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Yes Bank has reported 32% decline in net profit at Rs 152.82
crore for the quarter ended September 2022 (Q2FY2023), on account of higher
provisioning. The bank has posted healthy 32% growth in net interest income
(NII), while the core fee income of the bank also improved 24% in Q2FY2023. The
Net Interest Margin (NIM) of the bank improved to 2.60% in Q2FY2023 compared to
2.20% in the corresponding quarter of previous year.
On business front, the bank as has posted 12% growth
in business with 11% surge in loan book. The asset quality of the bank was
stable in Q2FY2023. Bank has substantially improved the credit to deposit ratio
to 96.1% at end September 2022 from 97.8% at end September 2021. However, the
CASA ratio of the bank has declined to 31.0% at end September 2022 from 29.5% at
end September 2021.
Asset quality improves: The bank has continued to improve asset quality
in Q2FY2023.
The fresh slippages of loans stood at Rs 896 crore
in Q2FY2023 compared with 1072 crore in previous quarter.
The recoveries of NPAs stood at Rs 912 crore,
upgradations at Rs 125 crore and the write-off of loans was at Rs 186 crore in
Q2FY2023.
The standard restructured loan book of the bank
stood at Rs 5928 crore end September 2022.
Provision coverage ratio improved to 84.00% at
end September 2022 compared to 82.30% a quarter ago and 78.90% a year ago.
The capital adequacy ratio of the bank stood at 17.1%
with Tier I ratio at 0.0% at end September 2022.
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Asset
Quality Indicators: Yes Bank
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Sep-22
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Jun-22
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Mar-22
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Dec-21
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Sep-21
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Variation
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QoQ
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YTD
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YoY
|
|
Gross NPA (Rs Crore)
|
27419.11
|
27746.75
|
27975.98
|
28654.49
|
28740.59
|
-1
|
-2
|
-5
|
|
Net NPA (Rs Crore)
|
6926.03
|
7765.01
|
8204.53
|
9323.34
|
9586.25
|
-11
|
-16
|
-28
|
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% Gross NPA
|
12.89
|
13.45
|
13.93
|
14.65
|
14.97
|
-56
|
-104
|
-208
|
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% Net NPA
|
3.60
|
4.17
|
4.53
|
5.29
|
5.55
|
-57
|
-93
|
-195
|
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% PCR
|
84.00
|
82.30
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81.50
|
79.40
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78.90
|
170
|
250
|
510
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% CRAR - Basel III
|
17.10
|
17.50
|
17.40
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17.70
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17.60
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-40
|
-30
|
-50
|
|
Variation
in basis points for figures given in percentages and in % for figures in Rs
crore
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Business Highlights:
Business growth improves: The business of the bank has increased 12% YoY
to Rs 392321 crore end September 2022, driven by 11% surge in advances to Rs 192300
crore. Deposits rose 13% to Rs 200021 crore at end September 2022.
CASA deposits ratio improves: The CASA deposits of the bank increased 19% YoY
to Rs 62073 crore at end September 2022. The CASA ratio rose to 31.0% at end
September 2022 compared to 29.5% at end September 2021, while declined from 30.8%
a quarter ago.
Retails and MSME driving loan growth: Advances growth was driven by retail loans
rising 43% YoY to Rs 78395 crore at end September 2022, while credit to MSME increased
26% to Rs 48464 crore at end September 2022. The corporate credit has declined 18%
to Rs 65442 crore end September 2022.
Investment
book of the bank rose 3% YoY
to Rs 57973 crore at end September 2022.
Margins improve: The bank has showed 10 bps YoY decline in cost
of deposits to 5.30%, while yield on advances improved sharply by 50 bps YoY to
8.50% in Q2FY2023. Thus, the NIM has improved 40 bps YoY to 2.60%.
Branch expansion: The bank has added 5 branches and 4 ATMs in
Q2FY2023, taking overall tally to 1145 branches and 1277 ATM`s end September
2022.
Book value of the bank stood at Rs 13.7 per share at end September 2022,
while the adjusted book value (net of NNPA and 10% of restructured advances)
was Rs 10.7 per share at end September 2022.
Quarterly Performance
NII rises as NIM improves: Bank has recorded 18% increase in the interest
earned at Rs 5474.38 crore, while interest expenses increased 11% to Rs 3483.02
crore in Q2FY2023. NII improved 32% to Rs 1991.36 crore in the quarter ended
September 2022.
Healthy growth in the core fee income: Bank has posted strong 24% growth in core fee
income to Rs 779 crore, while the forex income increased 16% to Rs 137 crore. However,
the treasury income declined 90% to Rs 3 crore. The overall non-interest income
increased 18% to Rs 919.73 crore in the quarter ended September 2022.
Expenses ratio rises: The operating expenses of the bank increased 32%
to Rs 2120.69 crore, as other expenses moved up 43% to Rs 1296.59 crore, while
employee expenses also increased 17% to Rs 824.1 crore in Q2FY2023. Cost to
income ratio rose to 72.8% in Q2FY2023 compared with 70.4% in Q2FY2022.
Operating Profit increased 17% to Rs 790.40 crore.
Provisions and contingencies rise: The bank has showed 54% jump in provisions to Rs
582.81 crore. The loan loss provisions rebounded to Rs 525 crore, while investment
provisions also increased to Rs 70crore. The bank has written back standard
asset provisions of Rs 11.00 crore in Q2FY2023.
Effective tax rate rose to 26.4% in Q2FY2023 from 25.0% in Q2FY2022. Net
Profit declined 32% YoY to Rs 152.82 crore during quarter ended September 2022.
Financial Performance H1FY2023:
Bank has posted 7% increase in net profit to Rs
463.45 crore in the year half year ended September 2022 (H1FY2023). The net
interest income increased 32% to Rs 3841.64 crore, while non-interest income
moved up 3% to Rs 1701.16 crore, pushing up net total income by 22% to Rs
5542.80 crore in H1FY2023. The operating expenses increased 32% to Rs 4162.57
crore, while provision and contingencies declined 9% to Rs 757.54 crore,
allowing profit before tax to increase 8% to Rs 622.69 crore in H1FY2023. The
cost-to-income ratio rose to 75.1% in H1FY2023 compared to 69.1% in H1FY2022.
An effective tax rate increased to 25.6% in H1FY2023 compared to 25.0% in
H1FY2022. The net profit has increased 7% to Rs 463.45 crore in H1FY2023.
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Yes Bank: Results
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Particulars
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2209 (3)
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2109 (3)
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Var %
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2209 (6)
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2109 (6)
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Var %
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2203 (12)
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2103 (12)
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Var %
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Interest Earned
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5474.38
|
4652.25
|
18
|
10609.23
|
9177.67
|
16
|
19023.51
|
20041.84
|
-5
|
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Interest Expended
|
3483.02
|
3140.01
|
11
|
6767.59
|
6263.29
|
8
|
12525.66
|
12613.23
|
-1
|
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Net Interest Income
|
1991.36
|
1512.24
|
32
|
3841.64
|
2914.38
|
32
|
6497.85
|
7428.61
|
-13
|
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Other Income
|
919.73
|
778.05
|
18
|
1701.16
|
1647.07
|
3
|
3262.47
|
3011.69
|
8
|
|
Net Total Income
|
2911.09
|
2290.29
|
27
|
5542.80
|
4561.45
|
22
|
9760.32
|
10440.30
|
-7
|
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Operating Expenses
|
2120.69
|
1612.13
|
32
|
4162.57
|
3150.43
|
32
|
6844.39
|
5792.01
|
18
|
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Operating Profits
|
790.40
|
678.16
|
17
|
1380.23
|
1411.02
|
-2
|
2915.93
|
4648.29
|
-37
|
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Provisions &
Contingencies
|
582.81
|
377.37
|
54
|
757.54
|
834.40
|
-9
|
1480.08
|
9383.36
|
-84
|
|
Profit Before Tax
|
207.59
|
300.79
|
-31
|
622.69
|
576.62
|
8
|
1435.85
|
-4735.07
|
LP
|
|
Provision for tax
|
54.77
|
75.29
|
-27
|
159.24
|
144.29
|
10
|
369.64
|
-1272.84
|
PL
|
|
PAT
|
152.82
|
225.50
|
-32
|
463.45
|
432.33
|
7
|
1066.21
|
-3462.23
|
LP
|
|
EPS*(Rs)
|
0.2
|
0.4
|
|
0.4
|
0.3
|
|
0.4
|
-1.4
|
|
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Adj BV (Rs)
|
10.7
|
9.3
|
|
10.7
|
9.3
|
|
9.9
|
9.3
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* Annualized on current equity of
Rs 5011.17 crore. Face Value: Rs 2, Figures in Rs crore
LP: Loss to Profit, PL: Profit to
Loss
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Source: Capitaline Corporate
Database
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