SBI Cards And Payment Services: Business Traction On Roll; Asset Quality Monitorable, Says Prabhudas Lilladher 
A woman using her credit card (Photographer Hollie Adams/Bloomberg)

SBI Cards And Payment Services: Business Traction On Roll; Asset Quality Monitorable, Says Prabhudas Lilladher 

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Prabhudas Lilladher Report

The October 2020 Reserve Bank of India credit card statistics suggests SBI Cards and Payment Services Ltd. maintaining month-on-month cards in-force share at approximately 19% clocking better than industry averages and stood second best to ICICI Bank Ltd. and HDFC Bank Ltd. with-respect-to cards-in-force and spends traction respectively.

As structural demand begins to roll in and shock absorbers (25% capital adequacy ratio, 64% provision coverage ratio, 6%YoY growth expectation in pre-provision operating profit for FY21) in place to tackle credit quality, SBI Card geared to return to normalcy sooner than expected with increased spends (25%YoY growth) and fee income (20%YoY growth) for FY22-23E.

Click on the attachment to read the full report:

Prabhudas Lilladher SBI Cards and Service Event Update.pdf

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