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Bank of Maharashtra tops among PSU banks in Business Growth in FY24; SBI FY24 net profit rises 21.59%

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Bank of Maharashtra tops among PSU banks in business growth in FY24Bank of Maharashtra (BoM) emerged as the top performer among Public Sector Banks (PSBs) in terms of business growth during the Fiscal Year 2023-24 (FY24), according to published financial numbers of the public sector banks (PSBs). BoM recorded a remarkable 15.94% rise in total business (domestic) in FY24.

  • State Bank of India (SBI) followed closely with a growth rate of 13.12%.
  • SBI’s total business (deposit and advances) stood significantly higher at Rs 79,52,784 crore (about 16.7 times) compared to BoM’s Rs 4,74,411 crore.

Key Points:

Deposit Mobilization:

i.BoM maintained its top spot in deposit mobilization growth, with a 15.66% rise in FY24.

  • SBI, Bank of India, and Canara Bank also achieved double-digit growth in deposits, at 11.07%, 11.05%, and 10.98%, respectively.

ii.Only these four PSBs managed to achieve double-digit growth in deposits during FY24.

Current Account Savings Account (CASA) Deposits:

i.BoM continued to excel in low-cost CASA deposits, boasting a 52.73% growth rate.

ii.Central Bank of India followed closely with a 50.02% rise in CASA deposits by March 2024.

Loan Growth:

i.UCO Bank led in loan growth with a 16.38% increase, followed closely by BoM at 16.30% and SBI at 16.26%.

ii.Other PSBs reported loan growth rates lower than 16% during FY24.

Asset Quality:

i.BoM and SBI reported the lowest gross Non-Performing Assets (NPAs) at 1.88% and 2.24%, respectively, as of March 31, 2024.

ii.BoM and Indian Bank reported the lowest net NPAs, with 0.2% and 0.43%, respectively.

Capital Adequacy Ratio (CAR):

i.BoM led among PSBs in terms of CAR, standing at 17.38% by the end of FY24.

ii.Indian Overseas Bank and Punjab & Sind Bank followed closely with CARs of 17.28% and 17.16%, respectively.

SBI FY24 net profit rises 21.59% YoY to Rs 61,077 crore

State Bank of India (SBI), the largest state-owned lender in India, announced its Q4FY24 results, showcasing robust performance with a net profit of Rs 20,698.35 crore, up 24% from Q4FY23.

  • For the entire financial year, net profit was Rs 61,077 crore, up 21.59% year-on-year (YoY), after accounting for a wage settlement and a one-time exceptional item of Rs 7,100 crore.

Key Points:

i.Its Net Interest Income (NII) rose marginally by 3.1% YoY to Rs 41,656 crore.

ii.Notably, the bank’s asset quality improved, with Gross NPA decreasing by 2.9% and Net NPA by 6.1% QoQ (Quarter-on-Quarter).

iii.SBI’s operating profit surged by 16.7% YoY to Rs 28,747 crore for the March quarter and grew by 12.05% for the fiscal year.

Recent Related News:

i.SBI in collaboration with Boston, United States of America (USA) based Flywire Corporation, a global payments enablement and software company, aims to simplify cross-border education payments for Indian students pursuing studies abroad.

ii.Life Insurance Corporation of India (LIC) has increased its paid-up share in SBI Cards & Payments Services Limited to 5.02% from 4.99%.

About State Bank of India (SBI):
Chairperson – Dinesh Kumar Khara
Headquarters – Mumbai, Maharashtra
Establishment– 1955
Tagline– The Banker to Every Indian