Yes Bank reported a net profit of ₹231 crore in its Q3 results, with the Net Interest Income (NII) showing a 2.3% increase, reaching ₹2,016.8 crore as of January 27, 2023.
Despite the positive performance, Yes Bank’s net profit fell short of market estimates set at ₹415.1 crore. The gross non-performing assets (NPA) remained at 2%, unchanged from the previous year.
On the flip side, the net NPA for the quarter improved to 0.9%, a slight uptick from 1.0% in the same period last year.
Stock and Market Expectations
Yes Bank shares traded flat ahead of the Q3 results announcement. Throughout the week, the share price registered a marginal gain of ₹0.20 per share, closing at ₹24.90 on NSE on Thursday.
Experts anticipated a healthy set of numbers for Q3FY24, citing past recoveries and the stability of Yes Bank’s asset quality. The market expects substantial bottom-line growth in Q3FY24, especially with ARCs submitting bids for the bank’s two NPA loan books.
Shiju Koothupalakkal, Technical Analyst at Prabhudas Lilladher, expressed optimism about Yes Bank’s outlook. He stated, “Yes Bank share has picked up quite well in the last 3 months…next targets of ₹28.50 and ₹31 levels visible.”
