SBI Card reported a 10% YoY increase in profit after tax (PAT) to ₹445 Cr for Q2 FY26. Total spends surged by 31% YoY, reaching ₹107,063 Cr. The company witnessed continued growth in spends and improved asset quality, with credit costs lower QoQ. New accounts grew 4% YoY to 9.36 lacs, while receivables increased by 8% YoY to ₹59,845 Cr.
Financial Performance Highlights
SBI Card showcased strong financial performance in Q2 FY26, driven by increased spending and efficient management. Key highlights include:
- Profit After Tax (PAT): ₹445 Cr, a 10% YoY increase.
- Total Spends: ₹107,063 Cr, up by 31% YoY.
- Receivables: ₹59,845 Cr, reflecting an 8% YoY growth.
- New Accounts: 9.36 lacs, an increase of 4% YoY.
The company’s focus on quality underwriting and collections contributed to improved asset quality. The business demonstrated robust growth, maintaining a strong capital adequacy ratio.
Portfolio and Business Growth
SBI Card expanded its customer base and witnessed increased transaction volumes, demonstrating a robust business model. Key growth metrics include:
- Cards-in-Force: Showing consistent growth.
- Retail Spends: A notable increase reflecting increased consumer spending.
- Corporate Spends: Seeing profitability, corporate spends witnessed substantial growth.
The company’s strategies to acquire new customers and enhance customer engagement drove portfolio expansion.
Asset Quality
SBI Card maintained healthy asset quality through proactive risk management. Key indicators include:
- GCL%: 9.0%
- GNPA%: 2.85%
- NNPA%: 1.29%
Prudent provisioning policies and efficient collection mechanisms contributed to stable asset quality.
Strategic Initiatives
SBI Card continues to focus on technology-led customer inclusion and employee engagement. Key initiatives include:
- Enhanced digital onboarding processes.
- Strengthened eKYC for seamless customer onboarding.
- Employee engagement through various festive celebrations and leadership connects.
- Extended disaster relief support to flood and landslide-affected regions.
Source: BSE