SBI Surges with Forex Gains Amid Rate Cut Impact

State Bank of India reported a 9.71% rise in consolidated profit for June 2025, thanks to strong treasury and forex income. Despite increased advances, core net interest income dropped due to RBI rate cuts. SBI aims for a 3% NIM in FY26 and maintains 12% loan growth target despite global uncertainties.

The State Bank of India (SBI) has reported a notable 9.71% increase in its consolidated net profit for the June 2025 quarter, reaching Rs 21,201 crore. This growth was underpinned by strong performances in treasury operations and forex income, as stated by the bank on Friday.

However, SBI saw a slight decline of 0.13% in its core net interest income, which fell to Rs 41,072 crore due to compressed net interest margins attributed to recent RBI rate cuts and delayed deposit repricing, according to bank chairman CS Setty.

Despite external challenges such as geopolitical uncertainties, SBI remains optimistic about achieving its 12% loan growth target for FY25 while also navigating potential impacts of US tariffs on select sectors, maintaining a strong capital adequacy ratio of 14.63%.

(With inputs from agencies.)