Yes Bank management said on Saturday that it is confident of meeting its 15 percent credit growth guidance for fiscal year 2023, despite reporting a 50 percent year-on-year increase in net profit during the first quarter of the fiscal year due to lower provisions. The private sector lender reported a net profit of 314 crore at the end of the June quarter, up from 203 crore the previous year.
Yes Bank also reported a 32% increase in net interest income year on year to 1,850 crore at the end of the June quarter. Net interest margins fell to 2.4 percent at the end of June, down from 2.5 percent the previous quarter.
Its loan book increased by 14% year on year, driven by strong retail growth of 38%. During the quarter, corporate disbursements totaled Rs 4390 crore. Deposits increased by around 18 percent year on year, with the CASA ratio falling to 30 percent at the end of June from 31.1 percent at the end of March. The management also stated that the newly launched floating rate deposits raised 300 crore from 14,000 customers.
Yes Bank’s asset quality also improved in the first quarter. Its total provisions fell 62 percent year on year to 175 crore at the end of June, owing primarily to lower slippages. Even on a sequential basis, provisions fell from a high of 271 crore at the end of the March quarter to a low of 121 crore at the end of the June quarter.
Gross non-performing assets as a percentage of total assets were 13.40 percent in Q1FY23, down from 15.6 percent the previous year and 13.9 percent in the fourth quarter. The bank’s Net NPA ratio fell to 4.2 percent in Q1FY23, down from 5.8 percent in Q1FY22 and 4.5 percent in Q4FY22.
Yes Bank’s slippages decreased to 1,072 crore in Q1FY23 from 2,233 crore in Q1FY22.
“As of September 30, 2021, we had crystallised all loans that had become NPA.” Following this, any additional slippages will not be included in the 48,000 crore transferred to the asset reconstruction company (ARC). We expect 1.5-2 percent of total NPA in t “Prashant Kumar, MD & CEO of Yes Bank, stated, “e book.” “Our long-term goal is to have no NPAs at the bank.” “headed.
The bank announced the addition of former RBI deputy governor R Gandhi to its board of directors. Gandhi’s term as the RBI’s nominee director ended earlier this month.