Sbi Cards & Payment Services Ltd · NSE:SBICARD
Sbi Cards & Payment Services — Q4 FY21 Earnings Presentation
29 slides from Sbi Cards & Payment Services's earnings presentation, Apr 26, 2021
Slide 1: Exchange filing cover letter under Regulation 30
April 26, 2021 The BSE Limited The National Stock Exchange of India Corporate Relationship Department. Limited PJ. Towers. Exchange Plaza, Dalal Street, Fort Bandra-Kurla Complex. Mumbai - 400 001 Bandra (E), Mumbai - 400 051 SCRIP CODE: 543066 SYMBOL: SBICARD SECURITY: Equity Shares/Debentures SECU
Slide 2: Investor Presentation Q4 FY21 / FY21
Investor Presentation Q4 FY21 / FY21 Apr 26th, 2021
Slide 3: Key Highlights
Key Highlights Business Volumes • Retail Spends Q4 FY21 at 113% vs Q4 FY20. • Corporate Spends in Q4 FY21 close to Q4 FY20 • New Accounts Q4 FY21 at 93% vs Q4 FY20. Market share and Earnings: • Increase market share*: Card base 78 bps (19.0% in Q4 FY21 (Feb21) Vs 18.3% in Mar20), Spends 167 bps (19.
Slide 4: Performance Highlights Q4 FY21 (Vs Q4 FY20)
Figures in ₹ Cr Performance Highlights Q4 FY21 (Vs Q4 FY20) PAT ₹ 175 Cr, Cost to income 57.8% (Q4 FY20 PAT ROAA ROAE Profitable operations 56.3%) 175 2.6% 11.2% 110% 128 bp 465 bp Improving Market Cards in force, FY21 @19.0% (FY20 @18.3%), [84] [1.3%] [6.5%] Share* Spends FY21 @19.5% (FY20 @1
Slide 5: Performance Highlights FY21 (Vs FY20)
Figures in ₹ Cr Performance Highlights FY21 (Vs FY20) Profitable Operations PAT ₹ 985 Cr, Cost to income 53.6% (FY20 56.6%) PAT ROAA ROAE 985 3.8% 16.6% 21% 141 bp 1132 bp Improving Market Cards in force, FY21 @19.0% (FY20 @18.3%), [1,245] [5.2%] [27.9%] Share* Spends FY21 @19.5% (FY20 @17.9%)
Slide 6: Key Portfolio Trends
Key Portfolio Trends New Accounts Corporate Spends (‘000) (₹ Cr) 3,408 28,072 2,685 20,002 791 6,056 2,477 6,080 851 288 688 918 4,728 6,718 Q4 FY20 Q1 FY21 Q2 FY21 Q3 FY21 Q4 FY21 FY20 FY21 Q4 FY20 Q1 FY21 Q2 FY21 Q3 FY21 Q4 FY21 FY20 FY21 Retail Spends Receivables (₹ Cr) (₹ Cr) 24,141 23,330 23,97
Slide 7: Market Share
Market Share Steadily increasing our share of pie in the industry Cards in force Spends 19.5% 19.0% 18.3% 17.9% 17.6% 17.1% 16.7% 16.7% FY18 FY19 FY20 FY21* FY18 FY19 FY20 FY21* * As per RBI report available till Feb’21 6
Slide 8: New Accounts and Cards-in-force
New Accounts and Cards-in-force New Accounts (‘000) Cards-in-force (‘000) 851 918 791 11,490 11,822 10,548 Q4 FY20 Q3 FY21 Q4 FY21 Q4 FY20 Q3 FY21 Q4 FY21 Channel wise Split Channel wise Split 57.9% 56.6% 56.4% 46.3% 48.1% 45.6% 53.7% 51.9% 54.4% 42.1% 43.4% 43.6% Q4 FY20 Q3 FY21 Q4 FY21 Q4 FY20 Q3
Slide 9: Portfolio Growth
Portfolio Growth Spends (₹ Cr) Receivables (₹ Cr) 37,797 35,943 24,141 25,749 25,114 32,429 Q4 FY20 Q3 FY21 Q4 FY21 Q4 FY20 Q3 FY21 Q4 FY21 Spend per Avg Card (₹ ‘000) Receivable per Card (₹) 22,888 22,409 21,244 126 134 123 Q4 FY20 Q3 FY21 Q4 FY21 Q4 FY20 Q3 FY21 Q4 FY21 30 day spend active rate %
Slide 10: New Sourcing
Portfolio Insights Occupation Salaried Category Age profile By City Tier New Sourcing For Q4 FY21 24% 22% 21% 30% 32% 40% 38% 10% 76% 30% 46% 31% Salaried Self Employed Govt/PSU Cat A Cat B Under 30 31-45 >45 Tier 1 Tier 2 Tier 3 Others 0.72 1.47 0.77 1.16 As on 31st Mar 2021 16% 0.38 11% 1.23 25% 2
Slide 11: Retail Spends Insights
Retail Spends Insights YoY % Growth^ Online Spend % Spend Categories* Total Spends Online Spends POS Spends 51.9% 43.0% 44.9% 44.2% Category 1 36.6% Departmental Stores, Consumer 18% 35% 9% Durable, Utilities, & Direct Marketing Category 2 Health & Wellness , Apparel, 5% 48% 16% Educatio
Slide 12: Financial Results
Figures in ₹ Cr Financial Results Q4 FY20 Q3 FY21 Q4 FY21 YoY FY20 FY21 YoY Total Income 2,510 2,540 2,468 -2% 9,752 9,714 0% PAT Finance Costs 334 261 244 -27% 1,301 1,043 -20% Operating Costs 1,226 1,348 1,285 5% 4,781 4,646 -3% Earnings before Credit Costs 950 931 939 -1% 3,670 4,024 10% 1,245 Cr
Slide 13: Explaining Returns
Explaining Returns Q4 FY20 Q3 FY21 Q4 FY21 YoY FY20 FY21 YoY Interest Income 21.0% 18.1% 15.8% -522bps 20.4% 19.2% -119bps Fees and other Income 17.0% 19.3% 18.5% 155bps 19.4% 17.1% -231bps Recoveries 1.1% 1.9% 2.0% 90bps 1.3% 1.6% 27bps Total Income 39.1% 39.4% 36.4% -277bps 41.1% 37.9% -323bps Fin
Slide 14: Revenue
Figures in ₹ Cr Revenue Composition Q4 FY20 Q3 FY21 Q4 FY21 YoY FY20 FY21 YoY Revenue from operations FY20 FY21 Revenue from Operations 2,433 2,403 2,309 -5% 9,276 9,277 0% Other Income 77 137 159 107% 476 436 -8% 19% 20% Total Income 2,510 2,540 2,468 -2% 9,752 9,714 0% Finance Costs 334 261 244 -2
Slide 15: Capital Adequacy and Borrowings
Capital Adequacy and Borrowings Cost of funds Borrowing Composition (Mar’21) 7.4% 7.8% 6.1% 5.5% 6.1% 28% Q4 FY20 Q3 FY21 Q4 FY21 FY20 FY21 60% Capital Adequacy Ratio 12% 22.4% 25.3% 23.7% 24.8% 4.3% 3.9% 3.9% 4.7% 21.0% 19.8% 20.9% Bank Lines Commercial Papers Debentures 17.7% Mar'20 Sep'20 Dec'20
Slide 16: Structural Liquidity (ALM)
Figures in ₹ Cr Structural Liquidity (ALM) Asset Liability Maturity profile – Mar’21 Inflows Outflows 7,229 4,129 ▪ Well matched ALM 3,748 3,680 3,808 3,407 3,724 3,023 2,884 ▪ ₹6,124 Cr (32%) of sanctioned bank lines 2,383 2,276 1,824 1,771 1,666 2,222 1,920 1,933 unutilized and available for draw
Slide 17: Operating Costs
Figures in ₹ Cr Operating Costs Q4 FY20 Q3 FY21 Q4 FY21 YoY FY20 FY21 YoY Operating Leverage Employee Cost 133 131 126 -5% 468 492 5% 2% (3)% 5% Depreciation 29 31 34 19% 104 123 19% CSR 17 0 24 43% 20 32 61% 2% 3% Other operating expenses 1,047 1,185 1,101 5% 4,189 4,000 -5% 5% -2% -3% Operating Co
Slide 18: Asset Quality
Figures in ₹ Cr Asset Quality Q4 FY20 Q3 FY21 Q4 FY21 YoY FY20 FY21 YoY Impairment and losses 838 648 705 -16% 1,940 2,700 39% NPA Gross Credit Costs 838 648 705 -16% 1,937 2,700 39% Gross Write off 351 648 1,178 235% 1,226 2,448 100% NNPA 0.67% 1.52% 1.58% 1.15% Provisions 486 (0) (472) -197% 712 2
Slide 19: New Acquisition
SBI Card driving market expansion New to Credit New to Credit Cards Tier 3+ Q4 FY'21 Q4 FY'21 Q4 FY'21 Q4 FY'20 Q4 FY'20 Q4 FY'20 New Acquisition 29.2% 37.9% 22.0% 21.8% 44.5% 39.9% 62.1% 78.2% 70.8% 78.0% 55.5% 60.1% New to Credit Other New to Credit Cards Other Tier 3+ Other Market Share 31.8% 68.
Slide 20: Shareholders Summary
Shareholders Summary Shareholding pattern, 31st Mar 2021 Top 20 Shareholders as on 31st Mar 2021 S. No Name of Shareholder % 1 State Bank Of India 69.39 Resident Others 2 CA Rover Holdings 11.61 MF Individuals 2.10% 3 BNP Paribas Arbitrage - ODI 0.99 4.62% 3.65% 4 Societe Generale – ODI 0.60 5 Gover
Slide 21: Sustainability @ SBI Card
Sustainability @ SBI Card SBI Card has taken the important first step to baseline the Sustainability performance in 20-21. SOCIAL CAPITAL HUMAN CAPITAL BUSINESS MODEL & ENVIRONMENT CORPORATE INNOVATION GOVERNANCE o CSR : Contributions worth Rs 15.6 Cr for medical equipment to Hospitals & 69,747 Medi
Slide 22: P&L Summary
Figures in ₹ Cr P&L Summary P&L Q4 FY20 Q3 FY21 Q4 FY21 YoY FY20 FY21 YoY Interest Income 1,348 1,168 1,072 -20% 4,841 4,928 2% Income from fees and services 959 1,107 1,114 16% 3,979 3,908 -2% Service Charges 35 44 35 -1% 118 134 14% Business development incentive income 87 82 85 -2% 327 299 -9% In
Slide 23: Balance Sheet Summary
Figures in ₹ Cr Balance Sheet Summary Balance Sheet Mar20 Mar21 YoY Assets Loans (Net) 22,812 23,459 3% Cash & Bank Balances 677 718 6% Other Financial Assets 279 1,236 343% Total Financial Assets 23,768 25,413 7% PP&E, Intangible & Right of use assets 335 318 -5% Deferred Tax Assets 275 395 44% All
Slide 24: Annexures
Annexures 23
Slide 25: Recent developments
Recent developments Contactless Ad Campaign (Feb - Mar ‘21) SBI Card has entered the super affluent segment Digital film campaign launched in collaboration with the launch of AURUM. with Visa to promote contactless payments. A “By invitation only” card, it gives cardholders The film communicated the
Slide 26: Product Brief
Product Brief Super Premium Core Cards Co-Brand Cards Banking Retail Travel Central Bank SBI Card Lifestyle Home Centre SBI Card Club Vistara SBI Card PRIME AURUM SBI Card Elite SBI Card PRIME OLA Money SBI Card Air India SBI Signature City Union Bank SBI Card fbb Style Up SBI Card SimplyCLICK SBI C
Slide 27: Glossary
Glossary Term Description New Accounts Sum of all accounts opened in a reporting period. Sum of all credit cards issued by us, including suspended credit cards that may be reactivated in future, net of cancelled and deactivated credit Card-in-force cards. Spends Total card spends constitutes the agg
Slide 28: Disclaimer
Disclaimer The information contained in this presentation is for information purposes only and does not constitute an offer or invitation to sell or purchase any securities of SBI Cards and Payment Services Limited in India or in any other jurisdiction. This presentation is not intended to be a pros
Slide 29: Thank You
bisaunw ATA Kn ice
SBI Cards and Payment Services — Q4 FY21 Earnings Presentation on 6ix