SBI Card Q3 results: Net profit rises 8% to ₹549 crore

SBI Cards and Payment Services Ltd (SBI Card) on Thursday declared financial results for the third quarter (Q3) ended December 31, 2023, of the fiscal year 2024 (FY24). 

The State Bank of India-backed credit card services provider reported an 8 per cent growth in its net profit at ₹549 crore in the third quarter of FY24, from ₹509 crore in the same period a year ago.

Its total income surged 30 per cent year-on-year at ₹4,742 crore in Q3 of FY24 from ₹3,656 crore in Q3 of last fiscal year.

SBI Card said its gross non-performing assets (GNPAs) stood at 2.64 per cent of gross advances as of December 31, 2023, up from 2.35 per cent as of March 31, 2023. Net NPAs stood at 0.96 per cent as of December 31, 2023, as against 0.87 per cent as of March 31, 2023.

Finance costs rose by 50% in the December quarter from last fiscal year.

Its total expenses rose to ₹4,004.01 crore in in December quarter of the fiscal year 2024 from ₹2,971.82 crore in the same period of last fiscal year.

In the reported third quarter, the aggregate amount spent by cardholders surged 41% to ₹96,860 crore for the company.

On Wednesday, SBI Card said that it has raised up to ₹525 crore by issuing non-convertible debentures (NCDs) to fund its business growth.

It will allot 525 fixed rate, unsecured, rated, taxable, redeemable, subordinate tier II, listed, non-convertible debentures aggregating to ₹525 crore on a private placement basis, according to a stock exchange filing.

They will have a face value of ₹1 crore each and carry a coupon rate of 8.33 per cent, it had said.

Shares of SBI Cards and Payment Services Ltd rose 1.88 per cent to end at ₹761.00 on the NSE on Thursday.