Yes Bank Shares Surge Over Two-Month High After Q4 Profit More Than Doubles
Yes Bank said it is moving towards RoA accretive products, and expects its provisioning coverage ratio to surpass 70% next year.
Shares of Yes Bank Ltd. surged to over a two-month high on Monday after its profit more than doubled in the fourth quarter. The private lender's net profit surged 123% year-on-year to Rs 452 crore in the quarter ended March 2024, according to an exchange filing. The jump was due to higher other income and lower provisioning.
In an analysts' call on Monday after Yes Bank Q4 results, the private lender said it is moving towards RoA accretive products. Furthermore, the company expects its provisioning coverage ratio to surpass 70% next year.
Recoveries and upgrades were about Rs 6,000 crore in FY24, and the lender intends to maintain it at the current level, Yes Bank said in an analyst call.
Yes Bank Q4 Results Highlights (Standalone)
Net profit up 123% to Rs 452 crore. (YoY).
Net interest income up 2% to Rs 2153 crore. (YoY).
Gross NPA at 1.7% vs 2.02% (QoQ).
NNPA at 0.6% vs 0.9% (QoQ).
Shares of Yes Bank rose as much as 9.18% to Rs 28.55, the highest level since Feb. 19. It pared gains to trade 5.74% higher at Rs 27.70 as of 9:30 a.m., compared to a 0.42% advance in the NSE Nifty 50 index.
The stock has gained 76.11% in 12 months and 29.14% on a year-to-date basis. The total traded volume so far today was 8.8 times its 30-day average. The relative strength index was at 71.30.
Out of 11 analysts tracking the company, two recommend a 'hold' and nine suggest a 'sell', according to Bloomberg data. The average 12-month consensus price target implies a downside of 42.9%.
