The interest earned by the lender during the quarter stood at Rs 7,730 crore which was up 15% over Rs 6,711 crore reported in the corresponding quarter of the previous financial year.
The net interest income (SO) was reported at Rs 2,200 crore for Q2FY25 which was up 14.3% YoY while net interest margins (NIMs) remained stable QoQ at 2.4%.
The net profit for Q2FY25 was up by 10% on a QoQ basis. The operating profit was reported at Rs 975 crore up 21.7% Y-o-Y and 10.2% Q-o-Q.
Interest expended by the lender in the reported quarter stood at Rs 5,530 crore versus Rs 4,786 crore reported in the year ago period. It was higher by 15% on a YoY basis.
ETMarkets.comThe bank’s Non-Interest Income for Q2FY25 stood at Rs 1,407 crore, which was up 16.3% YoY and 17.3% QoQ. The operating expenses grew 12.8% YoY and 2.9% QoQ.
Yes Bank’s Gross NPAs declined on a YoY and sequential basis to 1.6% in Q2FY25 versus 1.7% in Q1FY25 and 2% in Q2FY24. Meanwhile, its net NPAs remained flat on a QoQ basis at 0.5% while declining by 40 bps on a YoY basis.
The GNPA was reported at Rs 3,889 crore in Q2FY25 versus Rs 3,845 crore in Q1FY25 and Rs 4,319 crore in Q2FY24. Net NPA was reported at Rs 1,168 crore in July-September quarter of FY25 versus Rs 1,246 crore in Q1FY25 and Rs 1,885 crore in Q2FY24.
The Cost-to-Income Ratio was lower at 73.0% versus 74.4% in Q2FY24 and 74.3% in Q1FY25. The RoA (returns on assets) for Q2FY25 was at 0.5% versus 0.2% in Q2FY24 and 0.5% in Q1FY25.
Balance Sheet
Balance Sheet momentum sustains with effective execution in line with strategic objectives, the lender said in its filing to the exchanges. Net advances were reported at Rs 2,35,117 crore, registering a growth of 12.4% YoY and 2.4% QoQ. A robust momentum in fresh disbursements was seen at Rs 23,998 crore in Q2FY25.
Total Balance Sheet grew 14.5% YoY.
Meanwhile, total deposits stood at Rs 2,77,214 crore, up 18.3% YoY and 4.6% QoQ. CASA ratio stood at 32% versus 29.4% in Q2FY24 and 30.8% QoQ.
The current account balances grew 26.2% YoY and 11.1% QoQ while savings account balances growth was at 30.5% YoY and 6.6% QoQ. Retail CASA accounts opened were at 3.64 lakhs in Q2FY25.
Commenting on the earningsMD & CEO Prashant Kumar said that Q2FY25 performance is encouraging, in the context of industry headwinds.
While deposit momentum has been maintained along with healthy CASA ratio (now at 32%) expansion on the back of CA and SA growth, the slippage ratio remains range-bound within the guidance range, Kumar said.
“The Bank continues to deliver as per the stated strategic objectives, with superior growth in SME and Mid Corporate segments, growth resumption in the Corporate segment and calibration of growth in Retail segment, aimed at profitability improvement. Bank also continues to maintain NIL PSL shortfalls.
These along with other drivers have enabled the Bank to deliver healthy Operating Profit and net profit growth,” the MD & CEO said.
“The Bank has also strengthened its management team with key senior hires in Retail Assets and Financial Markets Team. We have received external validation in the form of Credit Rating upgrades over the last 2 quarters. While we navigate the challenges in the operating environment, we remain confident of our progress towards building a franchise which delivers superior returns to our stakeholders,” he added.
Gross Slippages for Q2FY25 stood at Rs 1,314 crore versus Rs 1,263 crore in Q2FY24 and Rs 1,204 crore in Q1FY25.
