Yes Bank Q3 FY22 Results
Yes Bank posted its results for the quarterly earnings on January 22, 2022. The bank reported a 77% YoY jump in its standalone profit after tax (PAT) at Rs 266 crore from Rs 150 crore in the year ago period. The PAT is up by 18% QoQ over the previous quarter from Rs 225 crore.
The bank’s net interest income (NII), however, sank by 31% to Rs 1,764 crore from Rs 2,560 crore in the corresponding quarter in the previous financial year. Yes Bank’s other income too saw a 32% YoY decline at Rs 777 crore against Rs 1,087 crore in Q3 FY21.
The bank’s Net Interest Margin (NIM) for the quarter under review was at 2.4% against 3.4% in the year ago period and 2.2% in the previous quarter.
More prominently, Yes Bank’s Gross NPA came down to 14.6% from 15% in the previous quarter due to lower slippages. Consequently, provisions for the quarter under review were down by 82.1% YoY at Rs 375 crore from Rs 2,089 crore in Q3 FY21. The Net NPA, however, was up at 5.2% from 4% in the year ago period.
Yes Bank’s stock closed at Rs 13.75 per share after a 0.36% dip ahead of its quarterly earnings report after the end of the intraday trading session on January 21, 2022.
Hits
- PAT up 77% YoY at Rs 266 crore from Rs 150 crore
- Sequential PAT up 18% to Rs 266 crore from Rs 225 crore
- Total income up 3.7% QoQ at Rs 5,632 crore from Rs 5,430 crore in Q2 FY22.
- NIM up at 2.4% from 2.2% in the previous quarter
- Gross NPA down to 14.6%
- Deposits up 4.3% QoQ to Rs 1,84,288 crore
- Capital Adequacy Ratio up at 17.6% from 17.4% in the previous quarter
- ROA up at 0.4% from 0.2% in the year ago period and 0.3% in the previous quarter
- CASA ratio at 30.4%, up 100 base points QoQ
Misses
- Total income down by 12% to Rs 5,632 crore from Rs 6,408 crore in the year ago period
- Net worth down to 33,873 crore from Rs 36,956 crore in Q3 FY21
- Capital Adequacy Ratio down to 17.6% from 19.4% in the year ago period
- Net NPA up at 5.2% from 4.04% in the year ago period
Segment-wise revenue
- Treasury: Revenue down 42% YoY to Rs 1,688 crore from Rs 2,950 crore in Q3 FY21
- Corporate Banking: Revenue down 28% YoY to Rs 2,310 crore from Rs 3,258 crore in Q3 FY21
- Retail Banking: Revenue up 25% YoY to Rs 2,085 crore from Rs 1,668 crore in Q3 FY21
- Other Banking Operations: Revenue up 37% YoY to Rs 80 crore from Rs 58 crore in Q3 FY21
Other things to know about Yes Bank
- Yes Bank has sold its entire stake in its wholly owned subsidiaries YES Asset Management (India) Limited and YES Trustee Limited on November 01, 2021. This one-time sale has contributed to the significant jump in the YoY and QoQ profits.
- Although the infamous incident of former Yes Bank CEO and MD Rana Kapoor and his family receiving kickbacks is behind the bank, Kapoor and his wife continue to be in police custody in the multi-crore money laundering case.
- The stock has a P/E ratio of -9.91 against the industry average of 23.04 while its P/B ratio is at 1.04 against the industry average of 2.37.
To read the RA disclaimer, please click here.