Yes Bank Q2 Results FY24 Fiscal Period Report: Earning, Net Profit, NII

Yes Bank Ltd is among the 21 listed companies set to announce their Q2 results today. The private lender has informed the Indian stock market that its board of directors will hold a meeting on October 21, 2023, in Mumbai to review and approve the unaudited financial results for the second quarter of the current financial year and the half-year ending in September 2023.

Yes Bank Q2 Results FY24 Fiscal Period Report: Earning, Net Profit, NII

The bank’s official announcement stated, “Notice is hereby given that a meeting of the Board of Directors of YES Bank Limited will be held on Saturday, October 21, 2023, at Mumbai, to consider and approve the Unaudited Standalone and Consolidated Financial Results of the Bank for the Quarter (Q2) and half-year ended September 30, 2023.”

Leading up to the announcement, there was increased buying interest in Yes Bank shares. On the prior Friday, the share price of Yes Bank opened with an upward gap, reaching an intraday high of ₹17.85 per share on the NSE, marking a 4.5% increase from the previous day’s closing price of ₹17.05 per share. The shares eventually closed at ₹17.35, reflecting a 2% gain.

Market experts anticipate positive Q2 earnings from Yes Bank, with expectations of improved margins due to reduced provisions. Additionally, the bank’s net income for the July to September quarter is expected to show improvement. However, experts note that, like many other Indian banks, Yes Bank may face challenges in its interest income due to the prevailing high-interest rate environment.

Arun Kejriwal, Founder at Kejriwal Research and Investment Services, commented on market expectations, stating that there is anticipation of a turnaround in the fundamentals of the private lender. The market expects a reduction in provisions, which, coupled with improved corporate governance, may lead to better margins and net income for the bank.

Avinash Gorakshkar, Head of Research at Profitmart Securities, pointed out that most Indian banks are grappling with challenges in their lending business due to the peak in the high-interest rate regime, and Yes Bank is no exception in this regard. It is expected to face challenges on the interest income front.

However, experts also note that Yes Bank may report a flattish or even declining net interest income due to increased funding costs in the recent quarter. Nevertheless, the bank is likely to report strong net profit growth in its Q2 earnings for the current financial year, primarily due to the lower base from the previous year.

Considering year-on-year comparisons, Yes Bank is expected to demonstrate significant net profit growth due to the substantially lower base from the previous year. This makes it interesting to see how the private lender has performed in terms of net profit compared to the previous quarter.

Please note that the views and recommendations mentioned are those of individual analysts or broking companies and do not represent the views of The Industrial Front. It is advisable for investors to consult certified experts before making investment decisions.