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Yes Bank has reported
349% jump in net profit at Rs 231.46 crore for the quarter ended December 2023
(Q3FY2024). The bank has posted 2% growth in net interest income (NII), while
the core fee income of the bank surged 32% in Q3FY2024. The Net Interest Margin
(NIM) of the bank improved to 2.40% in Q3FY2024 from 2.3% in the previous
quarter, while eased from 2.50% in the corresponding quarter of previous year.
On business front, the
bank has posted 13% growth in business with strong 12% jump in loan book. The
asset quality of the bank was stable in Q3FY2024. Bank has reduced the credit
to deposit ratio to 89.9% at end December 2023 from 91.1% at end December 2022.
The CASA ratio of the bank was steady at 29.7% at end December 2023 from 29.9%
at end December 2022.
Asset quality stable: The bank has continued
to maintain to stable asset quality in Q3FY2024.
The fresh slippages of
loans stood at Rs 1233 crore in Q3FY2024 compared with 1199 crore in previous
quarter and Rs 1610 crore in the corresponding quarter last year.
The recoveries of NPAs
stood at Rs 168 crore, upgradations at Rs 491 crore and the write-off of loans
was at Rs 439 crore in Q3FY2024.
The standard
restructured loan book of the bank net of provisions declined to Rs 3564 crore
end December 2023.
Provision coverage ratio
was steady at 71.90% at end December 2023 compared to 72.10% a quarter ago,
while improved from 64.00% a year ago.
The capital adequacy
ratio of the bank stood at 16.0% with Tier I ratio at 12.3% at end December
2023.
The risk weighted assets
of the bank has increased 11% YoY to Rs 270458 crore end December 2023,
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Asset Quality
Indicators: Yes Bank
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|
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Dec/23
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Sep/23
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Jun/23
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Mar/23
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Dec/22
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Variation
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QoQ
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YTD
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YoY
|
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Gross NPA (Rs Crore)
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4457.41
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4319.03
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4072.67
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4394.57
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3903.68
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3
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1
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14
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Net NPA (Rs Crore)
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1934.36
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1885.19
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2100.69
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1658.09
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1973.36
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3
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17
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-2
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% Gross NPA
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2.00
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2.00
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2.00
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2.20
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2.00
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0
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-20
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0
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% Net NPA
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0.90
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0.90
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1.00
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0.80
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1.00
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0
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10
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-10
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% PCR
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71.90
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72.10
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67.80
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72.30
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64.00
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-20
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-40
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790
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% CRAR - Basel III
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16.00
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17.10
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18.20
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17.90
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18.00
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-110
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-190
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-200
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% CRAR - Tier I -
Basel III
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12.30
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13.10
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13.60
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13.30
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13.00
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-80
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-100
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-70
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Variation in basis
points for figures given in percentages and in % for figures in Rs crore
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Business Highlights:
Healthy business growth:
The business of the bank
has increased 13% YoY to Rs 459354 crore end December 2023, driven by 12% surge
in advances to Rs 217523 crore. Deposits moved up 13% to Rs 241831 crore at end
December 2023.
CASA deposits ratio stable:
The CASA deposits of the
bank jumped 12% YoY to Rs 71749 crore at end December 2023. The current account
deposits increased 13% to Rs 32695 crore, while saving account deposits also
moved up 12% to Rs 39054 crore end December 2023. The CASA ratio was nearly
steady at 29.7% at end December 2023 compared to 29.9% at end December 2022 and
29.4% a quarter ago. The term deposits have increased 14% to Rs 170082 crore
end December 2023.
Strong retail loan
growth: Advances
growth was driven by retail loans rising 23% YoY to Rs 103085 crore at end
December 2023, while credit to MSME surged 24% to Rs 64405 crore at end
December 2023. The corporate credit has declined 10% to Rs 50032 crore end
December 2023.
Investment book of the bank increased 16% YoY to Rs 79333 crore at end December
2023. The SLR book moved up 25% to Rs 69959 crore, while non SLR book declined 24%
to Rs 9374 crore at end December 2023.
Margins improve on qoq
basis: The
bank has showed 70 bps YoY jump in cost of deposits to 6.40%, while yield on
advances increased 110 bps YoY to 10.10% in Q3FY2024. Thus, the NIM has
improved 10 bps qoq to 2.40%, while declined 10 bps on qoq basis.
Branch expansion: The bank has network of 1198
branches and 1287 ATM`s end December 2023.
Book value of the bank stood at Rs
14.2 per share at end December 2023, while the adjusted book value (net of NNPA
and 10% of restructured advances) was Rs 13.4 per share at end December 2023.
Quarterly Performance
Moderate NII growth on
yoy decline in NIMs: Bank has recorded 19% increase in the interest earned at Rs
6984.85 crore, while interest expenses increased 27% to Rs 4967.97 crore in
Q3FY2024. NII improved 2% to Rs 2016.88 crore in the quarter ended December
2023.
Healthy growth in the
core fee income: Bank has posted strong 32% growth in core fee income to Rs 1087
crore, supporting 12% rise in the overall non-interest income to Rs 1194.60
crore in the quarter ended December 2023. However, the forex income declined 45%
to Rs 59 crore and treasury income dipped 65% to Rs 48 crore in Q3FY2024,
Expenses ratio rises: The operating expenses
of the bank increased 11% to Rs 2347.43 crore, as other expenses moved up 14%
to Rs 1436.54 crore, while employee expenses increased 6% to Rs 910.89 crore in
Q3FY2024. Cost to income ratio moved up to 73.1% in Q3FY2024 compared with
69.9% in Q3FY2023, causing 5% decline in the Operating Profit to Rs 864.05
crore.
Provisions and
contingencies decline: The bank has showed 34% decline in provisions to Rs 554.74 crore. the
investment provisions fell 94% to Rs 167 crore, while the bank has written back
standard asset provisions of Rs 34 crore and other provisions of Rs 35 crore in
Q3FY2024. However, the loan loss provisions rebounded to Rs 457 crore in
Q3FY2024.
Effective tax rate was steady at 25.2% in Q3FY2024 from 25.2% in Q3FY2023. Net Profit rose by 349%
YoY to Rs 231.46 crore during quarter ended December 2023.
Financial Performance
9MFY2024:
Bank has posted 55%
increase in net profit to Rs 799.19 crore in the nine month ended December 2023
(9MFY2024). The net interest income increased 2% to Rs 5941.60 crore, while
non-interest income moved up 32% to Rs 3545.70 crore, pushing up net total
income by 12% to Rs 9487.30 crore in 9MFY2024. The operating expenses increased
13% to Rs 7003.51 crore, while provision and contingencies declined 12% to Rs
1415.42 crore, allowing profit before tax to increase 54% to Rs 1068.37 crore
in 9MFY2024. The cost-to-income ratio increased to 73.8% in 9MFY2024 compared
to 73.0% in 9MFY2023. An effective tax rate declined to 25.2% in 9MFY2024
compared to 25.5% in 9MFY2023. The net profit has increased 55% to Rs 799.19
crore in 9MFY2024.
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Yes Bank: Results
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Particulars
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2312 (3)
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2212 (3)
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Var %
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2312 (9)
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2212 (9)
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Var %
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2303 (12)
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2203 (12)
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Var %
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Interest Earned
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6984.85
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5871.97
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19
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20138.77
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16481.19
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22
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22697.43
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19023.51
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19
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Interest Expended
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4967.97
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3901.35
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27
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14197.17
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10668.94
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33
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14779.86
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12525.66
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18
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Net Interest Income
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2016.88
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1970.62
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2
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5941.60
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5812.25
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2
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7917.57
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6497.85
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22
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Other Income
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1194.60
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1065.83
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12
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3545.70
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2681.18
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32
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3685.06
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3262.47
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13
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Net Total Income
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3211.48
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3036.45
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6
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9487.30
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8493.43
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12
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11602.63
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9760.32
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19
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Operating Expenses
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2347.43
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2122.82
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11
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7003.51
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6199.57
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13
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8419.87
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6844.39
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23
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Operating Profits
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864.05
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913.63
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-5
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2483.79
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2293.86
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8
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3182.76
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2915.93
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9
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Provisions &
Contingencies
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554.74
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844.75
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-34
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1415.42
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1602.29
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-12
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2219.85
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1480.08
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50
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PBT
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309.31
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68.88
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349
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1068.37
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691.57
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54
|
962.91
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1435.85
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-33
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Provision for tax
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77.85
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17.36
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348
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269.18
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176.60
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52
|
245.51
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369.64
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-34
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PAT
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231.46
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51.52
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349
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799.19
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514.97
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55
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717.40
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1066.21
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-33
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EPS*(Rs)
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0.3
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0.1
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0.4
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0.2
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0.2
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0.4
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Adj BV (Rs)
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13.4
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12.8
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13.4
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12.8
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12.8
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9.9
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* Annualized on current equity of
Rs 5751.6 crore. Face Value: Rs 2, Figures in Rs crore
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Source: Capitaline Corporate
Database
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