YES Bank Q1 profit rises 50% to Rs 311 cr due to revenue growth
YES Bank on Saturday announced a 50% increase in its net profit to Rs 311 crore for the June quarter 2022-23 thanks to lower bad debt provisions and healthy revenue growth.
The bank had recorded a net profit of Rs 207 crore in the period a year ago, it said in a regulatory filing.
Total revenue during the quarter increased to Rs 5,916 crore from Rs 5,394 crore during the same period of 2021-22.
The private sector lender improved its impaired assets, with gross non-performing assets (NPA) falling to 13.45% of gross advances as of June 30, 2022, from 15.60% at the end of June 2021.
Net NPAs or bad debts also fell to 4.17% from 5.78%.
Provisions for bad debts and contingencies for the quarter under review fell to Rs 175 crore from Rs 457 crore a year ago.
The bank successfully exited the reconstruction plan with the formation of an alternative board effective July 15, 2022, in accordance with shareholder approval, the filing said.
“The new board has recommended the appointment of Prashant Kumar as managing director and CEO for three years, subject to the approval of the Reserve Bank of India and shareholders,” he said.
Additionally, the bank has signed a binding term sheet with JC Flowers to form an asset reconstruction company with the aim of selling an identified pool of nearly Rs 48,000 crore of stressed assets.
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