YES Bank has announced a robust performance for the quarter and year ended March 31, 2026. The Bank reported a significant 44.5% increase in annual net profit to INR 3,476 crore, supported by improved operating metrics. Asset quality saw marked improvement with the Gross NPA ratio falling to a historic low of 1.3%. With a stable foundation and healthy balance sheet growth, the Bank is well-positioned for sustainable expansion in the upcoming fiscal year.
Fiscal Year 2026 Financial Highlights
For the full year ending March 31, 2026, YES Bank delivered a strong financial performance, with net profit reaching INR 3,476 crore, marking a 44.5% growth over FY25. Return on Assets (ROA) improved to 0.8% from 0.6% in the previous year. For the fourth quarter (Q4) alone, the Bank reported a net profit of INR 1,068 crore, a 44.7% increase compared to the same period last year.
Margin Expansion and Operational Efficiency
Despite a challenging interest rate environment, the Bank successfully improved its Net Interest Margin (NIM) to 2.7%, a 20 basis point improvement over the previous year. This was driven by the successful repricing of deposits and a sustained reduction in high-cost borrowings. Furthermore, the Bank’s cost-to-income ratio saw a notable improvement, dropping to 66.7% for FY26 compared to 71.3% in FY25.
Asset Quality and Balance Sheet Growth
The Bank’s asset quality remains robust, with Gross NPA and Net NPA ratios at 1.3% and 0.2% respectively, the lowest levels seen in the last 24 quarters. Total advances grew by 11.1% year-on-year to INR 2.73 lakh crore. The deposit franchise also reached key milestones, with total deposits crossing INR 3 lakh crore and CASA balances exceeding INR 1 lakh crore.
Strategic Outlook and Future Growth
Looking ahead to FY27, the management indicated a focus on balanced and profitable growth, aiming for expansion in line with industry levels, ideally within the 14% to 15% range. Key strategic priorities include deepening customer relationships, investing in digital technology, and maintaining strong asset quality while continuing to reduce RIDF-related mandated deposits to below 5% by fiscal 2027.
Source: BSE
