Yes Bank shares trim most of sharp early gains; close nearly 7 pc higher

Shares of Yes Bank on Thursday trimmed most of its sharp early gains and closed nearly 7 per cent higher.

Yes Bank had zoomed 20 per cent in early trade after the company reported a net profit of Rs 2,629 crore for the March quarter.

The stock closed the day with a gain of 6.83 per cent at Rs 28.15 after a jump of 19.92 per cent to Rs 31.60 during the day on the BSE.

It ended at Rs 28.05, up 6.65 per cent on the NSE after rallying 19.96 per cent to Rs 31.55 during the session.

In terms of volume, 74.74 lakh shares were traded on the BSE during the day, while 9.96 crore shares changed hands on the NSE.

The bank on Wednesday reported a net profit of Rs 2,629 crore for March quarter, helped by a massive gain of over Rs 6,200-crore arising out of a controversial write-off of bond investors' investment.

If the one-off gain is excluded, then the bank, which was bailed out by a consortium-led by State Bank of India (SBI) in March, has a loss of Rs 3,668 crore in the quarter under review.

The private sector lender had posted a loss of Rs 18,560 crore in December quarter, while the loss was at Rs 1,506 crore in March 2019 quarter.

The one-time gain is from write off of additional tier-I bondholders' Rs 8,419-crore investment, according to a release.

For the fiscal year 2019-20, Yes Bank reported a loss of Rs 16,481 crore. It had a profit of Rs 1,720 crore in the year-ago period.

The bank showed a marginal improvement in gross non-performing assets ratio at 16.80 per cent in March quarter as against 18.87 per cent in the three months ended December 2019.