Total Spends (Q4)
₹1.15T
+31% YoY
Total card spends in Q4 FY26 exceeded ₹1.15 trillion, setting a new quarterly record.
SBICARDSANDPAYMENT
Diversified
2026-04-??
SBI Cards and Payment Services Ltd — Q4 FY26
SBI Cards reported Q4 FY26 revenue of ₹5,187 crore (+7% YoY) and PAT of ₹609 crore (+14% YoY), driven by strong spend growth (total spends ₹1.15 trillion, +31% YoY) and improving asset quality.
Financial stats pending filing verification
2-Minute Summary
✦ AI-Generated from Full Transcript
SBI Cards reported Q4 FY26 revenue of ₹5,187 crore (+7% YoY) and PAT of ₹609 crore (+14% YoY), driven by strong spend growth (total spends ₹1.15 trillion, +31% YoY) and improving asset quality. Gross credit cost improved 55bps QoQ to 7.7%, and NPA stock reduced by ₹268 crore QoQ. Management guided for calibrated card acquisition of 9 lakh to 1 million per quarter and expects credit cost to moderate further in FY27. However, receivables growth slowed to just 2% YoY, and the cost-to-income ratio remained elevated at 57.2% due to higher corporate spends. Revolver rates are expected to trend slightly downward, pressuring NIM. Key risk: geopolitical uncertainty could derail credit cost improvement and asset quality.
Key Numbers
Cards-in-Force Market Share
18.6%
flat
SBI Cards maintained its position as the second largest issuer with 18.6% market share as per RBI March 2026 data.
New Account Additions (Q4)
917,000
flat
Added 9.17 lakh new accounts in Q4, in line with guided range of 9 lakh to 1 million.
Gross Credit Cost
7.7%
-55bps QoQ
Gross credit cost improved 55 basis points quarter-over-quarter to 7.7%, continuing the reducing trend.
Management Guidance
Card acquisition of 9 lakh to 1 million per quarter
Management expects to maintain similar quarterly card acquisition run-rate in FY27, focusing on high-quality customers.
Management guidance growthCost-to-income ratio in 55-58% range for FY27
The cost-to-income ratio is expected to remain between 55% and 58% in FY27, similar to FY26 levels.
Management guidance marginsCredit cost to moderate further in FY27
Management expects credit cost to continue its downward trajectory in FY27, though pace depends on macroeconomic conditions.
Management guidance marginsROA target of 4-4.5% in medium term
Management reiterated its medium-term ROA target of 4-4.5%, achievable through improving credit costs and revenue initiatives.
Management guidance growthKey Risks
Geopolitical uncertainty impacting credit costs
Management highlighted that geopolitical tensions could worsen macroeconomic conditions and affect asset quality, potentially slowing credit cost moderation.
high · management_commentaryDeclining revolver rates pressuring NIM
Revolver rates are expected to have a slight downward bias in FY27, which could compress net interest margins if not offset by EMI growth or other measures.
medium · management_commentarySlow receivables growth may persist
Receivables grew only 2% YoY, and management did not provide a clear timeline for acceleration, raising concerns about near-term revenue momentum.
medium · data_observationCost-to-income ratio may remain elevated
Despite guidance of 55-58%, the adjusted cost-to-income ratio (excluding one-offs) was ~60% in Q4, and corporate spend normalization may not fully offset structural cost pressures.
medium · analyst_questionNotable Quotes
We expect the credit cost to moderate further in FI27. However, the rate of moderation in credit cost and asset quality will depend on the evolving geopolitical landscape and its impact on the macroeconomic factors and the unsecured lending ecosystem.
We have not indicated a specific number as to where it's going to go. There will be a downward bias. ... installment lending would be our first chosen preference and we would like to invest heavily there to get the asset build up there.
We are not giving any guidance on asset growth. ... we are building on card acquisition and we expect that the asset growth will follow the card acquisition growth.
Frequently Asked Questions
What was SBI Cards and's revenue in Q4 FY26?
SBI Cards and reported revenue of ₹5,187 Cr in Q4 FY26, representing a +7% change compared to the same quarter last year.
What guidance did SBI Cards and management give for FY27?
Card acquisition of 9 lakh to 1 million per quarter: Management expects to maintain similar quarterly card acquisition run-rate in FY27, focusing on high-quality customers. Cost-to-income ratio in 55-58% range for FY27: The cost-to-income ratio is expected to remain between 55% and 58% in FY27, similar to FY26 levels. Credit cost to moderate further in FY27: Management expects credit cost to continue its downward trajectory in FY27, though pace depends on macroeconomic conditions. ROA target of 4-4.5% in medium term: Management reiterated its medium-term ROA target of 4-4.5%, achievable through improving credit costs and revenue initiatives.
What are the key risks for SBI Cards and in FY27?
Key risks include Geopolitical uncertainty impacting credit costs — Management highlighted that geopolitical tensions could worsen macroeconomic conditions and affect asset quality, potentially slowing credit cost moderation.; Declining revolver rates pressuring NIM — Revolver rates are expected to have a slight downward bias in FY27, which could compress net interest margins if not offset by EMI growth or other measures.; Slow receivables growth may persist — Receivables grew only 2% YoY, and management did not provide a clear timeline for acceleration, raising concerns about near-term revenue momentum.; Cost-to-income ratio may remain elevated — Despite guidance of 55-58%, the adjusted cost-to-income ratio (excluding one-offs) was ~60% in Q4, and corporate spend normalization may not fully offset structural cost pressures..
Did SBI Cards and meet its previous quarter's guidance?
Scorecard data is being built as historical quarters are processed.
Where can I read the full SBI Cards and Q4 FY26 concall transcript?
The full earnings conference call transcript or source release is available on the linked source material. This page provides an AI-generated summary with filing verification status shown on the financial stats.