Yes Bank clocked a two-fold jump in standalone net profit for the quarter ended March 31 on lower provisions and a sharp rise in other income.
The lender reported a net profit of ₹451.89 crore against ₹202.43 crore in the same quarter of the previous fiscal.
Analysts polled by Bloomberg had expected a net profit of ₹305.90 crore. Core net interest income rose only 2.3 per cent to ₹2,153 crore following lower net interest margin at 2.4 per cent from 2.8 per cent in the year-ago period. Non-interest income surged 56.3 per cent over the corresponding previous period to ₹1,569 crore from ₹1,004 crore.
Managing director and chief executive Prashant Kumar said the net interest margin narrowed because of the shortfall in meeting priority sector lending requirements.
Over ₹14,000 crore had to be added to the low-yielding Rural Infrastructure Development Fund balances during the fiscal as a penalty because of the shortfall. The overall exposures to RIDF has shot up to 11 per cent of the balance sheet from 8 per cent.
