SBI Card Q2 profit down 33% to Rs 404 crore

SBI Cards and Payment Services Ltd (SBI Card) on Tuesday reported a 33 per cent fall in net profit to Rs 404 crore for September quarter on increase in delinquency.

pure-play credit card company, promoted by country's largest lender State Bank of India (SBI), h reported a net profit of Rs 603 crore in previous quarter a year earlier.

However, total income in second quarter of current fiscal year rose 8 per cent to Rs 4,556 crore, from Rs 4,221 crore a year ago, SBI Card said in a regulatory filing.

interest income grew 20 per cent to Rs 2,290 crore, while income from or sources declined 2 per cent to Rs 2,131 crore.

re was slight deterioration in company's asset quality with gross non-performing assets rising to 3.27 per cent of gross vances as of September, from 2.43 per cent a year earlier.

Net NPAs (b loans) also rose to 1.19 per cent from 0.89 per cent in corresponding quarter of previous year.

Impairment losses and b debts expenses increased 63 per cent to Rs 1,212 crore in September quarter as compared to Rs 742 crore a year earlier, it said.

On capital equacy, company said ratio declined to 22.1 per cent from 23.3 per cent at end of September 2023.