SBI Q1 FY26 preview: Flat profit, margin pressure likely

State Bank of India (SBI) is set to announce its first-quarter results for FY2025-26 on August 8. Analysts expect a steady but subdued performance as the lender grapples with narrowing margins and elevated funding costs. While net profit may remain flat year-on-year, healthy loan growth and stable asset quality are expected to anchor the quarter’s performance. Profit Likely to Stay Flat Amid Margin Squeeze SBI’s Q1 net profit is estimated to hover around Rs 17,000 crore – marginally lower or flat compared to the Rs 17,000 crore reported in Q1 FY25. A Bloomberg poll places the standalone profit estimate at Rs 16,964 crore, reflecting a modest 0.4 per cent decline YoY. The primary drag this quarter is expected to come from compression in net interest margins (NIM), with analysts projecting a dip to 2.85–2.9 per cent, down from 3.15 per cent in Q4 FY25. This reflects rising deposit costs outpacing th