News

Stock in focus: State Bank of India (SBI) share price will remain in focus in Wednesday's trading session after the company raised ₹6,051 crore through the issuance of tier-2 bonds on Tuesday.

SBI shares ended the session in red, closed marginally down at ₹1,063 apiece on Tuesday.

In an exchange filing, SBI said that the company has raised ₹ 6,051 crores at a coupon rate of 7.05% through its second Basel III-compliant Tier 2 bond issuance for the current financial year.

The company further informed that the issue attracted an excellent response from investors with bids of approximately 2 times against the base issue size of ₹5,000 crores.

A total of 47 bids were received, reflecting participation from a diverse group of qualified institutional bidders. These included investors such as provident funds, pension funds, mutual funds, and banks.

The bonds are issued for a tenor of 10 years, with a call option after 5 years and each anniversary date thereafter and are rated AAA with a stable outlook from CRISIL Ratings Limited and India Ratings and Research Private Limited, the company said in the filing.

Shri C S Setty, Chairman, said, “Wider participation and heterogeneity of bids demonstrated the trust investors place in the country’s largest Bank.”

SBI reported a record standalone net profit of ₹21,028 crore for the December quarter of FY26, marking a 24% year-on-year (YoY) increase, driven by steady growth in core income and improving recovery trends.

On a consolidated basis, the state-run lender posted a 13.06% rise in profit to ₹21,317 crore during the quarter, as per its regulatory filing.

The bank’s standalone net interest income (NII) grew 9.04% year-on-year to ₹45,190 crore, compared to ₹41,446 crore in the same period last year. This growth was supported by a 15.14% expansion in loans, although the domestic net interest margin saw a slight contraction of 0.03% to 3.12%.

Meanwhile, total expenses increased to ₹1,08,052 crore, up from ₹1,04,917 crore in Q3 FY25. The bank’s net interest margin (NIM) was 2.99% in Q3 FY26, with domestic NIM at 3.12%.

The multibagger banking stock has largely remained positive in the near term despite weak market sentiments.

SBI share price has shed over 13% in a month; however, it has gained 24.45% in six months.

Looking at the broader level, the banking stock has delivered 44% returns in a year and 198% returns in five years.

Disclaimer: This story is for educational purposes only. Please consult with an investment advisor before making any investment decisions.Vaamanaa covers business and stock market news. Started in 2020, she has been producing news on digital platforms for over 4.5 years now. She writes o...

Catch all the Business News , Market News , Breaking News Events and Latest News Updates on Live Mint. Download The Mint News App to get Daily Market Updates.

Download the Mint app and read premium stories