YES BANK: STEADY RECOVERY WITH IMPROVING ASSET QUALITY & PROFITABILITY
CORE HIGHLIGHT
– Strong growth in advances, improving asset quality and profitability driving continued turnaround
STRUCTURAL SHIFT
– Transition towards balanced loan mix (retail + corporate + commercial)
– Improving CASA mix supporting funding cost
– Sharp decline in NPAs and credit cost
– Gradual improvement in return ratios (ROA, ROE)
– Impact: Positive — stable recovery trajectory
WHY THIS MATTERS
– Strong loan growth indicates business momentum
– Better asset quality reduces risk and provisioning
– NIM improvement supports earnings growth
– Rising CASA improves cost of funds
– Impact: Positive — fundamentals strengthening
BUSINESS PERFORMANCE
GROWTH TRENDS (Q4FY26)
– Advances growth at 11.1% YoY and 6.2% QoQ
– Deposits growth at 12.1% YoY and 9.0% QoQ
– Retail disbursements strong (+41% YoY)
– Impact: Healthy business expansion
INCOME & PROFITABILITY
– NII growth at 15.9% YoY
– Total income growth at 8.8% YoY
– Operating profit up 23.1% YoY
– PAT up 44.7% YoY
– Impact: Strong earnings recovery
MARGINS & RETURNS
– NIM improved to 2.7%
– ROA at 1.0% (vs 0.7% YoY)
– ROE at 8.4% (vs 6.2% YoY)
– Impact: Positive — improving profitability ratios
ASSET QUALITY
NPAs TREND
– GNPA reduced to 1.3%
– NNPA reduced to 0.2%
– Credit cost down to 0.2%
– Impact: Strong — clean balance sheet
PROVISIONS
– Declined 41% YoY (normalization)
– QoQ spike due to base effect
– Impact: Neutral
LIABILITY FRANCHISE
CASA STRENGTH
– CASA growth at 14.9% YoY
– CASA ratio improved to 35.1%
– Impact: Positive — better funding mix
BUSINESS MIX INSIGHT
– Strong growth in corporate (+19.7%) and commercial (+14.5%)
– Retail growth moderate (+4.7%)
– Impact: Balanced growth, but retail acceleration needed
VALUATION SNAPSHOT
– Book value at ₹16.3 per share
– Trading at ~1.24x P/B
– Impact: Reasonable valuation with improving fundamentals
MOAT CHARACTERISTICS
– Improving asset quality and risk controls
– Strengthening liability franchise
– Balanced loan book diversification
– Gradual return ratio expansion
– Impact: Recovery-led competitive positioning
KEY INSIGHT
– Yes Bank moving from recovery phase to stable growth phase with improving profitability and asset quality
OUTLOOK
– Continued improvement in ROA and ROE
– Stable credit costs and asset quality
– Growth momentum to sustain across segments
IMPACT
– Positive — steady turnaround with improving fundamentals and profitability
#4QWithCNBCTV18 | #ICICIBank reports #Q4Results
Net NPA At 0.33% Vs 0.37% (QoQ)
Gross NPA At 1.40% Vs 1.53% (QoQ)
Net NPA At ₹5,459.5 Cr Vs ₹5,732 Cr (QoQ)
Gross NPA At ₹23,051.9 Cr Vs ₹23,758 Cr (QoQ)
#4QWithCNBCTV18 | #HDFCBank reports #Q4Results
Net NPA at 0.38% vs 0.42% (QoQ)
Gross NPA at 1.15% vs 1.24% (QoQ)
Net NPA at ₹11,169.5 cr vs ₹11,981.8 cr (QoQ)
Gross NPA at ₹34,061.2 cr vs ₹35,179 cr (QoQ)
Provisions at ₹2,609.6 cr vs ₹2,837.9 cr QoQ vs ₹3,193 cr YoY
Read More:
#4QWithCNBCTV18 | #ICICIBank reports #Q4Results
Net profit at ₹13,701.7 cr vs CNBC-TV18 poll of ₹12,949 cr
NII at ₹22,979.2 cr vs CNBC-TV18 poll of ₹22,755 cr
Net profit up 8.5% at ₹13,701.7 cr vs ₹12,630 cr (YoY)
NII up 8.4% at ₹22,979.2 cr vs ₹21,193 cr (YoY)
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