Yes Bank Q1 results: Net profit rises 10% to Rs 343 cr, provisions more than double

Private sector lender YES Bank on Saturday has reported a 10.26 per cent rise in its standalone  profit at Rs 342.52 crore for the first quarter of this fiscal. Its standalone profit in Q1 FY23 was Rs 314.3 crore. 

On QoQ basis, the private lender reported a growth of over 69 per cent in net profit against Rs 202.43 crore net profit recorded in Q4FY23.

In Q4FY23, Yes Bank reported a net profit of Rs 202.43 crore, which was about 45 per cent lower than  Rs 367.46 crore in Q4 FY22, the exchange filing of the bank said. 

Provisions for the quarter more than doubled YoY to Rs 360 crore from Rs 174 crore in FY23. 

The bank said that its Provisions (other than Tax expense) and Contingencies (net) after the end of the June quarter were at Rs 360.30 crore, which is 41.65 per cent lower from Rs 617.56 crore Provisions (other than Tax expense) and Contingencies (net) in Q4 FY23. 

Blaming the rising provisioning for dip in net profit, the private lender said that it has managed to report full-year profitability for the second straight year despite rising accelerated provisioning.

Its asset quality saw a vast improvement quarter on quarter. Its Gross NPA stood at Rs 407,267 crore as compared to Rs 439,457 crore in the last quarter of FY23.

In the yearly comparison, its GNPAs stood at 2 per cent compared with 13.4 percent in the corresponding quarter of the previous fiscal. The net non-performing assets (NNPA) stood at 1 per cent compared with 4.2 percent in the year-ago quarter.

Its net interest income was up 7.8 per cent and is Rs 1,999.6 crore from a year ago. 

During the quarter, net interest margin or NIM saw a growth of 10 bps YoY to 2.5 per cent. Net advances registered a 7.4 per cent YoY growth at Rs 2,00,204 crore while the total deposits rose 13.5 per cent YoY to Rs 219,369 crore.

YES Bank MD and CEO Prashant Kumar said while the balance sheet granularity momentum continued, it delivered a strong growth in fee income while containing operating and credit costs.

"With the focus of the bank now firmly aligned towards improving the profitability of the franchise, over the coming quarters, we will continue to work on levers which further accelerate this momentum such as improvement in NIMs and CASA Ratio, reducing the drag from legacy PSL requirements, further cross-sell and product penetration into our fast-expanding customer base, while continuing to maintain strict controls over costs," he added.

On Friday, the bank stock closed trading Rs 18.05, up 1.98 per cent in the intraday trade.

Also read: RIL Q1 results: Profit drops 6% to Rs 18,258 cr; Rs 9 per share dividend announced