Yes Bank’s Q4 Results: On April 27, the Indian private lender Yes Bank reported a remarkable surge in net profit, exceeding analysts’ forecasts for the fourth quarter (Q4) of FY24.
Yes Bank Q4 results:
The bank’s net profit soared by 123.2% year-on-year (Y-o-Y) to ₹452 crore, compared to ₹202.4 crore in Q4FY23. This upward trajectory continued from the previous quarter, with a sequential increase of 95.2% (Q-o-Q). Prashant Kumar, Managing Director and CEO of YES BANK, commented, “This quarter marks a significant milestone in our journey to expand Return on Assets (RoA), with Q4FY24 RoA reaching 0.5%.
Despite the one-off gains from tax refunds, SR recoveries, and ARC Sale, which were prudently utilized to bolster asset quality metrics – for example, the Non-Performing Assets (NPA) and Net Carrying value of Security Receipts (SRs) have more than halved over the year to 1.1% from 2.4% in FY23.”
He further emphasized, “Additionally, we continue to observe robust growth in our liability franchise, with deposits expanding by over 20% Y-o-Y for the first time in the last 8 quarters. Notably, despite the challenging economic environment throughout the year, our Current Account Savings Account (CASA) ratio has increased by 10 basis points Y-o-Y to 30.9%.” “As the bank enters its fifth year on this transformative journey, our focus remains on diligently executing the RoA expansion strategy,” the CEO concluded.
The bank‘s Return on Assets (RoA) saw an improvement to 0.5% in Q4FY24, up from 0.2% in both the preceding quarter and the corresponding quarter of the previous year. This signifies the bank’s effective strategic measures to enhance asset utilization and profitability. Net Interest Income (NII) for the quarter witnessed a 6.8% increase quarter-over-quarter and a 2.3% increase year-over-year, reaching ₹2,153 crores. Moreover, non-interest income experienced a notable surge of 56.3% year-over-year, totaling ₹1,569 crores, driven by a wide range of diverse and granular fee streams.
