PSU Q3 FY26 Earnings Preview: SBI, GIC Re Results in Focus

Mumbai: The December quarter earnings season for India’s Public Sector Undertakings (PSUs) reaches a critical juncture as State Bank of India (SBI) and GIC Re prepare to announce their Q3 FY26 results.

SBI: Core Profit vs. Provisioning Pressure
Investors are closely monitoring SBI as it hosts its board meeting today to approve Q3 numbers. Analysts expect the bank’s net profit to range between ₹19,500–20,500 crore, slightly lower or flat compared to the ₹20,160 crore profit in Q2 FY26.

Key areas investors should watch:

Net Interest Margin (NIM): Expected stable at 3.0–3.1%, though rising deposit costs could press margins.
Asset Quality & Provisions: Gross NPA improved to 1.73% in Q2, but provisions may increase due to potential slippages in the agriculture and MSME sectors.
Loan Growth: Annual guidance of 12–14%, with focus on RAM (Retail, Agriculture, MSME) and corporate segments.

SBI will hold an analyst meet at 5:00 PM IST at State Bank Bhavan, Mumbai, to discuss strategic guidance and expected performance for the quarter.

GIC Re: Premium Growth and Underwriting
GIC Re is expected to report a net profit in the range of ₹2,800–3,000 crore for Q3 FY26, following a 55% jump to ₹2,873.54 crore in Q2.

Investor focus areas include:

Premium Income: Maintaining year-on-year revenue growth, which was ₹12,755 crore in Q2.
Solvency & Combined Ratio: Operational efficiency and any impact of large insurance claims will be closely watched.

Recent PSU Performance
Earlier results from other PSUs have been strong:

LIC: Net profit rose 17% to ₹12,958 crore.
IOCL: Surged 322% in net profit due to better refining margins.
Shipping Corp of India (SCI): Profit up 140% to ₹427 crore, with a ₹3.5 interim dividend.

Investors are advised to track SBI’s core profitability and provisioning, and GIC Re’s premium growth and underwriting performance, as these results could impact Maharatna and Navratna PSU stocks when markets reopen on Monday.