YES Bank net profit grows to Rs 235 crore in the second quarter

YES Bank net profit grows to Rs 235 crore in the second quarter YES Bank has recorded a growth of 33.3 per cent in net profit to Rs 235 crore in the second quarter of the financial year.

The bank saw a strong growth in its non-interest income even as there was a marginal fall in net interest margin. The private sector bank's net profit in the last quarter stood at Rs 176.3 crore. The bank's non-interest income rose by 63.4 per cent to Rs 214 crore and net interest income increased 23.1 per cent to Rs 385.6 crore.

Deputy Chief Financial Officer Jaideep Iyer said that the bank saw an increase in earnings from its debt capital markets practice as well as from the financial advisory operations. However, the net interest margin of the company fell 2.9 per cent during the quarter from the 3 per cent in the same period last year.

"YES Bank achieved steady growth in profits on the back of sustained growth in customers assets of 27.4 per cent, stable margins contributing to net interest income growth of 23.1 per cent and a continued focus on revenue diversity, leading to a strong non-interest income growth of 63.4 per cent," said Managing Director and CEO, Rana Kapoor said in a filing to the BSE.

Rajat Monga, the CFO expects the bank to see a marginal improvement in net interest margin in the coming months. He said that bank has been able to pass on the increase in interest rates to the customers. However, he warned that there is a perceptible slowdown in the market.