SBI Cards & Payment Services Ltd Results: PAT at Rs 557 Crore, Up 45 Per Cent YoY

SBI Cards and Payment Services Limited reported a strong financial performance for the quarter ended December 31, 2025, with Profit After Tax (PAT) surging by 45 per cent year-on-year to Rs 557 crore. This growth was supported by a 12 per cent increase in total revenue, which reached Rs 5,353 crore, up from Rs 4,767 crore in the same period last year. Efficiency metrics also saw significant improvement, with the Return on Average Assets (ROAA) rising to 3.2 per cent and the Return on Average Equity (ROAE) climbing to 14.7 per cent, reflecting a robust bottom-line recovery compared to Q3 FY25.

The company’s business operations experienced substantial expansion, particularly in consumer engagement. Total spends grew by 33 per cent to reach Rs 1,14,702 crore, while the "Cards-in-force" portfolio expanded by 8 per cent to 2.18 crore. Despite a more competitive environment for new account acquisitions—which stood at 864K for the quarter—SBI Card managed to increase its market share for "Cards-in-force" to 18.8 per cent. It currently maintains a strong industry standing, ranked second for total cards in circulation and third for overall spends.

From a structural perspective, the increase in total income was driven by a 17 per cent jump in fees and other revenue, alongside a modest 6 per cent rise in interest income. Conversely, the company managed to reduce its finance costs by 5 per cent, even as operating costs rose by 23 per cent to Rs 2,597 crore. A key contributor to the profit spike was a 7 per cent decrease in impairment costs (credit costs), which fell to Rs 1,222 crore. This suggests a stabilising credit environment and more efficient risk management during the quarter.

The balance sheet and asset quality remained healthy as of December 31, 2025. Total assets grew to Rs 67,365 crore and Gross NPA improved to 2.86 per cent from 3.24 per cent in the previous year. The company’s Capital Adequacy Ratio (CRAR) remains exceptionally strong at 24.4 per cent, well above the regulatory requirement of 15 per cent, with Tier 1 capital at 19.1 per cent. Supported by "AAA" ratings from CRISIL and ICRA, the company appears well-capitalised to fund future growth while maintaining a stable liquidity profile.

About the Company

SBI Cards and Payment Services Limited (SBI Card) operates as a leading non-Banking financial company in India, offering a comprehensive suite of credit cards tailored for both individual and corporate clients. Their extensive portfolio spans lifestyle, rewards, travel, fuel and specialised banking partnerships, ensuring coverage across diverse income profiles and consumer segments. As of December 31, 2025, the company maintains a significant market presence with over 21 million cards in force, supported by a multi-channel acquisition network that drives robust customer engagement. Listed on both the NSE and BSE, SBI Card continues to leverage its diversified distribution model to maintain its position as a dominant player in the Indian payments landscape.

Disclaimer: The article is for informational purposes only and not investment advice.