Private sector lender YES Bank reported a net loss of ₹3,787.75 crore in the quarter ended March 31, 2021 with a drop in net interest income and rise in provisions.
It had a net profit of ₹2,628.61 crore in the fourth quarter of 2019-20 on the back of the AT-1 bond write off. Without this cushion, it would have reported a net loss of ₹3,668.33 crore for the January to March 2020 quarter.
On a sequential basis, Yes Bank had a net profit of Rs ₹150.71 crore in the quarter ended December 31, 2020.
For the full fiscal 2020-21, the lender reported a net loss of ₹3,462.23 crore compared to a net loss of ₹16,418.02 crore in 2019-20.
Net interest margin
YES Bank’s net interest income declined 22.5 per cent during the January to March 2021 quarter to ₹987 crore as against ₹1,274 crore in the same period in 2019-20.
Net interest margin declined to 1.6 per cent for the fourth quarter last fiscal versus 1.9 per cent a year ago.
Non interest income surged 36.6 per cent to ₹816 crore in the quarter.
Provisions increased by 7.5 per cent to ₹5,239.59 crore in the fourth quarter of 2020-21 as against ₹4,872.34 crore in the corresponding period in the previous fiscal.
Gross non performing assets was at ₹28,609.53 crore as on March 31, 2021 or 15.41 per cent of gross advances as against 16.8 per cent as on March 31, 2020.
Net NPAs were at 5.88 per cent of net advances as on March 31, 2021 versus 5.03 per cent a year ago.
“GNPA book or legacy stressed book is well provided for and has demonstrated a robust cash recovery of ₹4,933 crore. Our overdue book of 31-90 days has reduced by 28 per cent over the last quarter. Asset quality and quality recognition has peaked and recovery income will cover for incremental slippages next year,” said Prashant Kumar, Managing Director and CEO, YES Bank.