Spends growth robust; margins stable QoQ SBICARD reported a robust quarter on key business metrics and its net earnings delivered a strong beat aided by lower provisions. PAT thus grew 106% YoY to INR6.3b (MOSLe: INR5.3b). Margin was stable QoQ at 13.2% in 1QFY23. Revolver mix increased to 26% from 25% in 4QFY22. Trends in both retail and corporate spends were strong at 68% YoY and 130% YoY, respectively. Overall spends thus rose 79% YoY. GNPA/NNPA ratio stood stable QoQ at 2.24%/0.79% with...
The general evaluation of SBI CARDS & PAYMENT (IN), a company active in the Consumer Finance industry, has been upgraded by the independent financial analyst theScreener with the addition of a star. Its fundamental valuation now shows 4 out of 4 possible stars while its market behaviour can be considered as moderately risky. theScreener believes that the additional star(s) merits the upgrade of its general evaluation to Slightly Positive. As of the analysis date March 22, 2022, the closing price...
SBI Cards and Payment Services: Review of digital payment charges poses an overhang; Assessing impact and risk mitigants; remain watchful of developments (SBICARD IN, Mkt Cap USD11.5b, CMP INR922, TP INR1300, 41% Upside, Buy) RBI proposed to issue a discussion paper in the next one month () to cover aspects related to charges involved in various digital payment modes covering Credit Cards, Debit Cards, PPIs, UPIs, etc. This is with the intent to make digital transactions affordable to user...
Full Article at IIR has reaffirmed its Recommended rating for PIA after undertaking a review post the appointment of a new Portfolio Manager, Harding Loevner. The full report can be found on the IIR website. On 26 July 2021, Pengana International Equities Limited (PIA) announced a fully franked dividend of 1.35 cents per share for the June quarter. This represents an 8% increase on the March quarter dividend and takes the total dividends declared for FY21 of 5.1 cents per share, fully franked....
SBI CARDS AND PAYMENT SERVICES: Steady performance; asset quality improves sequentially (SBICARD IN, Mkt Cap USD12.1b, CMP INR957, TP INR1200, 25% Upside, Buy) SBICARD reported a steady 1QFY22, with a sharp beat in earnings, supported by lower provisions, as operating performance came in line. Overall spends/receivables witnessed a sequential decline due to the lockdown during Apr-May’21, while showing a gradual improvement from Jun’21 onwards. Margin too witnessed an expansion of ~160bp,...
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