Yes Bank Q1 Results: Net Profit Rises 60%, Asset Quality Stable

Stable asset quality helped Yes Bank Ltd. report a sizeable increase in operating profit in the first quarter. The bank reported a profit after tax of Rs 801 crore, up 60% year on year and 9% sequentially.

Net interest income, or core income, of the private sector lender rose 6% on year to Rs 2,372 crore. Operating profit surged 53% on year to Rs 1,358 crore. Net interest margin of the bank remained stable at 2.5% on quarter.

Provisions and contingencies against bad loans rose to Rs 284 crore as against Rs 212 crore a year ago.

Asset quality of the bank remained stable, with gross non-performing assets ratio flat on quarter at 1.6% and net NPA ratio also flat at 0.3% at the end of June.

Overall, gross slippages of the private sector bank rose to Rs 1,458 crore as against Rs 1,223 crore in the prior quarter.

Net advances of the bank grew 5% on year to Rs 2.41 lakh crore. Retail advances of the bank were Rs 1.18 lakh crore at the end of the June quarter, up from Rs 1.01 lakh crore a quarter ago.

Total deposits of the bank were 4.1% higher on the year to Rs 2.75 lakh crore.

The current account and savings account ratio or CASA dropped to 32.8% in the June quarter against 34.3% a quarter ago, but was higher than the ratio a year ago, which stood at 30.8%.

Credit deposit ratio of the bank was 87.4%, higher than 86.5% a quarter ago and 86.6% a year ago.