The Indian stock market saw selling pressure in SBI Cards and Zen Technologies on October 27 after both companies’ Q2 FY26 results failed to meet investor expectations.
Shares of SBI Cards slipped over 4%, while Zen Tech tumbled nearly 7% in early trade as traders reacted to the weaker-than-expected quarterly performance.
At the time of reporting, SBI Cards share price was trading around ₹890.40, while Zen Tech share price stood near ₹1,305 on the NSE.
Market Performance
Both counters came under pressure immediately after declaring their September quarter earnings. The decline followed muted growth and operational misses that weighed on sentiment across the financial and defence segments.
SBI Cards Q2 Results Breakdown
SBI Cards and Payment Services Ltd reported a mixed set of numbers for the July–September 2025 quarter.
- Net Profit: ₹445 crore (up nearly 10% YoY from ₹404 crore in Q2 FY25)
- Revenue from Operations: ₹4,961 crore (up 12% YoY from ₹4,421 crore last year)
Despite higher revenues and double-digit profit growth, margins came under pressure due to elevated expenses. The company’s operational costs and subdued fee income offset some of the topline momentum.
While growth in retail spends and receivables remained steady, a dip in net interest margins (NIMs) and higher operating expenditure led to a softer-than-expected quarter.
Zen Technologies Q2 Results Breakdown
Defence tech firm Zen Technologies also reported a weak second-quarter performance, with both revenue and profit declining year-on-year.
- Net Profit: ₹59.40 crore (down 4.6% YoY from ₹62.27 crore in Q2 FY25)
- Revenue from Operations: ₹173.57 crore (down 28% YoY from ₹241.84 crore last year)
The fall in topline performance reflected lower execution in defence simulation projects during the quarter. While profit after tax held relatively steady, the significant revenue drop weighed on overall performance.
Company Overview and Stock Snapshot
- SBI Cards share price: ₹890.40
- Zen Tech share price: ₹1,305
- SBI Cards YoY profit growth: +10%
- Zen Tech YoY profit change: –4.6%
- SBI Cards revenue growth: +12% YoY
- Zen Tech revenue decline: –28% YoY
Both stocks have seen heightened volatility following the earnings announcements, as investors reassess near-term financial momentum and performance trends.
Summary
The Q2 results of SBI Cards and Zen Technologies reflect a contrast in sectoral momentum — one driven by consumer spending patterns and the other by defence order cycles.
While SBI Cards posted steady growth in revenue and profit, its margins faced pressure from higher costs. On the other hand, Zen Technologies reported weaker sales and profits amid a slowdown in order execution.
The twin declines in share prices show how investors are reacting to short-term earnings disappointments amid an otherwise resilient broader market.
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