1 Including recoveries from Security Receipts of INR 1,189 Crs in Q3FY25 | | |
| Commenting on the results and financial performance, Mr. Prashant Kumar, Managing Director & CEO, YES BANK said, “Q3FY25 is the fifth quarter in a row where the Bank has demonstrated sustained sequential expansion in profitability. The RoA of the Bank has also expanded to 0.6% from 0.5%, reported over the last 3 quarters. It is quite encouraging that we have also started seeing expansion in our Operating Profitability. Two distinct trends which I think are important to highlight in terms of trajectory of the Bank’s profitability going forward are, 1) reduction in balances of deposits placed in lieu of PSL shortfalls to 8.5% of Assets this quarter, from 10.4% of Assets in Q2FY25, and 2) fresh slippages in Retail Segment remaining flat on Q-o-Q basis. Both of these are in line with our earlier guidance, and while one of the factors is likely to aid expansion in Net Interest Margins and Operating Profits, the other may likely result in reduction of gross credit costs. Other key vectors of the Bank continue to post encouraging trends in line with our strategic objectives. The Deposits momentum sustained with around 15% Y-o-Y growth, wherein the Avg. Balances recorded a higher 15.7% Y-o-Y and 2.3% Q-o-Q growth. Outperformance to Industry continued on CASA acquisition, with CA and SA deposits growing 21.1% Y-o-Y and 33.3% Y-o-Y respectively and the Avg. balances recording a similar growth. On the Advances front, SME and Mid Corporate segments maintained 25%+ Y-o-Y growth trajectory, while strategic reorientation continued in the Retail segment, aimed at profitability improvement. Q3FY25 was another strong quarter of Fee Income performance, aided by the granular and transactional fee streams. Asset Quality also further improved with (NNPA + Net Carrying Value of SRs) now at 0.6%.” | |
| Financial Highlights |
| Profit and Loss |
| | - NII at INR 2,224 Crs for Q3FY25 up 10.2% Y-o-Y
- NIMs at 2.4% flat on both Y-o-Y and Q-o-Q basis
- Non-Interest Income for Q3FY25 at INR 1,512 Crs. up 26.6% Y-o-Y and 7.5% Q-o-Q.
- Operating Costs at INR 2,657 Crs up 13.2% Y-o-Y and only 0.9% Q-o-Q.
- PSLC costs incurred during the quarter aggregated to INR 86 Crs v/s. INR 71 Crs in Q3FY24. Excluding PSLC cost, Opex for Q3FY25 grew 12.9% Y-o-Y & 0.6% Q-o-Q
- Operating Profit for Q3FY25 at INR 1,079 Crs, up 24.9% Y-o-Y and 10.6% Q-o-Q
- Cost-to-Income Ratio sequentially lower for second consecutive quarter at 71.1% v/s. 73.1% (Q3FY24) and 73.0% (Q2FY25)
- Q3FY25 Provision Cost (non-tax) at INR 259 Crs down 53.4% Y-o-Y and 12.9% Q-o-Q
- Net Profit for Q3FY25 at INR 612 Crs up 164.5% Y-o-Y & 10.7% Q-o-Q
- RoA for Q3FY25 at 0.6% v/s. 0.2% in Q3FY24 & 0.5% in Q2FY25
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| Balance Sheet |
| | - Net Advances at INR 2,44,834 Crs, registered growth of 12.6% Y-o-Y and 4.1% Q-o-Q
- Diversified loan book – Retail & SME: Mid Corp.: Corp. mix at 58:16:26 vs. 63:14:23 last year and 59:16:25 last quarter
- Sustained growth momentum in SME Advances (up 26.7% Y-o-Y),
- Mid Corporate Advances up 26.7% Y-o-Y, and
- Corporate Advances up 26.8% Y-o-Y and 7.5% Q-o-Q
- Retail Advances growth flattish Q-o-Q, in line with strategy to improve profitability
- Fresh Disbursements at INR 25,256 Crs in Q3FY25
- Total Balance Sheet grew 8.7% Y-o-Y
- CD Ratio at 88.3% vs. 89.9% in Q3FY24 and 84.8% in Q2FY25
- Total Deposits at INR 2,77,224 Crs, up 14.6% Y-o-Y
- Avg. Deposit Balances up 15.7% Y-o-Y and 2.3% Q-o-Q
- Retail & Branch Banking led Deposits growth at 21.8% Y-o-Y and 5.3% Q-o-Q
- CASA ratio at 33.1% vs. 29.7% in Q3FY24 and 32.0% Q-o-Q
- Current Account balances grew 21.1% Y-o-Y, with avg. CA growth at 22.1% Y-o-Y
- Savings Account balances growth at 33.3% Y-o-Y and 9.2% Q-o-Q. Avg. SA Balances growth at 32.1% Y-o-Y and 9.0% Q-o-Q
- Retail CASA Accounts opened: ~3.14 lakhs in Q3FY25
- Average Quarterly LCR (on consolidated basis) during the quarter remains healthy at 133.2%
- CET 1 ratio at 13.3%: Total CRAR at 15.9%.
- RWA to Total Assets at 72.3% vs. 71.2% in Q3FY24 and 70.7% in Q2FY25
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| Asset Quality |
| | - (NNPA + net carrying value of SR) as % of Advances significantly lower on Y-o-Y and Q-o-Q basis at 0.6% in Q3FY25 v/s. 1.7% in Q3FY24 and 0.9% in Q2FY25; Non Tax Provisions at 0.2% of Average Assets for Q3FY25 (on annualized basis)
- GNPA ratio lower on Y-o-Y and flattish on Q-o-Q basis at 1.6% v/s. 2.0% in Q3FY24 and 1.6% in Q2FY25
- NNPA ratio at 0.5% v/s. 0.9% in Q3FY24 and flat in comparison to 0.5% in Q2FY25
- NPA Provision Coverage Ratio (PCR) at 71.2% v/s. 56.6% in Q3FY24 and 70.0% in Q2FY25; Including Technical Write- offs, PCR at 82.4% v/s. 71.9% in Q3FY24 and 81.5% in Q2FY25
- Gross Slippages for Q3FY25 at INR 1,348 Crs v/s. INR 1,233 Crs in Q3FY24 and INR 1,314 Crs in Q2FY25
- Retail Segment Fresh Slippages for Q3FY25 at INR 1,174 Crs v/s. INR 1,179 Crs in Q2FY25
- Overdue book of 31-90 days at INR 3,980 Crs from INR 4,379 Crs in Q3FY24 and INR 3,762 Crs in Q2FY25
- 31-60 days book at INR 1,864 Crs v/s. INR 1,896 Crs last quarter
- 61-90 days book at INR 2,116 Crs v/s. INR 1,866 Crs last quarter
- Rise in 61-90 days Overdue balances in Retail Segment, largely driven by Rural Portfolio
- Standard Restructured accounts amounted to INR 1,928 Crs (0.8% of Advances) down from INR 3,958 Crs (1.8% of Advances) in Q3FY24 and INR 2,125 Crs (0.9% of Advances) in Q2FY25.
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| Other Highlights/ Achievements |
| | - Launched YES Business powered by ‘IRIS Biz by YES BANK’ to empower MSMEs and Businesses: A new age Business Banking app, with 100+ features, that provides a wide range of integrated solutions to both simplify and strengthen business operations
- RBI approved the appointment of Mr. Manish Jain as Executive Director (ED) of the Bank, effective December 11, 2024, further strengthening the Bank's governance and leadership team
- Certified as ‘Great Place to Work®’ by Great Place to Work®, India, for the third consecutive year
- Launched ‘YES PowherUp’ in partnership with FICCI FLO– a specialised MSME programme designed to empower Women Entrepreneurs in scaling their businesses
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