State Bank Of India 28 January 2006 LISTING AGREEMENT : REVIEWED WORKING RESULTS FOR THE QUARTER ENDED 31ST DECEMBER, 2005 In terms of Clause 41 of the Listing Agreement with the Exchange, we forward herewith a copy of the reviewed working results for the quarter ended 31st December, 2005, taken on record by the Central Board of the Bank at its meeting held on date. UNAUDITED FINANCIAL RESULTS FOR THE QUARTER ENDED 31ST DECEMBER 2005 STATE BANK OF INDIA (Rs.in crores) Quarter ended Nine months ended Year ended ------------ ------------ ------- Particulars 31.12.2005 31.12.2004 31.12.2005 31.12.2004 31.03.2005 (Reviewed) (Reviewed) (Reviewed) (Reviewed) (Audited) 1 Interest Earned (a) + 9558.15 8029.07 27285.85 23780.49 32428.00 (b) + (c) + (d) (a) Interest/ 4667.94 3442.42 12937.57 9576.02 13043.51 discount on advances/ bills (b) Income on 3289.09 3645.24 10661.16 11799.25 16027.67 Investments (c) Interest on 490.07 420.11 1479.72 1379.64 1787.04 balances with Reserve Bank of India and other interbank funds (d) Others 1111.05 521.30 2207.40 1025.58 1569.78 2 Other Income 1840.47 2238.00 4711.66 5429.26 7119.91 (A) TOTAL INCOME (1+2) 11398.62 10267.07 31997.51 29209.75 39547.91 3 Interest Expended 5338.27 4368.99 15204.78 13786.52 18483.38 4 Operating Expenses 3460.70 2508.11 8770.68 7356.95 10074.17 (e) + (f) (e) Payments to 2524.12 1690.07 6198.87 5057.92 6907.35 and provisions for employees (f) Other 936.58 818.04 2571.81 2299.03 3166.82 Operating Expenses (B) TOTAL EXPENDITURE 8798.97 6877.10 23975.46 21143.47 28557.55 (3) + (4) (excluding Provisions and Contingencies) (C) OPERATING PROFIT 2599.65 3389.97 8022.05 8066.28 10990.36 (A - B) (Profit before Provisions and Contingencies) (D) Provisions 469.81 1710.54 3053.93 2796.59 4468.76 and Contingencies (net of write-back) - of which provisions -102.56 791.56 144.18 1300.00 1204.00 for Non-performing assets (E) Provision for Taxes 1014.65 580.08 1414.74 2030.05 2217.09 - of which provisions for Fringe Benefit Tax (FBT) 12.00 31.00 (F) NET PROFIT 1115.19 1099.35 3553.38 3239.64 4304.52 (C - D - E) (G) NET PROFIT AFTER MINORITY INTEREST - - - - - 5 Paid-up equity Share 526.30 526.30 526.30 526.30 526.30 Capital 6 Reserves excluding 23545.84 19704.98 23545.84 19704.98 23545.84 revaluation reserves (as per balance sheet of previous accounting year) 7 Analytical Ratios (i ) Percentage of nil nil nil nil nil shares held by Government of India (ii) Capital Adequacy 12.49% 12.66% 12.49% 12.66% 12.45% Ratio (iii) Earnings per 21.19 20.89 67.52 61.56 81.79 Share ( in Rs.) (not (not (not (not annualised) annualised) annualised) annualised) (iv) (a) Amount of 10960.90 12794.99 10960.90 12794.99 12456.25 gross non-performing assets (b) Amount of 4045.52 4812.65 4045.52 4812.65 5348.89 net non- performing assets (c) % of gross NPAs 4.41% 6.54% 4.41% 6.54% 5.96% (d) % of net NPAs 1.67% 2.56% 1.67% 2.56% 2.65% (v) Return on Assets 0.92% 1.00% 1.01% 1.01% 0.99% (Annualised) 8 Shareholding pattern a) Reserve Bank 314338700 314338700 314338700 314338700 314338700 of India ...No. of shares ... % of 59.73% 59.73% 59.73% 59.73% 59.73% shareholding b) Others .. .. 211960178 211960178 211960178 211960178 211960178 No. of shares ... % of 40.27% 40.27% 40.27% 40.27% 40.27% shareholding UNAUDITED FINANCIAL RESULTS FOR THE QUARTER ENDED 31ST DECEMBER 2005 STATE BANK OF INDIA (CONSOLIDATED) (Rs.in crores) Quarter ended Nine months ended Year ended ------------ ------------ ------- Particulars 31.12.2005 31.12.2004 31.12.2005 31.12.2004 31.03.2005 (Reviewed) (Un-Reviewed) (Reviewed) (Un-Reviewed) (Audited) 1 Interest Earned (a) + 13107.28 11187.93 37506.15 32782.35 44499.06 (b) + (c) + (d) (a) Interest/ 6789.61 5104.57 18868.45 14194.59 19180.63 discount on advances/ bills (b) Income on 4622.08 5024.26 14706.68 15944.88 21533.65 Investments (c) Interest on 584.23 473.10 1695.39 1515.51 2021.30 balances with Reserve Bank of India and other interbank funds (d) Others 1111.36 586.00 2235.63 1127.37 1763.48 2 Other Income 2376.98 2839.11 6435.89 7155.39 10036.64 (A) TOTAL INCOME (1+2) 15484.26 14027.04 43942.04 39937.74 54535.70 3 Interest Expended 7326.50 5926.99 20853.53 18464.74 24891.84 4 Operating Expenses 4501.44 3465.52 12096.88 10160.09 14443.55 (e) + (f) (e) Payments to 3141.06 2180.46 7983.33 6642.36 8987.46 and provisions for employees (f) Other 1360.38 1285.06 4113.55 3517.73 5456.09 Operating Expenses (B) TOTAL EXPENDITURE 11827.94 9392.51 32950.41 28624.83 39335.39 (3) + (4) (excluding Provisions and Contingencies) (C) OPERATING PROFIT 3656.32 4634.53 10991.63 11312.91 15200.31 (A - B) (Profit before Provisions and Contingencies) (D) Provisions 876.00 2764.71 4502.49 4855.67 6970.56 and Contingencies (net of write-back) - of which provisions -44.63 1718.39 335.42 1637.53 1403.38 for Non-performing assets (E) Provision for Taxes 1272.23 485.05 2006.26 2390.93 2631.78 - of which provisions for Fringe Benefit Tax (FBT) 44.20 131.03 (F) NET PROFIT 1508.09 1384.77 4482.88 4066.31 5597.97 (C - D - E) (G) NET PROFIT AFTER MINORITY INTEREST 1466.00 1342.21 4379.42 3966.95 5463.93 5 Paid-up equity Share 526.30 526.30 526.30 526.30 526.30 Capital 6 Reserves excluding 32025.50 26910.12 32025.50 26910.12 32025.50 revaluation reserves (as per balance sheet of previous accounting year) 7 Analytical Ratios (i ) Percentage of nil nil nil nil nil shares held by Government of India (ii) Capital Adequacy 13.07% Ratio (iii) Earnings per 27.85 25.50 83.21 75.37 103.82 Share ( in Rs.) (not (not (not (not annualised) annualised) annualised) annualised) (iv) (a) Amount of gross non-performing assets (b) Amount of net non- performing assets (c) % of gross NPAs (d) % of net NPAs (v) Return on Assets (Annualised) 8 Shareholding pattern a) Reserve Bank of India ...No. of shares ... % of shareholding b) Others .. .. No. of shares ... % of shareholding Unaudited Segment-wise Revenue, Results and Capital Employed (Rs.in crores) Quarter ended Nine months ended Year ended Particulars 31.12.2005 31.12.2004 31.12.2005 31.12.2004 31.03.2005 (Reviewed) (Reviewed) (Reviewed) (Reviewed) (Audited) 1 Segment Revenue (income) a Banking 9117.73 7832.80 25645.60 23825.49 32403.55 Operations b Treasury 4582.55 4962.57 13444.04 14921.10 20111.78 Operations Total 13700.28 12795.37 39089.64 38746.59 52515.33 Less : Inter 3264.00 3007.43 9072.75 10399.75 14132.91 Segment Revenue Net Income 10436.28 9787.94 30016.89 28346.84 38382.42 from Operations 2 Segment Results (Profit before tax) a Banking 1950.79 625.79 4366.09 2979.75 5404.63 Operations b Treasury -618.30 663.13 -1341.61 1692.91 1060.98 Operations Total 1332.49 1288.92 3024.48 4672.66 6465.61 Add : 797.35 390.51 1943.64 597.03 55.99 Unallocated income (net of unallocated expenses) Profit before 2129.84 1679.43 4968.12 5269.69 6521.60 Tax Less : Income Tax 1014.65 580.08 1414.74 2030.05 2217.08 (including FBT) Net Profit 1115.19 1099.35 3553.38 3239.64 4304.52 3 Segment Assets a Banking 427057.00 371366.06 427057.00 371366.06 427057.00 Operations b Treasury 216956.54 203745.14 216956.54 203745.14 216956.54 Operations c Unallocated 3984.33 4067.04 3984.33 4067.04 3984.33 Less : 188115.00 171362.96 188115.00 171362.96 188115.00 Eliminations Total 459882.87 407815.28 459882.87 407815.28 459882.87 4 Segment Liabilities a Banking 404730.11 353095.50 404730.11 353095.50 404730.11 Operations b Treasury 215211.31 201784.76 215211.31 201784.76 215211.31 Operations c Unallocated 0.00 0.00 0.00 0.00 0.00 Less : 184130.69 167296.26 184130.69 167296.26 184130.69 Eliminations Total 435810.73 387584.00 435810.73 387584.00 435810.73 ( Segment Assets and Liabilities are as on 31st March of the previous year ) 1. The working results for the quarter ended 31st December 2005 have been arrived at after considering provisions for NPAs, Gratuity, Pension, Leave Encashment, Investment Depreciation, Income Tax (after adjustment for deferred tax), Wealth Tax, Fringe Benefit Tax (FBT) and other contingencies on an estimated basis. 2. Investments in Regional Rural Banks (RRBs) were hitherto accounted after netting off provisions held pursuant to losses incurred by RRBs in proportion to and not exceeding the Bank's investment. From the current financial year, these investments have been valued at cost, which is in line with the RBI guidelines. Consequently, the profit for the period is higher by Rs.86.86 crores (accounted for in Q1 of 2005-06). 3. Interest Earned - Others includes an amount of Rs. 1665.75 crores for the period ended 31.12.2005, being interest on refund of Income Tax (Rs. 711.90 crores accounted for in Q1 and Rs. 953.85 crores accounted for in Q3 of 2005- 06). 4. Other Income includes an amount of Rs. 531.54 crores being Exchange Gain on India Millennium Deposits (IMDs) Redemption, and the Interest Expended has been netted off by an amount of Rs. 563.52 crores being refund on Maintenance of Value from RBI. 5. Payments to and provisions for employees, under Operating Expenses, includes an amount of Rs. 312.87 crores, being arrears of salary paid for the previous financial years. 6. An amount of Rs. 128.00 crores, being write-back of provisions rendered surplus(other than advances, investments and investments in subsidiaries and joint ventures), is netted under the head Provisions and Contingencies (accounted for in Q2 of 2005-06). 7. During the quarter, the Bank has invested an amount of US$ 11,627,895.19 (equivalent to Rs. 53.40 crores) in Indo-Nigerian Bank Ltd. (INBL) increasing its stake from 51.59% to 72.95%. This investment was made as part of a scheme of merger of INBL with 4 other local banks to form Sterling Bank PLC (the merged entity), in compliance with Nigerian regulatory requirements. State Bank of India has a stake of 9.24% in Sterling Bank PLC (the merged entity). INBL has ceased to exist after 31.12.2005. 8. During the quarter, the Bank has paid Rs. 309.24 crores to the Government of India, being its share (25%) of the consideration for purchase of UTI Asset Management Company Pvt. Ltd. 9. As per RBI guidelines to increase the general provisioning requirement for Standard Assets in the global loan portfolio (excluding direct advances to agriculture and SME sector) to 0.40 percent, the Bank has made an additional provision of Rs. 112.00 crores. 10. Number of Investors Complaints received and disposed of during the quarter ended 31st December, 2005 : (i) Pending at the beginning of the quarter 30. (ii) Received during the quarter 964. (iii) Disposed of during the quarter 937. (iv) Lying unresolved at the end of the quarter 57. 11. The figures of previous periods have been regrouped / rearranged, wherever necessary, to correspond to current periods' classification. The above results have been taken on record by the Central Board of the Bank on the 28th January 2006 and were subjected to Review by the Auditors. Mumbai T. S. BHATTACHARYA A. K. PURWAR Date: 28th January, 2006 Managing Director & Group Executive Chairman (Corporate Banking) This information is provided by RNS The company news service from the London Stock Exchange