Shares of YES Bank Ltd rallied as much as 9 per cent during the trading session on Monday after the private lender reported a strong set of numbers in the March quarter (Q4FY24) results, aided by one-off gains from tax refunds.
YES Bank reported a standalone net profit of Rs 452 crore for the March 2024 quarter, up 123 per cent on a year-on-year (YoY) basis. The lender reported a net profit of Rs 202.43 in the year ago period (Q4FY23). YES Bank earned an interest income of Rs 7,447.17 crore, up 20 per cent YoY.
Net interest income (NII) rose 2 per cent YoY to Rs 2,153 crore from Rs 2,105 crore in the corresponding quarter last fiscal. Net interest margin (NIM), a key profitability indicator for the lender, remained flat sequentially (QoQ) at 2.4 per cent. YES Bank's operating profit grew 4.4 per cent YoY to Rs 902 crore in Q4FY23, from Rs 864 crore in Q4FY23.
Shares of YES Bank surged 8.98 per cent to Rs 28.50 at the opening tick during Monday's trading session, commanding a total market capitalization of more than Rs 81,000 crore. YES Bank shares settled at Rs 26.15, up 0.73 per cent in the previous trading session on Friday.
YES Bank said its bank's gross non-performing asset (NPA) stood at 1.7 per cent in the March quarter, down from 2.0 per cent in the same quarter last year. The net NPA for the quarter stood at 0.6 per cent for the period, down 0.90 per cent improvement on a QoQ basis. Provisions for the quarter fell 23.7 per cent YoY to Rs 470.80 crore.
“This quarter demonstrates a significant step in the RoA expansion journey, with Q4FY24 RoA expanding to 0.5 per cent. This is despite the one-off gains from tax refunds, SR recoveries and ARC Sale, being prudently utilised for strengthening the asset quality metrics," said Prashant Kumar, Managing Director and CEO at YES Bank.
"We continue to witness strong momentum in our liability franchise with growth in Deposits expanding to over 20 per cent YoY for the first time in the last 8 quarters. Importantly, despite the challenging environment during the course of the year, our CASA ratio has expanded to 30.9 per cent. This quarter, the bank continued to expand on its digital footprint with significant partnerships," he said.
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