SBI Card Q1 FY27 Earnings: Investor Summary

$SBICARD Financial Performance SBI Card demonstrated strong bottom-line growth in Q1 FY27, reporting a 19.5% YoY increase in Net Profit to ₹664.4 crore. Total Revenue grew a modest 3% YoY to ₹5,205 crore, while Net Interest Income (NII) remained flat at ₹1,676 crore. Earnings growth was primarily driven by a sharp 30% reduction in impairment losses and bad debt expenses to ₹948 crore, alongside a 10% rise in fee and other income to ₹2,620 crore. Operating costs, however, increased by 23% YoY to ₹2,620 crore. Operational Growth & Market Share The company retained its position as India's second-largest credit card issuer across cards-in-force, spends, and transactions: Card Spends: Surged by 27% YoY to ₹1,18,475 crore, pushing the company's spend market share up to 19.5% from 16.6%. Customer Acquisition: Added 1.02 million new accounts during the quarter, bringing Total Cards-in-Force (CIF) to 2.26 crore (+7% YoY). Advances: Credit card receivables grew by 3% YoY to ₹58,269 crore. Asset Quality & Returns Asset quality improvements were a key highlight for the quarter: Gross NPA improved by 103 bps YoY to 2.04% of gross advances. Net NPA declined to 0.83% from 1.42% in the year-ago period. Consequently, return metrics expanded, with ROAA rising to 3.9% and ROAE improving to 16.5%. Capital Position & Market Reaction The balance sheet remains highly robust with total assets of ₹69,707 crore and a net worth of ₹16,463 crore. The Capital Adequacy Ratio (CAR) stands comfortably at 25.6% (Tier I at 20.3%), ensuring ample runway for future growth. Despite the positive profitability and asset quality metrics, SBI Card shares closed marginally lower at ₹618.95 (-0.45%) on the BSE, reflecting the market's balancing of lower credit costs against muted top-line growth and rising operational expenditures.