Finance1 min read

PNB sees ₹200 cr boost in profit from credit cards

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In short

The lender anticipates a ₹200 crore quarterly profit contribution from its credit card division starting next financial year, bolstered by dedicated platforms for supply chain and cash management. Its credit card base surged to roughly 11 lakh over nine months, with targets set to cross 13 lakh cards by March 2027. Meanwhile, the digital supply chain vertical achieved ₹7,800 crore in sanctions, and quarterly cash management profits are projected to reach ₹200 crore. These initiatives run alongside an efficiency drive designed to lower the cost-to-income ratio to about 45 per cent by 2028-29.

Key points

  • Management is aggressively scaling non-interest income verticals to counter expected chal…: Management is aggressively scaling non-interest income verticals to counter expected challenges in treasury operations and loan recoveries.
  • The lender intends to bring its cost-to-income ratio below 50 per cent this fiscal year a…: The lender intends to bring its cost-to-income ratio below 50 per cent this fiscal year and near 45 per cent by 2028-29.
  • Cash management services are forecast to lift quarterly profit contributions from ₹130–14…: Cash management services are forecast to lift quarterly profit contributions from ₹130–140 crore to ₹200 crore starting next financial year.

Sources checked by our analysis pipeline: 1

The bank has created dedicated digital platforms for three key businesses -- credit cards, supply chain management and cash management services -- each headed by a general manager to drive growth, PNB Managing Director and CEO Ashok Chandra told PTI in an interview.

The initiatives are aimed at strengthening the bank's non-interest income amid anticipated challenges in treasury earnings and loan recoveries, he said.

Chandra said PNB's credit card business, which started in 2008, had a base of around 6.04 lakh cards till March 2025. Following the rollout of its digital platform, the bank added another 5 lakh cards over the subsequent nine months, taking the total base to around 11 lakh.

The bank has also launched its premium PNB Metal Credit Card Luxura, which has attracted 27,140 customers so far.

PNB aims to expand its overall credit card base to more than 13 lakh, while targeting at least 30,000 premium cardholders by March 2027, he said, adding that the vertical should contribute around Rs 200 crore in profit every quarter beginning next financial year.

On the supply chain finance…

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