Mumbai — SBI Cards and Payment Services Limited, India’s largest pure-play credit card issuer, reported a strong financial performance for the fourth quarter and full fiscal year ended March 31, 2026, driven by steady revenue growth, improved asset quality, and higher fee income.
The company posted a net profit of ₹609 crore ($73 million approx.) for Q4 FY26, marking a 14% year-over-year increase from ₹534 crore in the same quarter last year. Profit before tax rose 13.5% to ₹816 crore, while total revenue from operations grew 5.6% to ₹4,935 crore.
A key driver of growth was fees and commission income, which climbed 12% to ₹2,343 crore, reflecting increased card usage and transaction volumes. However, interest income slightly declined to ₹2,382 crore compared to ₹2,415 crore a year earlier. Earnings per share for the quarter stood at ₹6.40, up from ₹5.62.
Full-Year FY26 Performance मजबूत
For the full fiscal year, SBI Cards reported a net profit of ₹2,167 crore, up 13% from ₹1,916 crore in FY25. Total revenue from operations increased 10% to ₹19,900 crore, while profit before tax rose to ₹2,913 crore.
Annual earnings per share improved to ₹22.77, compared to ₹20.15 in the previous year, indicating consistent profitability despite macroeconomic uncertainties.
Interim Dividend Declared
The Board of Directors confirmed an interim dividend of ₹2.50 per equity share (25% of face value ₹10) for FY26, in line with the provisions of the Companies Act, 2013. The record date had been fixed earlier at the time of declaration.
Asset Quality Sees Significant Improvement
SBI Cards reported a notable strengthening in asset quality, with:
- Gross NPA (Stage 3) improving to 2.41% from 3.08% a year earlier
- Net NPA declining to 1.04% from 1.46%
- Provision Coverage Ratio at 57.58%
Total expected credit losses on loan balances stood at ₹1,942 crore as of March 31, 2026.
Strong Capital Position
The company maintained a robust capital base, with a Capital Adequacy Ratio of 25.47%, well above regulatory requirements. Net worth rose to ₹15,797 crore from ₹13,782 crore a year ago.
Other key metrics include:
- Debt-to-equity ratio: 2.79
- Total assets: ₹66,328 crore
- Loan book (advances): ₹54,984 crore
- Cash and equivalents: ₹2,104 crore
One-Time Adjustments and Accounting Updates
During the year, the company reported several notable accounting adjustments:
- GST liability write-back: ₹76.57 crore related to late payment fees, following alignment with GST regulations
- PIDF contribution reversal: ₹114.79 crore after regulatory clarification on non-collectability
- Additional impairment provision: ₹220 crore as a management overlay to cushion against macroeconomic and geopolitical uncertainties
Additionally, the company recognized a ₹12 crore increase in employee benefit provisions following the Government of India’s notification of new labor codes in November 2025.
Operational and Regulatory Highlights
SBI Cards continues to operate as a single-segment credit card business, with no overseas operations. It is classified as an NBFC-Middle Layer entity under RBI regulations, while also complying with stricter norms applicable to upper-layer NBFCs due to its association with State Bank of India.
During FY26, the company allotted shares under its employee stock option scheme, issuing over 243,000 equity shares over the year.
It also sold more than 356,000 written-off accounts for a total consideration of ₹11.5 crore, reflecting ongoing balance sheet clean-up efforts.
Clean Audit Report
The financial results were audited by joint statutory auditors — V.K. Dhingra & Co. and S.P. Chopra & Co. — who issued an unmodified (clean) audit opinion.
While auditors highlighted the additional impairment provision and GST write-back, these observations did not impact the overall audit opinion.
Overall, SBI Cards’ FY26 performance reflects steady growth, improved credit quality, and disciplined risk management, positioning the company well for sustained expansion in India’s fast-growing digital payments and credit ecosystem.
