More News
RETAIL BANKING | Staff Reporter, India
view(s)

YES Bank's loans up 35%

The growth was led by the corporate segment.

Loans grew 35% YoY, led by the corporate segment. Maybank Kim Eng noted that as CASA deposits jumped 51% YoY, CASA ratio improved 6.9ppts YoY to 37.2%.

"A recent equity-capital infusion rubbed off on margins, which expanded 30bps YoY to 3.7%. We believe there is room for further expansion, by lowering interest rates for savings accounts, currently at 6% vs peers’ 4-5%. Fees grew 40% YoY, led by corporate banking and cash management," Maybank Kim Eng said.

"YES’ FY17 NPL reporting diverged from the regulators’ assessment in a recent audit by INR64b. Of this, only INR12b slipped into NPLs in 2Q18, as the bank was able to recover and upgrade 74% of the divergence. Still, with the additional slippages, gross NPLs increased 80bps to 1.8%. Management attributed the divergence in its NPL reporting to a difference of opinion with the central bank," the brokerage firm added.

Do you know more about this story? Contact us anonymously through this link.

Click here to learn about advertising, content sponsorship, events & rountables, custom media solutions, whitepaper writing, sales leads or eDM opportunities with us.

To get a media kit and information on advertising or sponsoring click here.