Yes Bank Q1 net profit jumps 34% to Rs 1,071 crore on stronger core earnings

New Delhi [India], July 18 (ANI): Yes Bank on Saturday reported a 33.7 per cent year-on-year rise in net profit to Rs 1,071 crore for the first quarter of FY27, driven by higher core earnings, improved margins and steady asset quality, even as gains from security receipts and treasury operations declined.

Commenting on the results, Yes Bank Managing Director and CEO Vinay M Tonse said, “YES BANK has begun FY27 on a strong footing, with Q1 Net Profit growing ~34% Y-o-Y to INR 1,071 Crs. We delivered higher core earnings even as gains from Security Receipts and treasury fell sharply – clear evidence that the underlying franchise is strengthening.”

The bank’s net interest income (NII) rose 17.5 per cent year-on-year to Rs 2,786 crore during the April-June quarter from Rs 2,371 crore a year ago, while operating profit increased 25.5 per cent to Rs 1,704 crore. Net interest margin (NIM) improved to 2.7 per cent from 2.5 per cent in the corresponding quarter last year, aided by a lower cost of deposits.

Asset quality remained stable during the quarter. Gross non-performing assets (GNPA) stood at 1.3 per cent, unchanged from the previous quarter, while net NPA remained at 0.2 per cent. On a year-on-year basis, the GNPA ratio improved by 30 basis points and the NNPA ratio by 10 basis points. Gross slippages also declined to Rs 964 crore from Rs 1,102 crore in the previous quarter.

Tonse said, “Margins held steady at 2.7%, cost-to-income improved further, and asset quality strengthened as slippage eased.”

The bank said advances grew 18.3 per cent year-on-year to Rs 2.85 lakh crore, while deposits increased 14.3 per cent to Rs 3.15 lakh crore. Retail asset disbursements maintained momentum, rising 27.5 per cent from a year earlier, while core fee income grew 18.7 per cent year-on-year.

During the quarter, Yes Bank also received multiple credit rating upgrades. Moody’s upgraded the bank’s rating to Ba1 from Ba2, CARE raised its long-term rating to AA+ from AA-, while ICRA upgraded its rating to AA from AA-. The bank also received its inaugural international rating of BB+ from S&P Global.

Highlighting the bank’s outlook, Tonse said, “Looking ahead, our focus is clear: deepen the core, sustain profitability, and create a resilient franchise that delivers lasting value for every stakeholder.” (ANI)

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