SBI Card PAT rises 32% yoy to Rs 509 crore in Q3FY23; Stock tumbles 3%

The Board of Directors of SBI Cards and Payment Services Limited approved the Company’s results for the Q3 FY23 and 9 months ended December 31, 2022, at their meeting held on Tuesday, January 24, 2023.

Performance Highlights Q3 FY23

• Total Revenue increases 16% YoY to Rs3,656 crore 
• ROAA at 4.8% for Q3 FY23 vs 5.0% for Q3 FY22 
• ROAE at 22.0% for Q3 FY23 vs 21.2% for Q3 FY22 
• Capital Adequacy Ratio at 23.3%; Tier 1 at 20.6%

Key Metrics

• New accounts volume at 1,634K accounts for Q3 FY23 up by 62% vs 1,008K accounts for Q3 FY22 
• Card-in-force grew by 21% to 1.59 crore as of Q3 FY23 vs 1.32 crore as of Q3 FY22 
• Spends grew by 24% at Rs68,835 crore for Q3 FY23 vs Rs55,397 crore for Q3 FY22 
• Market share 9M FY23 (available till Nov’22) – Card-in-force at 19.3% (FY22: 18.7%). Spends at 18.0% (FY22: 19.2%) 
• Receivables grew by 33% to Rs38,626 crore as of Q3 FY23 vs Rs29,129 crore as of Q3 FY22 
• GNPA at 2.22% as of Q3 FY23 vs 2.40% as of Q3 FY22; NNPA at 0.80% as of Q3 FY23 vs 0.83% as of Q3 FY22

Profit & Loss Account for the Quarter ended December 31, 2022

• Total income at Rs3,656 crore for Q3 FY23 vs Rs3,140 crore for Q3 FY22. 
• Finance costs increased by Rs187 crore to Rs464 crore for Q3 FY23 from Rs277 crore for Q3 FY22. 
• Total Operating cost increased by 15% at Rs1,974 crore for Q3 FY23 from Rs1,719 crore for Q3 FY22. 
• Earnings before credit costs increased by 6% at Rs1,217 crore for Q3 FY23 vs Rs1,144 crore for Q3 FY22 
• Impairment losses & bad debts expenses decreased by 15% at Rs533 crore for Q3 FY23 vs Rs625 crore for Q3 FY22
• Profit before tax increased by Rs166 crore or 32% to Rs684 crore for Q3 FY23 vs Rs519 crore for Q3 FY22.
• Profit after tax increased by Rs124 crore or 32% to Rs509 crore for Q3 FY23 vs Rs386 crore for Q3 FY22.

Asset Quality

The Gross non-performing assets were at 2.22% of gross advances as on December 31, 2022 as against 2.40% as on December 31, 2021. Net non-performing assets were at 0.80% as at December 31, 2022 as against 0.83% as on December 31, 2021.

At around 10:23 AM, SBI Cards was trading at Rs724.20 per share lower by 2.95% on the BSE.

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