Crisil Ratings has reaffirmed its highest credit rating of ‘AAA/AI+’ for SBI Cards, maintaining a stable outlook. This reflects the company’s robust market position, strong support from its parent State Bank of India, and consistent financial health despite minor profitability moderation.
Crisil Ratings has reaffirmed its ‘AAA/AI+’ ratings on SBI Cards and Payment Services Ltd, India's second-largest credit card issuer, accompanied by a stable outlook. The rating agency also enhanced the bank loan facilities rating to Rs 62,000 crore from Rs 57,000 crore, signaling confidence in the company’s creditworthiness and operational strength.
Key Highlights:
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Strong Parent Support: SBI remains the majority shareholder with a 68.6% stake, providing critical financial and managerial backing.
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Market Position: SBI Cards holds a steady 19% market share in India’s credit card industry with a customer base exceeding 2.15 crore cards-in-force.
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Profitability & Asset Quality: Although return on assets (RoA) moderated to 3.0% from 4.6% due to margin compression and rising credit costs, the company continues to generate above-average profits. Gross NPA stood at 2.85%, reflecting prudent risk management.
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Financial Metrics: Total assets grew to Rs 65,546 crore in FY 2025, with net income of Rs 15,459 crore and a PAT of Rs 1,916 crore.
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Outlook Stability: Crisil anticipates continued benefits from SBI’s backing, expecting SBI Cards to maintain its market strength and profitability. An adverse change in SBI’s support or creditworthiness could impact future ratings.
This reaffirmation boosts investor confidence in SBI Cards’ resilience and strategic positioning within the Indian financial sector.
Sources: Crisil Ratings Reports, SBI Cards Financial Disclosures, Economic Times.