Yes Bank Ltd — Q4 FY26 earnings call
Summary generated by AI from the official transcript Yes Bank Ltd filed with BSE on 24 Apr 2026. Every statement cites a verbatim quote from that document — open any citation to read it. This is a record of what management said, not a recommendation. How we check these summaries
The short read
YES Bank reported full-year FY26 net profit of Rs 3,476 crores, up 44.5% over FY25, with Q4FY26 net profit of Rs 1,068 crores, up approximately 44.7% year-on-year. The bank achieved a 1% return on assets for the quarter, improved net interest margin to 2.7% in Q4, and reported gross NPA and net NPA ratios of 1.3% and 0.2% respectively, the lowest in 24 quarters. Advances grew 11.1% year-on-year to Rs 2.73 lakh crores while total deposits crossed Rs 3 lakh crores, growing 12.1% year-on-year.
Numbers mentioned
Net Profit: INR 3,476 crores (FY26)
p. 5
“For the full year FY26, Net Profit stood at INR 3,476 crores, up 44.5% over FY25,Net Profit of INR 2,406 crores, supported by continued improvement in our operating performance.”
Vinay M. Tonse, page 5 of the filed PDF · View the filing
Net Profit: INR 1,068 crores (Q4FY26)
p. 5
“For Q4FY26, the Bank reported a Net Profit of INR 1,068 crores, reflecting a strong growth of approximately 44.7% over the Net Profit of INR 738 crores in the corresponding quarter of the previous year.”
Vinay M. Tonse, page 5 of the filed PDF · View the filing
Return on Assets: 1% (Q4FY26)
p. 5
“In line with our guidance, Bank reported an ROA for the quarter of 1%.”
Vinay M. Tonse, page 5 of the filed PDF · View the filing
Net Interest Income: INR 2,638 crores (Q4FY26)
p. 5
“NII for the quarter was INR 2,638 crores, which was up 15.9% Y-o-Y.”
Vinay M. Tonse, page 5 of the filed PDF · View the filing
Net Interest Margin: 2.7% (Q4FY26)
p. 5
“our NIM saw an improvement of 10 basis points quarter-on-quarter and 20 basis points year-on-year and came in at a number of 2.7%.”
Vinay M. Tonse, page 5 of the filed PDF · View the filing
Net Interest Margin: 2.6% (FY26)
p. 5
“Even for the full year, the NIM at 2.6% improved 20 basis points vis-a-vis FY25 and in line with our guidance given in Q4 of FY25.”
Vinay M. Tonse, page 5 of the filed PDF · View the filing
Net Interest Income: INR 9,776 crores (FY26)
p. 5
“Net Interest Income for FY26 at INR 9,776 crores grew 9.3% year-on-year.”
Vinay M. Tonse, page 5 of the filed PDF · View the filing
Non-interest Income: INR 6,759 crores (FY26)
p. 5
“Non-interest Income for the FY26 at INR 6,759 crores grew 15.4% year-on-year, driven by healthy traction in Retail fees, SME and Commercial Banking fees and also on the back of strong Transaction Banking performance.”
Vinay M. Tonse, page 5 of the filed PDF · View the filing
Cost-to-Income Ratio: 66.7% (FY26)
p. 5
“Cost-to-Income Ratio for FY26 also saw a big improvement to 66.7% versus 71.3% in FY25.”
Vinay M. Tonse, page 5 of the filed PDF · View the filing
Cost-to-Income Ratio: 63% (Q4FY26)
p. 5
“The exit for the financial year came in even lower with the Cost-to-Income Ratio coming at 63% vis-a-vis 66.1% Q3 FY26 and 67.3% the same quarter last year.”
Vinay M. Tonse, page 5 of the filed PDF · View the filing
Pre-Provisioning Operating Profit: INR 5,506 crores (FY26)
p. 6
“For FY26, the Bank had a Pre-Provisioning Operating Profit (PPOP) of INR 5,506 crores, which grew 29.4% year-on-year.”
Vinay M. Tonse, page 6 of the filed PDF · View the filing
Pre-Provisioning Operating Profit: INR 1,618 crores (Q4FY26)
p. 6
“The PPOP for the quarter was INR 1,618 crores, up 23.1% year-on-year, supported by income growth outpacing expenses growth, reflecting sustained expansion in our operating jaws.”
Vinay M. Tonse, page 6 of the filed PDF · View the filing
Gross NPA ratio: 1.3% (as at 31 March 2026)
p. 6
“As at 31st March '26, the Bank reported Gross NPA and Net NPA ratio of 1.3% and 0.2%, respectively, the lowest ever that we have seen in the last 24 quarters and amongst the top quartile in our peer set.”
Vinay M. Tonse, page 6 of the filed PDF · View the filing
Provision Coverage Ratio: 81.9% (Q4FY26)
p. 6
“Further, the Provision Coverage Ratio (PCR) continues to remain healthy at 81.9%.”
Vinay M. Tonse, page 6 of the filed PDF · View the filing
Recoveries and Upgrades: INR 4,795 crores (FY26)
p. 6
“The Bank had total Recoveries and Upgrades of INR 4,795 crores in FY26, which included recoveries from Security Receipts (SRs) of a little more than INR 1,550 crores against our guidance of INR 1,200 crores.”
Vinay M. Tonse, page 6 of the filed PDF · View the filing
Gross slippage ratio: 1.8% (FY26)
p. 6
“Gross slippage ratio in FY26 has improved to 1.8% versus 2.1% last year.”
Vinay M. Tonse, page 6 of the filed PDF · View the filing
Retail slippage: INR 888 crores (Q4FY26)
p. 6
“Retail slippage for Q4FY26 at INR 888 crores is at its lowest in the past 9 quarters, with improvements visible across both secured and unsecured products.”
Vinay M. Tonse, page 6 of the filed PDF · View the filing
Credit Cost: 0.2% (FY26)
p. 6
“Overall Credit Costs remained low at 0.2% for the full year FY26 versus 0.3% last year.”
Vinay M. Tonse, page 6 of the filed PDF · View the filing
Total Advances: INR 2.73 lakh crores (FY26)
p. 6
“Total Advances registered a growth of 11.1% year-on-year to INR 2.73 lakh crores.”
Vinay M. Tonse, page 6 of the filed PDF · View the filing
Total Deposits: INR 3.18 lakh crores (FY26)
p. 7
“Total Deposits increased 12.1% year-on-year to INR 3.18 lakh crores with a strong contribution from Retail and Branch-led Deposits, which grew 13.5% year-on-year and comprised 58.4% of the Total Deposits.”
Vinay M. Tonse, page 7 of the filed PDF · View the filing
CASA balances: INR 1.12 lakh crores (FY26)
p. 7
“CASA balances grew 14.9% year-on-year to INR 1.12 lakh crores.”
Vinay M. Tonse, page 7 of the filed PDF · View the filing
CASA ratio: 35.1% (Q4FY26)
p. 7
“And the CASA ratio also improved 80 basis points year-on-year and 110 basis points Q-o-Q to 35.1%”
Vinay M. Tonse, page 7 of the filed PDF · View the filing
Credit-to-Deposit ratio: 85.7% (Q4FY26)
p. 7
“Our Credit-to-Deposit (CD) ratio, improved to 85.7% from 88% in Q3FY26 and 86.5% in Q4FY25.”
Vinay M. Tonse, page 7 of the filed PDF · View the filing
RIDF and mandated deposits: approximately 6% of Total Assets (FY26)
p. 5
“which resulted in notable reduction of RIDF and other mandated Deposits to approximately 6% of Total Assets vis-a-vis 9% as at the end of FY25.”
Vinay M. Tonse, page 5 of the filed PDF · View the filing
Yield on Advances: 9.2% (exit March)
p. 14
“So, for yield on advances that we've had as we look to exit March, that has been about 9.2%.”
Niranjan Banodkar, page 14 of the filed PDF · View the filing
What management said it would do
A record of statements made on the call, in the words management used. Parakho does not forecast, endorse or assess them, and their presence here is not a view on whether they will happen.
RIDF and mandated deposits — below 5% of Total Assets · by fiscal '27
stated firmly by Vinay M. Tonse
p. 5
“Going forward, the Bank remains well on track to reduce these Deposit balances to below 5% by fiscal '27, which will aid our margins and Profitability.”
Vinay M. Tonse, page 5 of the filed PDF · View the filing
Recoveries from Security Receipts — INR 800 crores to INR 1,000 crores · FY27
stated conditionally by Vinay M. Tonse
p. 6
“In line with the rundown in the face value of the Security Receipts, we expect recoveries to the tune of INR 800 crores to INR 1,000 crores from SRs in FY27.”
Vinay M. Tonse, page 6 of the filed PDF · View the filing
Advances growth — 14% to 15% range · FY27
stated as an aspiration by Niranjan Banodkar
p. 9
“So, net-net, we put all of this together, we should certainly aim to grow in line with the industry, if not more, and that ball broadly anchors around the 14% to 15% range.”
Niranjan Banodkar, page 9 of the filed PDF · View the filing
RIDF rundown — INR 6,500 crores to INR 9,000 crores · by end of March 2027
stated conditionally by Niranjan Banodkar
p. 9
“We think that next year, at a minimum, the reduction should be about INR 6,500 crores. That could also go as high as INR 9,000 crores by the end of March '27.”
Niranjan Banodkar, page 9 of the filed PDF · View the filing
Retail Book growth — 10% to 11% · FY27
stated as an aspiration by Niranjan Banodkar
p. 9
“But what we are aiming to grow the Retail Book next year is actually should hit the double-digit growth. So, let's say, about 10% to 11% is what we do believe it should deliver.”
Niranjan Banodkar, page 9 of the filed PDF · View the filing
Loan book growth — 13% to 15% range
stated as an aspiration by Niranjan Banodkar
p. 14
“We've said that we will want to have a growth rate in line with the industry, if not be better. And that -- our expectation is that should be in the 13% to 15% range.”
Niranjan Banodkar, page 14 of the filed PDF · View the filing
Core ROA improvement — 25, 30 basis points · next year or two
stated as an aspiration by Niranjan Banodkar
p. 12
“our objective internally is really to drive 25, 30 basis points of improvement from our core construct, right, where we get the margins higher, get our cost structure higher, get our fees higher.”
Niranjan Banodkar, page 12 of the filed PDF · View the filing
Return on Assets — improvement of 25 to 50 basis points outside JC Flowers write-backs · next 2 to 3 years
stated as an aspiration by Niranjan Banodkar
p. 15
“what we have very emphatically worked upon internally is to say, internal, outside of the JC Flowers ARC write-backs, we will look to improve our ROA 25 to 50 basis points.”
Niranjan Banodkar, page 15 of the filed PDF · View the filing
Net Interest Margin — 3.25% to 3.5% · 2 to 3 year period
stated as an aspiration by Niranjan Banodkar
p. 15
“We've said that structurally over a 3-year period, let's say, now about 2 to 3 year period, we do believe that we will want to get into a 3.25% to 3.5% kind of a range from a margin perspective.”
Niranjan Banodkar, page 15 of the filed PDF · View the filing
Branch expansion — around 400 branches, average 80 branches per annum · next 4 to 5 years
stated firmly by Rajan Pental
p. 13
“For your question, so we had laid out a guidance for the next 4 to 5 years with a plan of around 400 branches with an average of around 80 branches per annum, and we are on course of that.”
Rajan Pental, page 13 of the filed PDF · View the filing
Q&A highlights
Management's answers to analyst questions, in Parakho's words rather than a transcript. Each row names who answered and carries the verbatim quote it was drawn from.
Management said momentum is accelerating and growth should be in line with or better than the industry, anchored around 14-15%.
Answered by Niranjan Banodkar
Asked by Jayant Kharote: How is the bank looking at growth for the next year and can it start with 15% plus growth?
p. 9
“We do believe that momentum should certainly continue and not just in certain products or segments.”
Niranjan Banodkar, page 9 of the filed PDF · View the filing
Management said there was some impact in the HTM book and AFS reserve but no material effect on CET-1 or profitability.
Answered by Niranjan Banodkar
Asked by Jai Mundhra: Was there any MTM loss on the investment book from the G-Sec yield spike during the quarter?
p. 10
“There has been some P&L movement through the AFS reserve, but that's already fully baked into our CET-1 computation for December.”
Niranjan Banodkar, page 10 of the filed PDF · View the filing
Management clarified the provisioning was a prudent, proactive policy choice and not related to any credit issue.
Answered by Niranjan Banodkar
Asked by Jai Mundhra: Can you elaborate on the INR 340 crores onetime standard assets provisioning?
p. 11
“I want to be emphatically clear here that the provisioning that we have done on certain, let's say, product or segments in no way reflect an underlying credit issue or an impairment or our view about that sector.”
Niranjan Banodkar, page 11 of the filed PDF · View the filing
Management said they refrain from near-term guidance but see margins reaching 3.25-3.5% over 2-3 years.
Answered by Niranjan Banodkar
Asked by Rama Subba Reddy: Can NIM cross 3% next year given RIDF reduction?
p. 15
“So, on that, sir, we usually refrain from giving the near-term guidance.”
Niranjan Banodkar, page 15 of the filed PDF · View the filing
Management said the matter is subjudice and reserved for judgment at the Supreme Court, and they will update stakeholders once the outcome is known.
Answered by Niranjan Banodkar
Asked by Amit Varma: What is the update on the AT1 bonds case and its potential balance sheet impact?
p. 16
“So, on the AT1 matter, this matter is subjudice, as you all know. The hearings have taken place at the Supreme Court, and the matter is also reserved for judgment.”
Niranjan Banodkar, page 16 of the filed PDF · View the filing
Management said clients have not shown signs of stress but the portfolio is being monitored closely.
Answered by Manish Jain
Asked by Shreyanth: What is the impact of the West Asia war on the MSME segment?
p. 16
“It's good to report that all our clients, whether it's an MSME or larger clients have been managing well. They have not shown any signs of stress.”
Manish Jain, page 16 of the filed PDF · View the filing
Risks flagged
Global geopolitical conflicts and AI-driven changes impacting growth, supply chains, energy and freight costs, inflation and interest rates
p. 4
“We are closely observing the fast-evolving global environment, including the AI landscape and the geopolitical conflicts impacting global growth, supply chains, energy and freight costs and also the inflation and interest rate trajectories.”
Vinay M. Tonse, page 4 of the filed PDF · View the filing
AT1 bonds litigation pending Supreme Court judgment with uncertain balance sheet impact
p. 16
“We will wait to hear from the Supreme Court -- Honorable Supreme Court on the verdict.”
Niranjan Banodkar, page 16 of the filed PDF · View the filing
West Asia war potentially affecting inflation with second order impact on MSME clients
p. 16
“But this is a space that we will continue to watch because it will have an impact on the inflation and there can be second order impact.”
Manish Jain, page 16 of the filed PDF · View the filing
Rising G-Sec yields affecting the SLR maintenance book held in HTM
p. 10
“However, yes, we do acknowledge that the yields did go up and that has had a bearing on our, let's say, the minimum SLR maintenance book, which is largely parked in the HTM.”
Niranjan Banodkar, page 10 of the filed PDF · View the filing
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