SBI Cards and Payment Services (SBI Card) on Tuesday reported a 32% rise in its net profit for the December quarter to Rs 509 crore, owing to a strong growth in credit card receivables. The pure-play credit card company, promoted by SBI, had posted a net profit of Rs 386 crore during the year-ago period.
Credit card spends rose 24% YoY to Rs 68,835 crore in the quarter under review. Receivables rose 33% to Rs 38,626 crore.
Card-in-force grew 21% to 1.59 crore as on December 31. The cards-in-force market share rose to 19.3% as of November 30 from 18.7% a year ago. However, credit card spends market share fell to 18% as on November 30 from 19.2% a year ago.
The company’s total revenue rose 16% y-o-y to Rs 3,656 crore in the December quarter.
On the asset quality front, the gross non-performing asset ratio fell to 2.22% as on December 31, from 2.40% a year ago. The net NPA ratio fell to 0.80% from 0.83% a year ago. In fact, impairment losses and bad debt expenses fell 15% y-o-y to Rs 533 crore.