Financial Services · NSE: SBIN
State Bank of India
Q2 FY27 earnings call · Guided by management
Call held 3 Nov 2026 · Read the filing on NSEFiling
- M.Cap
- ₹10,02,923Cr₹10.03L Cr
- P/E
- 11.1×
- 1Y return
- +13.51%
- From 52W high
- −12.0%
Highlights are read by AI from the company's filing and can contain mistakes. Check the source page linked to each line.
Share price
Results Q2 FY27, as filed · consolidated · ₹ Cr
| Q2 FY27 | Q2 FY26 | YoY | Q1 FY27 | QoQ | |
|---|---|---|---|---|---|
| Interest earned | 1,41,073 | 1,28,041 | +10.2% | 1,36,240 | +3.5% |
| Net interest income | 56,801 | 50,038 | +13.5% | 53,993 | +5.2% |
| Operating profit | 31,592 | 32,117 | -1.6% | 38,632 | -18.2% |
| Net profit | 25,361 | 21,137 | +20.0% | 24,113 | +5.2% |
| EPS (₹) | 27.47 | 22.81 | +20.4% | 26.12 | +5.2% |
From the company's own results filing on NSE. Net profit is the owners' share. Growth and the dotted lines are worked out from the filed figures.
Guidance
More figures from the call
“So, our target is, overheads not to go beyond 10%.”
“we have about almost ₹7 lakh crore pipeline on the corporate side and we are seeing robust growth in across the segments whether it is gold loan, home loans, auto loans”
“It is a standard rate, 9% we charge. I think to answer your question whether it is indicative of any stress, definitely ECLGS is aimed at prevention of stress.”
“So, we have set out a $10 billion target, I think we have exceeded the target, 10.9 was the final number, and we are fine with that.”
“I think we believe that the 50 base point hike in December is something we not only expect, but we also recommend”
“But our view is that by the end of the financial year, the yield should come below 7.”
In short
- 01Credit growth guidance of 14-15% for FY27 kept, with H2 seen as the busy season.
- 02Through-the-cycle guidance kept: ROA 1%, domestic NIM not less than 3%, ROE 15%.
- 03Corporate loan growth of 16% expected in H2, backed by a corporate pipeline of about Rs 7-7.8 lakh crore.
- 04Net profit was Rs 23,038 crore; domestic NIM rose to 3.11%.
- 05Treasury had an MTM loss of Rs 1,277 crore; gain on SBI Funds stake sale went through P&L.
- 06ECL impact on loans put at Rs 19,500 crore net of tax, excluding HTM fair valuation.
- 07About Rs 850 crore of expenses was booked early in Q2; overheads targeted not to grow beyond 10%.
- 08About Rs 10,000 crore of agri loans in drought states assessed as potential restructuring.
Segments
SME: ECLGS loans at about Rs 28,800 crore, about 50% of SME growth
Rama Mohan Rao Amara · p. 19
SME: ECLGS loans at about Rs 28,800 crore, about 50% of SME growth
“ECLGS accounts for around ₹28,800 crore, as on date, almost like 50% of our SME growth is contributed by ECLGS.”
home loans: Home loan market slowing; SBI gained market share despite lower growth
C.S. Setty · p. 25
home loans: Home loan market slowing; SBI gained market share despite lower growth
“First on the home loans, I think there is some slowdown in the overall market, and despite our lower growth, we have acquired the market share.”
home loans: Home and home-related portfolio crossed Rs 10 lakh crore this month
C.S. Setty · p. 25
home loans: Home and home-related portfolio crossed Rs 10 lakh crore this month
“incidentally, in this month, we have crossed ₹10 lakh crore, home and home-related portfolio.”
home loans: Home loan growth cannot outpace industry growth
C.S. Setty · p. 25
home loans: Home loan growth cannot outpace industry growth
“We will continue to focus on home loans, we build the infrastructure, we believe that we continue to be market leader on the home loans. But it cannot be outpacing the industry growth anyway.”
auto loans: Auto loan rates tweaked; growth in October described as very robust
C.S. Setty · p. 28
auto loans: Auto loan rates tweaked; growth in October described as very robust
“That's the reason we have tweaked our interest rate. We have seen very robust growth in October month. So, I believe that we are back in the game in the auto loans.”
Demand
home loans: Slowdown in home purchases in places like Bangalore, plus inventory build-up
C.S. Setty · p. 28
home loans: Slowdown in home purchases in places like Bangalore, plus inventory build-up
“particularly in some sectors like Bangalore, we have seen that some slowdown in the purchases also, apart from inventory build-up.”
mid corporate and SME: Mid corporate and SME credit growth mainly working capital and brownfield
C.S. Setty · p. 17
mid corporate and SME: Mid corporate and SME credit growth mainly working capital and brownfield
“We are seeing, credit growth coming from mid corporate and SME may not necessarily be the capital expenditure. It is actually happening in the working capital loans and a bit of brownfield expansion what they are undertaking.”
Insurance and mutual fund participation in capex funding still a long way off
C.S. Setty · p. 17
Insurance and mutual fund participation in capex funding still a long way off
“These are some of the things which we are working, but the short answer is that I think the participation from these insurance and mutual fund companies is still a long way to go on this.”
Expected 50 bps December hike seen as largely built into bond yields
Shamsher Singh · p. 18
Expected 50 bps December hike seen as largely built into bond yields
“So, we feel that 50 basis hike which is probably expected in the December, as rightly sir said, is already more or less built into the yields and it is not something which we will be seeing any further hikes by yields going up.”
Small-to-mid-to-large company growth slowed slightly but is happening
C.S. Setty · p. 17
Small-to-mid-to-large company growth slowed slightly but is happening
“The migration that we have to see is that small becoming medium, medium becoming larger. And that transformation is slightly slowed down, but I think it is happening.”
Margins and costs
NIM could be above 3% on 25 bps EBLR and 15 bps MCLR increases
C.S. Setty · p. 15
NIM could be above 3% on 25 bps EBLR and 15 bps MCLR increases
“It could be even higher than 3% obviously, because we have some tailwinds, 25 basis point EBLR and 15 basis point MCLR, obviously, that also going to further augment our NIM.”
FCNR(B) flows used to reduce wholesale deposits, a driver of lower deposit cost
C.S. Setty · p. 22
FCNR(B) flows used to reduce wholesale deposits, a driver of lower deposit cost
“The impact of cost of deposits is that we have primarily used the FCNR(B) flows to reduce our wholesale deposits, which has been an important driver.”
About Rs 850 crore of expenses booked upfront in Q2
Anindya Sunder Paul · p. 15
About Rs 850 crore of expenses booked upfront in Q2
“Basically, we have upfronted approximately ₹850 crore.”
Upfronting of expenses to continue next quarter to reduce Q4 bump
Anindya Sunder Paul · p. 15
Upfronting of expenses to continue next quarter to reduce Q4 bump
“This trend will continue in the next quarter as well so that the bump up in quarter 4 in the overheads, is minimized.”
Overheads excluding upfronted Rs 850 crore grew 9% YoY in Q2
Anindya · p. 11
Overheads excluding upfronted Rs 850 crore grew 9% YoY in Q2
“In this ₹16,531 crore, ₹850 crore, approximately, expenses are what we have upfronted. So, if we exclude that, our Q2 YoY growth actually comes down to 9%.”
Debt and working capital
Excess SLR of Rs 3.5-3.7 lakh crore now, Rs 4.8 lakh crore in September
C.S. Setty · p. 22
Excess SLR of Rs 3.5-3.7 lakh crore now, Rs 4.8 lakh crore in September
“we have excess SLR, almost ₹3.5 lakh to ₹3.7 lakh crore, as on date, and as on September we had ₹4.8 lakh crore, excess SLR.”
foreign offices: $8.83 billion leveraged loans from foreign offices out of $10.9 billion
C.S. Setty · p. 24
foreign offices: $8.83 billion leveraged loans from foreign offices out of $10.9 billion
“We have about $8.83 billion leveraged loans from our foreign offices out of 10.9 billion dollars.”
14-15% credit growth can be funded with enough liquidity
C.S. Setty · p. 25
14-15% credit growth can be funded with enough liquidity
“But 14 to 15% growth rate can be easily funded, there is no problem, we have enough liquidity I mentioned earlier also.”
Deposits up 12.27% YoY; term deposits up 14.26%
C.S. Setty · p. 6
Deposits up 12.27% YoY; term deposits up 14.26%
“Deposits grew by 12.27% year-on-year, with the term deposits growing by 14.26%.”
Capital adequacy at 16.09%, up 147 bps YoY
C.S. Setty · p. 6
Capital adequacy at 16.09%, up 147 bps YoY
“Capital Adequacy stood at 16.09%, improving by 147 basis points year-on-year, and is comfortably above regulatory requirements.”
Acquisitions and new business
No plans to exit YES Bank stake at this moment
C.S. Setty · p. 10
No plans to exit YES Bank stake at this moment
“And on the YES Bank stake sale, we do not have any plans to exit at this moment.”
No further subsidiary listings on the cards for next couple of years
C.S. Setty · p. 30
No further subsidiary listings on the cards for next couple of years
“Let us wait for some time to comment on this, but for the next couple of years, nothing on the cards.”
YONO Bharat, a device-neutral mobile banking platform, in development
C.S. Setty · p. 6
YONO Bharat, a device-neutral mobile banking platform, in development
“We are also developing YONO Bharat, a device-neutral mobile banking platform designed to extend secure digital banking to financial inclusion customers, feature phone users, and customers using devices across the variants.”
SBI Funds Management Limited listed during the quarter
C.S. Setty · p. 6
SBI Funds Management Limited listed during the quarter
“The listing of SBI Funds Management Limited during the quarter is an important milestone and underscores the value being created across the SBI Group.”
One-offs
treasury: Q2 FY27 treasury loss of Rs 1,277 crore vs gain of Rs 2,877 crore in previous quarter
C.S. Setty · p. 30
treasury: Q2 FY27 treasury loss of Rs 1,277 crore vs gain of Rs 2,877 crore in previous quarter
“Excluding one-off items in both periods due to adverse market movement, Q2 FY27 recorded a loss of ₹1,277 crore, as I mentioned, compared with a gain of ₹ 2,877 crore in the previous quarter.”
Gain on SBI Mutual Fund stake sold is routed through the P&L
C.S. Setty · p. 9
Gain on SBI Mutual Fund stake sold is routed through the P&L
“As far as SBI Mutual Fund is concerned, whatever has been sold is being routed through the P&L.”
NSE stake divestment goes to AFS reserve, not through P&L
C.S. Setty · p. 9
NSE stake divestment goes to AFS reserve, not through P&L
“NSE, we have classified under Available For Sale category. If it is AFS, the divestment will go to AFS reserve. It is not routed through the P&L.”
ROA without SBI Funds stake sale about 0.98% for the half year
C.S. Setty · p. 30
ROA without SBI Funds stake sale about 0.98% for the half year
“ROA without SBI funds stake sale would come to approximately 0.98% for the half year.”
Q2 FY2026 also had a one-off from the YES Bank stake sale
C.S. Setty · p. 10
Q2 FY2026 also had a one-off from the YES Bank stake sale
“you must also realize that there has been a similar one-off in the Q2 of FY 2026 because of the YES Bank sale.”
Risks
No comment on YES Bank legal process as it is sub judice
C.S. Setty · p. 13
No comment on YES Bank legal process as it is sub judice
“One thing what I definitely would say that on the legal process we cannot comment because it is sub judice.”
ECL impact on loans put at Rs 19,500 crore net of taxes
C.S. Setty · p. 20
ECL impact on loans put at Rs 19,500 crore net of taxes
“So, first of all, the number which I have mentioned ₹19,500 crore, is ECL impact on the loans net of taxes.”
Bank plans to use regulatory transition for ECL provision
C.S. Setty · p. 20
Bank plans to use regulatory transition for ECL provision
“And as we have indicated earlier, we would like to use the regulatory dispensation of transitioning this provision.”
ECL figure excludes HTM fair valuation
C.S. Setty · Q&A · p. 26
ECL figure excludes HTM fair valuation
“No, this does not include, as I mentioned, the fair valuation of HTM. And when we take up probably it will, the overall allocation of the capital may go up.”
Loan ECL may be spread over four years
4yearsC.S. Setty · p. 26
Loan ECL may be spread over four years
4years“But as I mentioned, the loan portfolio, ECL anyway is permitted to be spread over four years.”
Other
Remaining NSE holding valued at Rs 11,000 crore, added to AFS reserve
C.S. Setty · p. 9
Remaining NSE holding valued at Rs 11,000 crore, added to AFS reserve
“In fact, the mark-to-market gain on post-listing, the current valuation of the remaining portion of holding is ₹11,000 crore, which gets augmented in our AFS reserve.”
YES Bank and SBI Mutual Fund stakes are not marked to market
C.S. Setty · p. 27
YES Bank and SBI Mutual Fund stakes are not marked to market
“Yes Bank is not marked-to-market. It's A&S. It is similar to SBI Mutual Fund. We don't mark-to-market both of them.”
Loan mix: MCLR 27%, EBLR 32%, T-Bill 17%, fixed rate 21%
Ashwini Kumar Tewari · p. 16
Loan mix: MCLR 27%, EBLR 32%, T-Bill 17%, fixed rate 21%
“So, we have MCLR linked loans of 27%, EBLR is 32%, T-Bill is 17% and fixed rate is 21%, these are the major heads.”
Net profit for the quarter at Rs 23,038 crore
C.S. Setty · p. 5
Net profit for the quarter at Rs 23,038 crore
“Net Profit for the quarter was at ₹23,038 crore.”
Operating profit Rs 34,226 crore, up 7.28% YoY
C.S. Setty · p. 5
Operating profit Rs 34,226 crore, up 7.28% YoY
“Operating Profit was ₹34,226 crore, registering a year-on-year change of 7.28%.”
Sources
- Earnings call transcript, Q2 FY27 Filed 7 Nov 2026 · 31 pages
Management's own statements, quoted from its NSE filings. This page was read by AI and can contain mistakes: check the source pages before relying on any figure. No forecast or opinion of ours. Not investment advice.