MUMBAI Nov 13 State Bank of India (SBI)
, the country's largest lender, posted its steepest fall
in quarterly net profit in more than two years due to worsening
asset quality and a slump in treasury operations.
SBI, which accounts for a quarter of the country's loans and
deposits, said on Wednesday its net profit fell 35 percent to
23.75 billion rupees ($373 million) in the quarter ended
September. Net interest income, or the difference in interest
earned and paid out, rose 11.6 percent.
Analysts, on average, had expected profit of about 27
Indian state banks, with their high exposure to the power
and infrastructure sectors, have been particularly hit by the
country's economic slowdown. SBI's outgoing chairman said last
month that asset quality pressures are likely to continue.
Net nonperforming loans, as a percentage of total assets,
worsened to 2.91 percent from 2.83 percent in the preceding
(Reporting by Swati Pandey; Editing by Ryan Woo)