SBI net surges 81% on Life stake sale Tata Motors’ loss widens to `8,438 cr in June qtr

India's foreign exchange reserves climbed by $4.99 billion to touch a new lifetime high of $522.63 billion in the week to July 24, helped by currency accretion and increase in the value of gold reserves, RBI data showed. The overall reserves had swelled by $1.275 billion to $517.637 billion in the previous reporting week. Foreign currency assets increased by $3.60 billion to $480.48 billion.

The country’s largest lender, State Bank of India, on Friday reported

81 per cent rise in net profit at Rs 4,189 crore during the first quarter ended June 30, 2020 helped by a one-time gain from a stake sale in its life insurance arm. The Bank had reported a profit of Rs

2,312 crore in the corresponding quarter of the previous fiscal.

"Exceptional items for quarter ended June 30,

2020, represent a profit of Rs 1,539.73 crore on sale of a certain portion of investment in bank’s subsidiary SBI Life Insurance Company Limited," said the bank in a statement.

The net interest income (the difference between interest earned and interest expended) grew by

16.14 per cent year-on-year to Rs 26,642 crore in the first quarter from Rs

22,939 in the April-June quarter of last year. The same was at Rs 22,767 in the March 2020 quarter.

The domestic net interest margin (NIM) improved to 3.24 per cent in Q1FY21 compared to

2.94 per cent in the previous quarter, and 3.01 per cent in the same quarter last year.

SBI made provisions of Rs 12,501.30 crore, against Rs 13,495.08 crore in the quarter ended on March

31, 2020. It was, however, higher than Rs 9,182.94 crore provisions made in the same quarter last year.

The bank has made a provision of Rs 1,836 crore on account of Covid-related contingencies and set aside Rs 1,614 crore during the quarter to pay arrears to employees when wage revision comes into effect.

Gross non-performing asset (NPA) ratio improved by 71 bps on a sequential basis to 5.44 per cent from 6.15 per cent in the January-March quarter. The net NPA ratio came in at 1.86 per cent, down 121 basis points (bps) year-on-year and 37 bps sequentially. During the quarter, the bank reported slippages at Rs

3,637 crore, down from Rs

8,101 crore reported in

Q4FY20. While the same was at Rs 16,212 crore in the corresponding quarter of the last fiscal.

Credit growth stood at

6.58 per cent year-on-year, mainly driven by retail advances (12.85 per cent)

Tata Motors, India’s top automaker by revenues and the owner of Jaguar Land Rover, reported on Friday a net loss of Rs

8,437.99 crore in the June quarter, as lockdown in several countries affected JLR as well as domestic businesses.

The Mumbai-based firm had reported a loss of Rs 3,698.34 crore in the corresponding quarter last year.

Tata Motors has now reported a loss in seven of the last nine quarters.

Total revenue from operation declined 47.94 per cent year-on-year to Rs 31,983.06 crore during the quarter under review.

Tata Motors said the outlook remains uncertain for the year with

Covid-19 infections continuing to rise and intermittent lockdowns in many countries.

However, the auto major expects a gradual recovery of demand and supply in the coming months.

“We are committed to

and foreign office advances (11.19 per cent). Home loan, which constitutes 22 per cent of the bank's domestic advances, has grown by 10.72 per significantly deleveraging the business in the coming years and aim to generate positive free cash flows over the last three quarters of the year by focusing on better front-end activations of our exciting product range, and executing our cost and cash savings with rigour,” the company said in a BSE filing.

Tata Motors’ British luxury car unit Jaguar Land Rover's net revenue declined 44 per cent to 2.9 billion pounds during the quarter under review and as a result, it posted a loss before tax of 413 million pound.

On JLR results, Tata Motors said, “The quarter reflected the full impact of Covid-19 with temporary retailer and plant shutdowns for most part of the quarter. However, the transformation programme continued to gain momentum resulting in positive Ebitda despite significant volume drop and lower cash outflow as compared to the earlier expectations.”

cent year-on-year.

SBI shares surged over 3 per cent to hit the day’s high of Rs 194.40 apiece on the BSE, but closed at Rs 191.45, up 2.63 per cent.