Yes Bank posts robust improvement in asset quality

Yes Bank reported stellar numbers for Q4FY18 with robust asset quality improvement sharp jump in advances

The banks's NII for the quarter rose by 31.3 per cent yoy and 14 per cent qoq to Rs. 2,153 crore in Q4FY18 vs Rs. 1,639 crore in Q4FY17 and Rs. 1,889 crore in Q3FY18. The interest income for the quarter saw substantial growth of 32 per cent qoq and 13.2 per cent qoq.

Asset quality improvement for the quarter was exceptional with GNPA reduction of 24 bps yoy and 44 bps qoq to 1.28 per cent in Q4FY18 vs 1.72 per cent in Q3FY18 and 1.52 per cent in Q4FY17.The total amount of GNPA’s also witnessed 12 per cent qoq decline at Rs. 2,626 crore in Q4FY18 vs Rs. 2,974 crore in Q3FY18 and Rs. 2,018 crore in Q4FY17.

The provisions remained elevated at 28.9 per cent yoy to Rs. 399 crore in Q4FY18 vs Rs. 309 crore in Q4FY17. While it declined by 5.2 per cent qoq. The provision coverage ratio of the bank rose to 50 per cent vs 46.4 per cent in previous quarter.

 
The resultant net profit for the quarter  grew by 29 per cent yoy to Rs.1179 crore in Q4FY18 vs Rs. 914 crore in Q4FY17.

The advances posted 54 per cent jump over previous year at Rs. 2,03,533 crore in FY18 vs Rs. 1,32,262 crore in FY17. Further, the capital adequacy for the quarter also looked strong at 18.4 per cent CAR Basel III.
The retail advances also doubled in the last year and now forms 12.2 per cent of the overall portfolio.

The stock zoomed 8.26 per cent after the results were announced and closed at Rs. 352.6 mark on Thursday.