Q1 FY27 from 2.89 per cent a year earlier. Despite this, domestic NIM showed improvement, rising by 7 basis points quarter-on-quarter to 3.00 per cent from 2.93 per cent in Q4 FY26.
SBI’s non-interest income declined during the quarter, falling 9.07 per cent year-on-year to ₹15,923 crore. The drop was mainly due to lower treasury and foreign exchange earnings. Forex and derivatives income declined significantly to ₹497 crore, while profit from the sale of investments fell to ₹4,319 crore compared with ₹6,326 crore in the previous year.
Despite pressure on non-core income streams, SBI maintained steady growth momentum, supported by stronger interest earnings and improved domestic margins. The results highlight the bank’s continued operational strength and resilience in a challenging financial environment.
