SBI Cards Share Price Crashes Over 6% to 15-Week Low After Q1 Profit Decline

Market Performance

• SBI Cards share price fell 6.1% intraday to ₹834.75 on July 28, marking a 15‑week low.
• The drop came post Q1 FY26 results, weighed down by higher write-offs.

Main News

SBI Cards and Payment Services, majority-owned by State Bank of India, posted its fourth straight quarterly profit decline as delinquencies stayed elevated.

Financial Snapshot (Q1 FY26 vs Q1 FY25)

• Net profit: ₹556 crore, - 6% (₹594 crore a year ago)
• Total revenue: ₹5,035 crore, + 12% (₹4,483 crore)
• Impairment losses & bad debt expenses: ₹1,352 crore, + 23% (₹1,101 crore)
• Gross write-offs: ₹1,280 crore, + 32% YoY
• Gross NPA ratio: 3.07% (vs 3.08% in the previous quarter; 3.06% a year ago)
• Cardholder spends: ₹93,244 crore, + 21% YoY
• Cards‑in‑force: + 10% YoY

The broader lending industry is simultaneously contending with rising bad loans in microfinance, credit cards, and personal loans.

Company Details

SBI Cards is a non-banking financial company (NBFC) offering a wide credit card portfolio to individuals and corporates. Its suite spans lifestyle, rewards, travel & fuel, banking partnership cards, and corporate cards, covering multiple income profiles and lifestyle segments.

Summary

• SBI Cards share price slipped sharply after Q1 numbers showed a 6% profit decline and higher credit costs.
• Revenue grew 12%, but impairments (+23%) and gross write-offs (+32%) stayed elevated.
• Asset quality was largely flat, with GNPA at 3.07%.
• Consumer activity remained strong, with 21% higher spends and 10% growth in cards‑in‑force.

Overall, the SBI Cards share price reacted to persistently high write-offs and impairment charges, even as topline growth and spend momentum held up.