YES Bank's PBT falls to Rs 60 crore in June quarter, NII dips 16.3%

The bank's net profit for quarter under review stood at Rs 45.44 crore as against a net profit of Rs 113.76 crore in Q1FY20. It had booked a net loss of Rs 3,668.3 crore in Q4FY20

Private sector lender YES Bank posted profit before tax (PBT) at Rs 60.24 crore in the quarter ended June (Q1FY21).

The Mumbai-based lender had posted a PBT of Rs 174.98 crore in the quarter ended June 2019 (Q1FY20). Its pre-tax loss was Rs 4,765.9 crore in the fourth quarter ended March (Q4FY20).

Its net profit for the reporting quarter stood at Rs 45.44 crore, against a net profit of Rs 113.76 crore in Q1FY20. It had booked a net loss of Rs 3,668.3 crore in Q4FY20. The bank is now an associate entity of State Bank of India after capital infusion of Rs 10,000 crore as part of a rescue package hammered out by the Reserve Bank of India.

The net interest income declined 16.3 per cent to Rs 1,908 crore in Q1FY21, from Rs 2,281 crore in Q1FY20. The net interest margin (NIM) rose to 3 per cent in Q1FY21, from 2.8 per cent in Q1FY20. Its NIM was at 1.9 per cent in Q4FY20. The other income — comprising fee and commission — fell 51.2 per cent, from Rs 1,273 crore in Q1FY20 to Rs 621 crore in Q1FY21.  

The provisions (including for non-performing assets, or NPAs) and contingencies were Rs 1,086 crore in Q1FY21, down from Rs 1,784.1 crore in Q1FY20. The provisions were about Rs 4,872.34 crore in Q4FY20. The bank made Covid-19-related provisions of Rs 642 crore in Q1FY21.

The provision coverage ratio (PCR) improved to 75.1 per cent in Q1FY21, from 43.1 per cent in Q1FY20. The PCR was at 73.8 per cent in March 2020.

The gross NPAs stood at 17.3 per cent in Q1FY21, from 5.01 per cent in Q1FY20. The gross NPAs were at 16.8 per cent in March. The net NPAs were at 4.96 per cent in June, from 2.9 per cent in June 2019. The net NPAs were at 5.03 per cent in March.

The total deposits shrunk to Rs 117,360 crore in June, from Rs 2.26 trillion a year ago. The advances also shrunk to Rs 1.64 trillion as of June 30, from Rs 2.36 trillion in June 2019 and Rs 1.71 trillion in March.

The capital adequacy ratio (CAR) stood at 8.6 per cent as of June 30. However, CAR improved to 20 per cent, with Tier-1 of 13.4 per cent in July following the follow-on public offer. It had failed to comply with the minimum Common Equity Tier-1 and Tier-1 capital requirements as of March 31.

Stock slips below FPO price 

The stock of YES Bank on Tuesday fell below Rs 12, the price at which investors were issued shares in the follow-on public offering (FPO), which concluded last week. The stock, after hitting a low of Rs 11.1, ended at Rs 11.9 on the NSE, where shares worth Rs 1,220 crore changed hands. In the previous session, when the new shares issued in the FPO commenced trading, the stock had hit the 10-per cent lower circuit. BS REPORTER