SBI Q1 net profit seen 16% up but treasury could be a drag

State Bank of India (SBI) is expected to report robust balance sheet growth, improvement in asset quality and healthy core interest income for the June quarter. Treasury operations could prove to be the Achilles’ heel of the country’s largest lender in the quarter ended June, for which it will report its earnings on August 6. An average of the estimates by 10 securities firms shows that SBI’s June quarter net profit would be Rs 7,495 crore, up 16 percent year-on-year.