Yes Bank Q4 Results 2018: India’s fifth-largest private sector lender Yes Bank Ltd reported a rise of 29% in the standalone net profit to Rs 1,179.44 crore for the quarter ended 31 March 2018 led by an upsurge in the interest earned. The asset quality of Yes Bank improved consequentially on a yearly as well as on sequential basis. Yes Bank declared a dividend of Rs 2.7 per equity share. “Recommended payment of dividend of Rs 2.7 per equity share i.e. 135% on equity shares of face value of Rs 2 each (fully paid up) for the financial year ended March 31, 2018, and the same shall be payable subject to approval of the shareholders at the ensuing annual general meeting of the bank, Yes Bank said in an exchange filing.
Following the earnings release, shares of Yes Bank emerged as the top gainers among the component of BSE Sensex on Thursday. The stock of Yes Bank surged as much as 11.07% to a day’s high of Rs 361.2 before settling up 8.26% at Rs 352.05 on BSE in the afternoon trades on Thursday. Heavy volumes were observed in the shares of Yes Bank, as at the closing, more than 6.62 crore equity shares exchanged hands on both NSE and BSE with about 6.23 crore shares on NSE alone.
Yes Bank has posted a standalone profit of Rs 914.12 crore in the January-March period of the financial year 2016-2017. In the reporting quarter, Yes Bank’s total income grew by 27.78% to Rs 7,163.95 crore as compared to Rs 5,606.38 crore in the same quarter of the last financial year.
Yes Bank Q4 Results 2018 Highlights
- Yes Bank said its consolidated net profit for the financial year 2017-2018 rose 26.75% to Rs 4,233.22 crore as against Rs 3,339.89 crore in the fiscal year 2016-2017.
- Yes Bank’s total consolidated income for the financial year 2017-2018 jumped 23.83% to Rs 25,561.75 crore vs Rs 20,642.8 crore in the last financial year.
- In the same quarter under review, Yes Bank made a provisioning of Rs 399.64 crore, up by 29% on a yearly basis and down by 5.15% on a sequential basis.
- On the assets front, Yes Bank’s gross NPA ratio decreased to 1.28% at the end of 31 March 2018 as compared to 1.72% as at 31 December 2017 and 1.52% at the end of 31 March 2017. In absolute terms, the gross NPAs were at Rs 2,626.8 crore at the end of 31 March 2018 vs Rs 2,974.34 crore as at 31 December 2017 and Rs 2,018.56 crore as at 31 March 2017.
- While net NPAs declined to 0.64% (Rs 1,312.75 crore) at the end of 31 March 2018 as against 0.93% (Rs 1,595.08 crore) as at 31 December 2017 and 0.81% (Rs 1,072.27 crore).
- Yes Bank’s total advances grew to Rs 2,03,518.83 crore at the end of 31 March 2018 vs Rs 1,32,262.68 crore at the end of 31 March 2017 while total assets grew by 45.3% year-on-year to Rs 3,12,445.6 crores.
- Net interest income grew by 31.4% year-on-year (Rs 2,154.2 crores) for Q4FY18, and 33.5% year-on-year (Rs 7,737.1 crores) in FY18
- NIMs were at 3.4% for Q4FY18 and 3.5% for financial year 2017-2018, up from 3.4% in the fiscal year 2016-2017.
- Non-interest income grew by 13.0% year-on-year (Rs 1,421 crores) for Q4FY18, and 25.7% year-on-year (Rs 5,223.8 crores) in FY18
- As part of the risk-based supervision exercise for FY17 concluded in October 2017, the Reserve Bank of India has pointed out certain retrospective divergence in the Yes Bank’s asset classification and provisioning as on 31 March 2017.
- Following which, a divergence of Rs 6,355.2 crore and Rs 4,819.4 crore has been pointed out by the RBI in the gross and net NPAs, respectively. This activity resulted in an adjusted net profit of Rs 2,316.1 crore for the year ended 31 March 2017 as against Rs 3,330.1 crore (net profit reported by Yes Bank earlier).
Commenting on the results and financial performance, Mr Rana Kapoor, Managing Director & CEO, YES BANK said, “FY18 has been a landmark year in YES Bank’s ‘Large Bank Growth Phase’ with the Bank crossing significant milestones in size, outreach & granularity while continuing to deliver on satisfactory earnings. Well segmented and granular growth across Corporate, MSME and Retail businesses has resulted in Advances crossing Rs 2 lakh crores, clearly demonstrating breadth of product offerings, and depth of relationships, across segments and sectors. Further Bank’s IBU (GIFT City) business continues to expand, with total assets crossing US$ 2.5 billion within 3 years of operations. YES Bank also successfully completed its maiden MTN issuance of US$ 600 million in the past quarter to support diversified funding for this growth.
“As we step into the 4th year (FY18-19) of this current 5 year Large Bank Growth Phase (up to March 31, 2020), we remain well positioned to deliver on growth & earnings while preserving asset quality, and continuing to invest in Digital and technology initiatives towards making YES BANK a cutting-edge Digital home country Indian Bank,” Rana Kapoor added. The 14th annual general meeting of the shareholders of Yes Bank will be held on Tuesday, 12 June 2018, at Mumbai.