For the December quarter 2021-22, State Bank of India Cards and Payments announced an 84% rise in net profits. In the same quarter the previous year, the SBI-backed card issuer registered a net gain of Rs 210 crore. This fiscal year, the value was estimated to be Rs 386 crore.
In March 2020, SBI Card became the first pure-play credit card company to list in Indian stock exchanges. The company’s total revenue increased by 24% to Rs 3,140 crore from Rs 2,540 crore in Q3FY20-21. Raised income from fees and services is the main reason behind this elevation. The entity also welcomed a ten percent growth in new accounts volume, and total spends surged to Rs 55,397 crore.
Furthering the optimism, the issuer’s asset quality increased as its gross non-performing assets (NPAs) fell to 2.40% of gross credit. It was nearly double the amount during the previous year.
SBI Card was established in 1998 by the State Bank of India and GE Capital. Headquartered in Gurgaon, the Indian company engaged in marketing and distribution of credit cards. Albeit, its finance costs elevated by 6% at Rs 277 crore, along with the total operating cost peaking by 28% to RS. 1,719 crore. The firm’s shares closed at Rs 814 on the BSE listing. It fell by 4.28% from the previous close.
