Yes Bank Limited — Updates, 19-04-2025: Press Release

**Financial Highlights:**

YES Bank reported a net profit of INR 2,406 Cr for FY25, a remarkable 92.3% increase year-over-year (YoY). For Q4FY25, net profit reached INR 738 Cr, up 63.3% YoY and 20.6% quarter-over-quarter (QoQ). The bank's net interest income (NII) stood at INR 8,944 Cr for FY25, a 10.5% increase from the previous year, driven by an NIM of 2.4%. Q4FY25 NII was INR 2,276 Cr, marking a 5.7% YoY growth. With a significant drop in operating costs by 4.2% YoY to INR 2,701 Cr, the cost-to-income ratio improved to 67.3% in Q4FY25.

**Strategic Initiatives and Growth Drivers:**

The bank continues to focus on enhancing its profitability through granular deposits, evidenced by CASA ratio climbing to 34.3%, up 340 bps YoY. Advances grew by 8.1% YoY, especially in SME and Mid Corporate segments, with significant growth seen in retail banking as well.

**Business Developments:**

YES Bank has improved its asset quality metrics, achieving a GNPA ratio of 1.6% and NNPA at 0.3%. The provision coverage ratio (PCR) also improved to 79.7%. Additionally, the bank was authorized by the Government of India for direct and indirect tax collection, enabling a seamless GST payment facility for customers.

**Market Position and Competitive Advantage:**

Positioned as a leading player in digital payments, YES Bank is the #1 UPI payee PSP bank by market share, capitalizing on India's growth in online financial transactions.

**Investor Implications:**

Investors should note that YES Bank's consistent growth metrics and strategic initiatives favor a positive outlook for future profitability. With robust operational improvements and disciplined execution of strategic goals, the bank's stock could represent potential growth opportunities amidst ongoing recovery in the banking sector.