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Author(s):

K Arun Sreeram | Dr.L. Kavitha
Keywords:

CAMEL Model, Financial Performance, SBI, HDFC Bank, Asset Quality, Profitability, Risk Management
Abstract:
This Study Undertakes A Comparative Analysis Of The Financial Performance Of The State Bank Of India (SBI) And HDFC Bank, Representing The Public And Private Banking Sectors In India, Respectively. Using The CAMEL Framework—Capital Adequacy, Asset Quality, Management Efficiency, Earnings, And Liquidity—supported By Ratio Analysis, ANOVA, And Arithmetic Mean, The Research Evaluates The Performance Of Both Banks Over The Period 2021–2025. The Findings Reveal That HDFC Bank Demonstrates Superior Profitability, Asset Quality, And Operational Efficiency, While SBI Reflects Greater Financial Inclusion, Capital Strength, And Market Outreach, Albeit Constrained By Higher Non-performing Assets And Cost Inefficiencies. Based On The Interpretations, Targeted Suggestions And Recommendations Are Proposed For SBI To Enhance Efficiency, Strengthen Risk Management, Improve Digital Adoption, And Diversify Income Streams. The Study Contributes To The Academic Literature On Banking Performance By Offering Insights Into The Comparative Dynamics Of Public And Private Sector Banks, While Also Serving As A Valuable Reference For Investors, Policymakers, And Financial Institutions In Formulating Performance-improvement Strategies.