SBI Pays Over ₹8,000 Crore Dividend to Government for FY25

The Government of India has received ₹8,076.84 crore as dividend from the State Bank of India (SBI) for the financial year 2024-25. The cheque was handed over to Finance Minister Nirmala Sitharaman on Monday by SBI Chairman C.S. Setty. Finance Secretary Ajay Seth and Financial Services Secretary M. Nagaraju were also present at the handover.

Higher Dividend Compared to Previous Year

This year’s dividend amount is higher than the ₹6,959.29 crore SBI paid to the government for FY 2023-24. The bank declared a dividend of ₹15.90 per share for FY25, compared to ₹13.70 per share declared the previous year. The Government of India has a 57.43% stake in the lender.

State Bank of India Financial Performance

For the full financial year 2024-25, SBI reported a net profit of ₹70,901 crore, up 16% from ₹61,077 crore in FY24. The bank’s performance for the year supported its ability to declare a higher dividend.

In the January-March quarter of FY25, SBI posted a net profit of ₹18,642.59 crore, down 10% from ₹20,698.35 crore recorded in the same quarter last year. The decline in profit was due to a rise in provisions. Provisions increased to ₹6,442 crore in Q4 FY25, up from ₹1,608 crore in the same period the previous year.

Net interest income stood at ₹42,774.63 crore, reflecting a 2.7% increase year-on-year. The net interest margin for the quarter was recorded at 3%.

Asset Quality

SBI’s asset quality showed improvement during the quarter. The gross non-performing asset (GNPA) ratio came down to 1.82% from 2.07% in the previous quarter. The net NPA ratio declined to 0.47% from 0.53%. The provision coverage ratio rose to 92.08%, and the slippage ratio improved to 0.55%.

Read more: SBI Plans to Raise ₹10,000 Crore Via Infrastructure Bond Issue in June!

State Bank of India Share Price Performance

As of 9:46 AM on June 10, State Bank of India share price was trading at ₹819.80, down 0.03% for the day. Over the past 6 months, the stock has declined by 5.50%, and it's down 1.44% over the past year.

Conclusion

SBI’s dividend payout of over ₹8,000 crore adds to the government’s non-tax revenue for FY25, continuing its annual contribution as the country’s largest public sector lender.

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