Yes Bank has reported encouraging improvements in its Q3 FY25 financials, focusing on lower provisions, better asset quality, and a steady rise in deposits. Provisions and contingencies during the quarter decreased significantly to ₹258.68 crore from ₹557.44 crore in Q3 FY24, and ₹297.10 crore in the previous quarter (Q2 FY25). This reduction highlights the bank’s progress in strengthening its asset quality and credit monitoring efforts.
Asset Quality Trends
Yes Bank’s asset quality metrics showed consistent improvement on a quarter-on-quarter (QoQ) basis:
•Gross Non-Performing Assets (GNPA): Declined to ₹39,634.7 crore (1.6%) in Q3 FY25 from ₹38,894.3 crore (1.6%) in Q2 FY25.
•Net Non-Performing Assets (NNPA): Reduced to ₹11,426.2 crore (0.5%) in Q3 FY25 from ₹11,680.2 crore (0.5%) in Q2 FY25.
This improvement demonstrates the bank’s commitment to reducing its stressed assets while maintaining a focus on recoveries.
Deposits Show Steady Growth
Yes Bank’s deposits grew to ₹2,77,235 crore in Q3 FY25, marking a 15.5% year-on-year (YoY) increase from ₹2,41,815 crore in Q3 FY24. On a sequential basis, deposits were up 1.7% compared to ₹2,72,567 crore in Q2 FY25. The bank’s ability to attract deposits underscores its growing credibility and operational stability.
Key Financial Highlights
•Provisions: Down 53.6% YoY and 12.9% QoQ, reflecting improved loan book quality.
Prashant Kumar, MD & CEO, Yes Bank, said, “
Deposits maintained strong momentum, with 15% year-on-year growth, and average balances recorded even higher growth at 15.7% year-on-year and 2.3% quarter-on-quarter. CASA acquisition outpaced the industry, with current and savings account deposits growing by 21.1% and 33.3% year-on-year, respectively, alongside a similar increase in average balances. On the advances front, SME and mid-corporate segments maintained a growth trajectory exceeding 25% year-on-year, while the retail segment’s strategic reorientation focused on improving profitability.”
