Yes Bank (YESBANK) Q4 17/18 earnings summary

Executive summary

• FY18 net profit rose 26.9% to ₹42,245.64 million; assets grew 45.3%, advances 53.9%, and deposits 40.5% YoY.

• Growth was supported by higher net interest income, digital and branch expansion, and ₹124,150 million of Basel III capital issuance; provisions for NPAs and investments increased.

Financial highlights

• Net interest income rose 33.5% to ₹77,370.59 million; non-interest income increased 25.7% to ₹52,238.34 million, lifting net revenue 30.2% to ₹129,608.93 million.

• Operating profit grew 32.7% to ₹77,481.13 million; net profit increased 26.9% to ₹42,245.64 million.

• Total assets reached ₹3,124,456 million; deposits were ₹2,007,381 million and advances ₹2,035,339 million at March 31, 2018.

• Provisions and contingencies excluding tax rose 95.8% to ₹15,538.04 million, including ₹10,788.29 million for NPAs/write-offs and ₹2,599.44 million for investments.

Outlook and guidance

• FY19 GDP growth was forecast at 7.5%; strategy prioritized expanding Corporate, Retail and Digital Banking through product, service and process innovation.

• Plans included scaling unified digital channels and payments, increasing Retail and MSME lending, and continuing investments in technology and branch infrastructure.