SBI Cards and Payment Services Limited — Updates, 28-01-2025: Press Release

Total revenue for SBI Cards and Payment Services Limited reached ₹4,767 Cr for the quarter ended December 31, 2024, marking a 1% increase year-on-year. However, profit after tax (PAT) saw a significant decline of 30%, falling to ₹383 Cr compared to ₹549 Cr in the same quarter last year. Notably, the return on average assets (ROAA) dropped to 2.4%, down from 4.0%, and return on average equity (ROAE) decreased to 11.5% from 19.3%.

The company experienced growth in new account volume, up 7% to 1,175K, and an increase in cards-in-force by 10%, totaling 2.02 Cr. Retail spend rose by 10% to ₹80,792 Cr. However, gross non-performing assets climbed to 3.24% of gross advances, up from 2.64% a year earlier. The capital adequacy ratio stood at a robust 22.9%, with Tier 1 capital at 17.0%, indicating a strong capital position. Investors should note these mixed results, as the growing account base and retail spend signal potential, while declining PAT and increasing asset quality concerns warrant close attention.