1. At a Glance
India’s OG plastic lender is back — with ₹4,877 Cr in revenue, ₹556 Cr in net profit, and an NPA that’s quietly creeping like your credit card due date. SBI Cards is trading at 45x earnings, 6.1x book value, and just got a new CEO. Swipe with caution.
2. Introduction with Hook
If your love language is cashback, SBI Cards might be your soulmate. This is India’s only listed pure-play credit card issuer, launched in 1998 and IPO’d in March 2020 — right before the world went into COVID-induced EMI freeze. Today, it serves 2+ crore cardholders, makes more money from interest than some small banks, and just replaced its MD.
But hold your applause:
- Revenue growth TTM: a modest 7%
- Net Profit TTM: -22%
- Gross NPA: 3.08% — not horrible, but your bank RM wouldn’t tell you that.
3. Business Model (WTF Do They Even Do?)
SBI Cards is what happens when a fintech bro grows up in a PSU family.
Core Biz:
- Credit card issuance and management (no debit, no deposits, no distractions)
- Revenue from interest, fees, late payment charges, and reward program tie-ups.
Revenue Breakdown:
- ~55%: Interest income
- ~35%: Fees & service charges
- ~10%: Other (read: everything else they could monetize)
Basically, they give you ₹1,00,000 of credit and charge you ₹1,25,000 if you’re late. Genius.
4. Financials Overview
Here’s the
