SBI Card FY23 PAT Grows By 40% YoY to 2,258 Cr `

by Priya Jadhav                                                                                                                                                                                                                                                                                                                                       


                                                                                                                                                                                                        

New Delhi/Mumbai, 28 April 2023: The Board of Directors of SBI Cards and Payment Services Limited approved the Companys results for the Q4 FY23 and financial year ended March 31, 2023, at their meeting held on Friday, April 28, 2023. 

Performance Highlights Q4 FY23 

Total Revenue increased by 30% YoY at ₹3,917 Cr in Q4 FY23 vs ₹3,016 Cr in Q4 FY22  

PAT increased by 3% YoY at ₹596 Cr in Q4 FY23 vs ₹581 Cr in Q4 FY22  

ROAA at 5.4% in Q4 FY23 vs 7.0% in Q4 FY22 

ROAE at 24.6% in Q4 FY23 vs 30.4% in Q4 FY22 

Capital Adequacy Ratio at 23.1%; Tier 1 at 20.4% 

 

Business Highlights 

 New accounts volume at 1,371K accounts in Q4 FY23 up by 37% vs 1,002K accounts in Q4 FY22 

Card-in-force grew by 22% YoY at 1.68 Cr as of Q4 FY23 vs 1.38 Cr as of Q4 FY22  

Spends grew by 32% YoY at ₹71,686 Cr in Q4 FY23 vs ₹54,134 Cr in Q4 FY22  

Receivables grew by 30% YoY at ₹40,722 Cr in Q4 FY23 vs ₹31,281 Cr in Q4 FY22  

Market share - #2 for both, Cards-in-force and Spends, in industry; for FY23 Card-in-force is at 19.7% (FY22: 18.7%), Spends is at 18.2% (FY22: 19.2%)  

 

Profit & Loss Account for the Quarter ended March 31, 2023 

Total income increased by 30% at ₹3,917 Cr in Q4 FY23 vs ₹3,016 Cr in Q4 FY22. This movement was a result of the following key factors: 

Interest income increased by 32% at ₹1,672 Cr in Q4 FY23 vs ₹1,266 Cr in Q4 FY22  

Fees and commission income increased by 25% at ₹1,786 Cr in Q4 FY23 vs ₹ 1,427 Cr in Q4 FY22 

Finance costs increased by 90% at ₹507 Cr in Q4 FY23 vs ₹267 Cr in Q4 FY22.  

Total Operating cost increased by 26% at ₹1,980 Cr in Q4 FY23 from ₹1,577 Cr in Q4 FY22.  

Earnings before credit costs increased by 22% at ₹1,429 Cr in Q4 FY23 vs ₹1,172 Cr in Q4 FY22 

Impairment losses & bad debts expenses increased by 60% at 630 Cr in Q4 FY23 vs ₹393 Cr in Q4 FY22  

Profit after tax increased by 3% at ₹596 Cr in Q4 FY23 vs ₹581 Cr in Q4 FY22.  

 

Profit & Loss Account for the financial year ended March 31, 2023  

Total income increased by 26% at ₹ 14,286 Cr in FY23 vs ₹ 11,302 Cr in FY22.  

Finance costs increased by 60% at ₹ 1,648 Cr in FY23 vs ₹ 1,027 Cr in FY22.   

Total Operating cost increased by 27% at ₹ 7,448 Cr in FY23 vs ₹ 5,844 Cr in FY22, increase is driven by higher business growth.  

Earnings before credit cost increased by 17% at ₹ 5,190 Cr in FY23 vs ₹ 4,430 Cr in FY22.   

Impairment losses & bad debts expenses decreased by 4% at ₹ 2,159 Cr in FY23 vs ₹ 2,258 Cr in FY22.   

Profit after tax increased by 40% at ₹ 2,258 Cr in FY23 vs ₹ 1,616 Cr in FY22. 

Balance Sheet as of March 31, 2023 

Total Balance Sheet size as of March 31, 2023 was ₹45,546 Cr as against ₹34,648 Cr as of March 31, 2022.  

Total Gross Advances (Credit card receivables) as of March 31, 2023 were ₹40,722 Cr, as against 31,281 Cr as of March 31, 2022.   

Net worth as of March 31, 2023 was ₹9,902 Cr as against ₹7,824 Cr as of March 31, 2022. 

Asset Quality : The Gross non-performing assets were at 2.35% of gross advances as of March 31, 2023 as against 2.22% as of March 31, 2022. Net non-performing assets were at 0.87% as of March 31, 2023 as against 0.78% as of March 31, 2022.  

Capital Adequacy :  As per the capital adequacy norms issued by the RBI, Companys 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 March 31, 2023, Companys CRAR was 23.1% compared to 23.8% as of March 31, 2022.  

The tier I capital in respect of an NBFC-ND-SI, at any point of time, cant be less than 10%. Companys Tier I capital was 20.4% as of March 31, 2023 compared to 21.0% as of March 31, 2022. 

Rating 

CRISIL Long Term          -              AAA/Stable 

CRISIL Short Term  -            A1+ 

ICRA Long Term      -           AAA/Stable 

ICRA Short Term     -           A1+ 

 Summary Profit and Loss Statement (Rs Cr) 

 

Description 

Q4 FY22  

Q3 FY23  

Q4 FY23  

FY22 

FY23 

Interest Income 

1,266 

1,609 

1,672 

4,866 

6,153 

Non-Interest Income 

(Fees, commission income & others) 

1,584 

1,898 

2,090 

5,811 

7,514 

Total Revenue from operations 

2,850 

3,507 

3,762 

10,677 

13,667 

Total Other Income 

166 

149 

154 

624 

619 

Total Income 

3,016 

3,656 

3,917 

11,302 

14,286 

Finance costs 

267 

464 

507 

1,027 

1,648 

Operating Costs 

1,577 

1,974 

1,980 

5,844 

7,448 

Earnings before credit costs 

1,172 

1,217 

1,429 

4,430 

5,190 

Impairment losses & bad debts 

393 

533 

630 

2,258 

2,159 

Profit before tax 

779 

684 

800 

2,172 

3,031 

Profit after tax 

581 

509 

596 

1,616 

2,258 

Summary Balance Sheet (Rs Cr) 

 

Description 

Mar22 

Mar23 

Assets 

  

  

Advances (Net) 

30,187  

39,361  

Cash & Bank Balances 

1,106  

1,354  

Investments 

1,297  

2,140  

Other Financial Assets & Trade Receivables 

382  

559  

Total non-financial Assets 

1,676  

2,132  

Total Assets 

34,648  

45,546  

  

 

 

Liabilities and Equity 

 

 

Total Equity 

7,753  

9,830  

Borrowings, Subordinated Liabilities & Debt Securities 

22,982  

31,110  

Other financial liabilities  

2,700  

3,091  

Total non-financial liabilities  

1,213  

1,514  

Total liabilities and equity 

34,648  

45,546  

About SBI Card  : SBI Cards and Payment Services Limited (“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 brand has a wide base of over 16 MM+ cards in force as of Mar23. It has diversified customer acquisition network that enables to engage prospective customers across multiple channels. SBI Card is a technology driven company. 

The Company is listed on National Stock Exchange (“NSE”) and The Bombay Stock Exchange (“BSE”). 

P.S. The brand name of the company is SBI Card and it is registered in the name of SBI Cards and Payment Services Limited. The company is trading under the entity name SBICARD on stock exchanges. 

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