On Tuesday, the State bank of India (SBI) proclaimed a net loss of Rs. 7,718 crore. The states are calculated under the fourth quarter of the previous fiscal (Q4). According to the Bank reports, the losses acquired were on record of lower trading income and notable MTM losses.

The reason for MTM loss has been stated as due to solidification of bond yields, incremental preparation during the quarter for non-performing assets (NPAs), including higher provisioning on account of salary revision and improvement in gratuity ceiling.

In the Q4 of the financial year 2017-18, the Bank's working profit decreased by 8.24 percent from Rs. 17,309 crore in Q4 last fiscal to Rs.15, 883 crore in the fourth quarter of the prevailing fiscal.

Meanwhile, according to ANI, net interest revenue for the same period decreased by 5.18 percent from Rs. 21,065 crore to Rs. 19,974 crore, provided largely by a loss in MCLR, the base rate and an increase in NPAs.

This year the gross NPAs increased from Rs.1, 77, 866 crore as of March 2017 to Rs. 2, 23, 427 crore as of March while net NPA progressed from Rs. 96,978 crore to Rs. 1,10,855 crore during the same period.

The Bank further noted that 80 percent of the total transactions were initiated through substitute channels. Hence it registered the growth of 500 bps Year-on-Year.