Yes Bank on Wednesday announced a 33 per cent rise in June quarter net profit at Rs 732 crore on higher non-interest income, even as bad loans spiked, and announced that it will enter asset management business early next fiscal.
like peers HDFC Bank and Axis Bank, the mid-sized private lender of late has started feeling the heat on the asset quality front, with its gross non-performing assets jumping to 0.79 per cent, from 0.46 per cent.
Accordingly, its provisions more than doubled to Rs 206 crore, but CEO and MD Rana Kapoor said a bulk of it was due to loanbook growth. Its slippages rose Rs 300 crore during the quarter and came from iron and steel, electricity and engineering, procurement and construction space.