State Bank of India (SBI), India’s biggest lender by assets, on Friday reported a net loss of Rs2,416 crore for the fiscal third quarter after setting aside funds to cover rising bad loans and losses on its bond portfolio.
It had reported a net profit of Rs1,582 crore in the September quarter.
This was the lender’s first quarter under the chairmanship of Rajnish Kumar, who took over in October.
In a post-results teleconference, Kumar said that in addition to provisions related to non-performing assets (NPAs), the bank kept aside Rs3,400 crore as a mark-to-market provision on account of rising bond yields. It also made a Rs700 crore provision for the next round of employee wage hikes.