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SBI Card Q4 PAT jumps 110% YoY to Rs 175 cr

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Capital Market
Last Updated : Apr 26 2021 | 6:16 PM IST

On a standalone basis, SBI Cards and Payment Services' net profit soared 109.95% to Rs 175.42 crore on 1.68% decline in total income to Rs 2,468.14 crore in Q4 FY21 over Q4 FY20.

Return on average assets (ROAA) stood at 2.6% in Q4 FY21 as against 1.3% for Q4 FY20. Return on average equity (ROAE) was at 11.2% during Q4 FY21 as against 6.5% for Q4 FY20. During the quarter, Capital Adequacy Ratio stood at 24.8% compared with 22.4% in Q4 FY20.

Card-in-force grew 12% to 1.18 crore as of Q4 FY21 from 1.05 crore as of Q4 FY20. Spends jumped 11% to Rs 35,943 crore in Q4 FY21 as against Rs 32,429 crore for Q4 FY20. Market share (available till February) for Card-in-force segment stood at 19% for FY21 from 18.3% in FY20. The Spends segment reported a market share of 19.5% for FY21 over 17.9% during FY20.

Receivables grew 4% to Rs 25,114 crore as of Q4 FY21 over Rs 24,141 crore as of Q4 FY20. GNPA stood at 4.99% as of Q4 FY21 from 2.01% in Q4 FY20 and NNPA was at 1.15% as of Q4 FY21 compared with 0.67% during Q4 FY20. New accounts volume stood at 7,91,000 for Q4 FY21.

Total income was impacted by a fall in interest income. Interest income fell 20.47% year-on-year during the quarter to Rs 1,072 crore. The income from fees and services rose 16% to Rs 1,114 crore in Q4 FY21 as against Rs 959 crore in Q4 FY20. Other income increased by Rs 82 crore, rising 107% Y-o-Y (year-on-year) to Rs 159 crore for Q4 FY21 from Rs 77 crore in Q4 FY20, primarily due to higher bad debt recovery.

Finance costs decreased by Rs 91 crore, or 27.1% to Rs 244 crore for Q4 FY21 from Rs 334 crore during Q4 FY20. Total operating cost increased by Rs 60 crore, or 4.9% to Rs 1,285 crore in Q4 FY21 from Rs 1,226 crore in Q4 FY20. Total management overlay provision stood at Rs 297 crore as on March 2021. Impairment losses & bad debts expenses for Q4 FY21 stood at Rs 705 crore as against Rs 838 crore for Q4 FY20.

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Total Gross Advances (credit card receivables) as of 31 March 2021 stood at Rs 25,114 crore as against Rs 24,141 crore as of 31 March 2020. Net worth as of 31 March 2021 was at Rs 6,374 crore as against Rs 5,413 crore as of 31 March 2020.

Gross non-performing assets were at 4.99% of gross advances as on 31 March 2021 as against 2.01% as on 31 March 2020. Net non-performing assets were at 1.15% as against 0.67% as on 31 March 2020.

As per the capital adequacy norms issued by the RBI, SBI Cards and Payment Services' capital to risk ratio consisting of Tier I and Tier II capital should not be less than 15% of its aggregate risk weighted assets on - balance sheet and of risk adjusted value of off-balance sheet items. As of 31 March 2021, the company's CRAR was at 24.8% as compared to 22.4% as of 31 March 2020. The Tier I capital in respect of an NBFC-ND-SI, at any point of time, is required to be not be less than 10%. The company's Tier I capital stood at 20.9.% as of 31 March 2021 as against 17.7% as on 31 March 2020.

SBI Cards and Payment Services (SBI Card) is a non-banking financial company that offers extensive credit card portfolio to individual cardholders and corporate clients which includes lifestyle, rewards, travel & fuel and banking partnerships cards along with corporate cards covering all major cardholders' segments in terms of income profile and lifestyle.

The scrip declined 2% to close at Rs 919.10 on BSE. It traded in the range of 911.50 and 971.95 during the day.

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First Published: Apr 26 2021 | 4:59 PM IST

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