Companies

YES Bank posts net loss of ₹3,788 crore in Q4

Our Bureau Mumbai | Updated on April 30, 2021

Gross NPAs stood at ₹28,609 cr as on March 31, 2021   -  NAGARA GOPAL

Net interest income declined 22.5 per cent during the quarter

Private sector lender YES Bank reported a net loss of ₹3,787.75 crore in the quarter-ended March 31, 2021 with a drop in net interest income and accelerated provisions.

It had a net profit of ₹2,628.61 crore in the fourth quarter of 2019-20 on the back of the AT-1 bond write-off. Without this cushion, its net loss would have been ₹ 3,668.33 crore for the January- March 2020 quarter.

On a sequential basis, Yes Bank recorded a net profit of ₹150.71 crore in the quarter-ended December 31, 2020. For the full fiscal 2020-21, it reported a net loss of ₹3,462.23 crore compared to a net loss of ₹16,418.02 crore in 2019-20. Yes Bank’s net interest income declined 22.5 per cent during the January-March 2021 quarter to ₹987 crore as against ₹1,274 crore in the same period in 2019-20. Net interest margin declined to 1.6 per cent for the fourth quarter last fiscal versus 1.9 per cent a year ago. Non-interest income surged 36.6 per cent to ₹816 crore in the quarter under review.

Provisions and NPAs

Provisions increased by 7.5 per cent to ₹5,239.59 crore in the fourth quarter as against ₹4,872.34 crore in the corresponding period of previous fiscal. Gross non-performing assets stood at ₹28,609.53 crore as on March 31, 2021 or 15.41 per cent of gross advances as against 16.8 per cent as on March 31, 2020. Net NPAs stood at 5.88 per cent as on March 31, 2021 versus 5.03 per cent a year ago.

“GNPA book or legacy stressed book is well provided for and has demonstrated a robust cash recovery of ₹4,933 crore. Our overdue book of 31-90 days has reduced by 28 per cent over the last quarter. Asset quality and quality recognition had peaked in December and recovery income will cover for the incremental slippages next year (2021-22),” said Prashant Kumar, Managing Director and CEO, YES Bank.

The bank’s deposits grew 55 per cent on an annual basis to ₹1,62,947 crore while advances fell 1.7 per cent to ₹1,66,893 crore in 2020-21.

Published on April 30, 2021

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