State Bank of India is set to announce its Q2 FY27 results on Tuesday, November 3, 2026, with brokerage estimates pointing to exceptional profit growth driven by strategic asset monetization. Consensus estimates by broking firms suggest SBI could post about 45% year-on-year increase in net profit, with estimates ranging from ₹23,539 crore to ₹25,250 crore. However, ET Now Research projects a more conservative 12.20% YoY profit growth to ₹22,619 crore, compared to ₹20,160 crore in Q2FY26 and ₹21,121 crore in Q1FY27. The exceptional growth is largely attributed to one-off gains of ₹1,020 crore from the sale of SBI Mutual Fund and NSE shares, which will boost the bank's total other income substantially. The Hindu BusinessLine reports that Motilal Oswal expects 50.5% profit growth to ₹25,250 crore, while Systematix estimates a more conservative 16.6% profit growth at ₹23,539 crore.
Net interest income is expected to deliver robust growth supported by healthy loan expansion and deposit mobilization. ET Now Research estimates NII growth of 13% YoY to ₹48,570 crore, compared to ₹42,984 crore in Q2FY26 and ₹46,992 crore in Q1FY27. The bank's advances growth is expected at 18.81% YoY to ₹51,800 crore, with sequential growth of 3.81% from ₹49,900 crore in the previous quarter. ET Now also projects deposit growth of 12.16% YoY to ₹62,700 crore, representing a 4.33% sequential increase from ₹60,100 crore. Systematix expects other income to rise 49% YoY to ₹22,833 crore, significantly boosted by the stake-sale gains, with non-interest income projected at ₹18,502 crore, up 20.73% YoY.
Net interest margin remains a key focus area, with NIM expected to improve by 3 basis points sequentially to 2.89% from 2.86% in Q1, though it remains 8 basis points below the 2.97% recorded in Q2FY26. ET Now Research specifically projects NIM at 2.89%, up from 2.86% in the June quarter. Despite this improvement, SBI maintains confidence in achieving its FY27 NIM target of 2.75-2.95%. The bank is following a selective approach to corporate lending, focusing on profitable business rather than aggressive growth. SBI's strong loan growth of 19% to ₹50.47 lakh crore in Q1FY27, with both retail and corporate segments growing around 18%, supports this strategic positioning while maintaining domestic NIM at around 3%.
Asset quality is expected to improve with controlled credit costs, though some brokerages anticipate higher provisioning due to strategic asset monetization. ET Now Research projects SBI's GNPA ratio to decline to 1.45% from 1.47% in Q1FY27 and 1.73% a year earlier, with NNPA ratio estimated at 0.37%, compared to 0.38% in Q1FY27 and 0.42% in Q2FY26. Systematix notes that the Bank could see higher credit costs as it could utilise the one-off gains to build provision buffers. The provision coverage ratio is estimated at 74.3%, compared with 74.2% in the June quarter. Dolat Capital expects credit costs at 45 bps, up 4 bps QoQ but down 5 bps YoY. The bank's ability to maintain around 1% RoA and 13% RoE while supporting strong loan growth demonstrates effective risk management. According to Kotak Institutional Equities, slippages are expected to stand at around 1.1% of loans, indicating gradual normalisation with no fresh asset quality concerns across the bank's portfolios.
SBI shares closed 2.6% higher at ₹987 ahead of the Q2 results announcement, reflecting positive market sentiment about the expected strong performance. The stock is trading above its 20-day EMA and 50-day EMA, with the 20-day EMA still below the 50-day EMA but the gap having narrowed. Technical indicators have turned more positive, with buyers taking control through the session and the Directional Movement Index (DMI) showing buyers have taken the edge. The options market expects a move of about ±5% by expiry, putting the expected range at roughly ₹941 to ₹1,041. Historically, SBI has reacted calmly to results, with 8 of the last 12 quarters showing next-day moves within ±2.3%, and the stock going beyond 5% only once with a 7.4% jump after Q3FY26 results. According to SMC Global Securities, the bank warrants a Hold rating ahead of results, while Kantilal Chhaganlal Securities believes the stock is showing positive momentum with upside targets at ₹1,005, ₹1,020 and ₹1,035+.
