Yes Bank Q1 net at Rs 11.25 cr

Mumbai, Aug 1 | Updated: Aug 2 2005, 05:30am hrs
The private sector Yes Bank has posted a net profit of Rs 11.25 crore for the first quarter ended June 30, 2005. This is compared to just Rs 94 lakh during the fourth quarter of last fiscal.

The total income of the bank grew by 82% to Rs.32.38 crore during the quarter as against Rs. 17.79 crore in last quarter of the previous year.

The net interest margin for the quarter improved to 3.5% from 2.8% for the period ended March 2005.

The bank witnessed a 14.9% rise in advances which stood at Rs 874.4 crore. Also the deposits registered a growth of 31.9% to Rs 874.2 crore. We expect the same kind of growth in deposits and advances in the next quarter. However, as of now we plan to focus only on corporate banking and the small and medium enterprises (SME). We would gradually build up on the retail front, said Rana Kapoor, MD and CEO of Yes Bank. The bank currently has 6 only branches. However, we plans to set up 24 branches by the end of this fiscal, added Mr Kapoor.

The bank has witnessed significant improvement in profitability with return on average assets of 2.09%, contributed by strong increase in non interest income and steady growth in net interest income. We plan to grow by maintaining our thrust on the non-interest component, said Mr Kapoor. The bank maintains a clean portfolio with no non-performing assets (NPAs). The capital adequacy ratio (CAR) of the bank was at 10.07% as on June 30, 2005 compared to 18.81% as on March 31, 2005.