Yes Bank in black with Rs 14 cr net

Yes Bank has registered a 26.79 per cent hike in its net profit in July-September. The net profit for the quarter was Rs 14.25 crore against Rs 11.30 crore in April-June 2005.

The bank's net profit for the first half of 2005-06 was Rs 25.5 crore. The quarter-on-quarter (sequential) increase in the new private sector bank's total income was 29 per cent at Rs 41.87 crore against Rs 32.4 crore in the preceding quarter. The bank's results cannot be compared year on year as it began banking operations in November 2004.

The total expenditure surged 134 per cent to Rs 36.34 crore in the second quarter of 2005-06 from Rs 15.5 crore in the previous quarter.
 

SAFE AND SOUND
(In Rs cr)	2005-06
	Q2	H1
Interest earned	36.94	65.93
Other income	21.88	40.90
Total income	58.82	106.83
Total expenditure	36.34	67.47
Net profit	14.25	25.50

Yes Bank's capital adequacy ratio increased to 26.79 per cent from 10.07 per cent following its Rs 315 crore initial public offer.

Yes Bank's treasury operations contributed Rs 20.50 crore of revenues and its other banking operations Rs 42.87 crore during the second quarter. "Retail banking is at an extremely critical phase of organisational development as we work towards a meaningful launch shortly," said Rana Kapoor, managing director and CEO.

The greenfield bank will soon start offering loans against shares, personal loans and mortgage loans. Initially, the bank plans to launch a floating rate product for home loans.

The bank is undertaking significant investments towards retail banking branch expansion. The board of directors of Yes Bank, that met today, has approved the proposal of increasing the shareholding limit of foreign financial institutions (FIIs) to 49 per cent from 24 per cent and that of non-resident Indians (NRIs) to 24 per cent from 10 per cent.

In a statement to Bombay Stock Exchange (BSE), the bank said the proposal was a subject to approval by shareholders of the company at its general meeting.

The date of the meeting is not mentioned in the company's notification to BSE. On the BSE, Yes Bank closed weaker today at Rs 68.05 against Rs 69.10 on Friday.