SBI Cards and Payment Services posted a net profit of ₹509 crore for Q3 FY23, higher by 32 per cent on-year led by strong growth in total income and cards-in-force.

The total revenue of the company rose 16 per cent y-o-y to ₹3,656 crore.

Total income was ₹3,656 crore in the reporting quarter compared with ₹3,140 crore in the year-ago period, led by an increase in the interest income to ₹1,609 crore from ₹1,273 crore.

Impairment losses and bad debts expenses decreased by 15 per cent to ₹533 crore for the quarter, also aiding the bottom line.

Cards-in-force for the company grew 21 per cent to 1.6 crore at the end of December. New accounts volume rose 62 per cent to 16.34 lakh accounts.

Accordingly, receivables for the cards company grew by 33 per cent y-o-y to ₹38,626 crore. Card spends were 24 per cent higher at ₹68,835 crore.

Total gross advances, including credit card and receivables, rose 23.5 per cent higher over the nine-month period to ₹38,626 crore as of December 31.

As of November 2022, the market share of the company in terms of cards-in-force was 19.3 per cent, higher than 18.7 per cent at the end of FY22. Market share in card spends stood at 18.0 per cent, lower than 19.2 per cent as of March 2022.

The gross NPA ratio of SBI Card was at 2.22 per cent, better than 2.40 per cent a year ago. The net NPA ratio also improved to 0.80 per cent from 0.83 per cent.

Capital adequacy ratio of the company was at 23.3 per cent on December 31, of which tier-I capital was 20.6 per cent. The net worth of the company stood at ₹9,530 crore.