Yes Bank in the black, posts Rs 14.5 cr profit

Yes Bank today reported a net profit of Rs 14.50 crore in the October-December quarter of 2005. In the corresponding period of the previous fiscal, the bank has posted a net loss of Rs 0.32 crore.

The quarter-on-quarter increase in the new private sector bank's total income rose by 436 per cent to Rs 81.74 crore from Rs 15.24 crore in the comparable period.

Total expenditure surged by 353 per cent to Rs 24.96 crore in the third quarter of 2005-06 from Rs 7.79 crore in the comparable quarter. As on December 31, 2005, the bank's capital adequacy ratio stood at 16.22 per cent following its Rs 315 crore initial public offer.

Announcing the results, managing director and CEO Rana Kapoor said, "We have continued to build the balance sheet through sustainable revenue streams. Significant investments are being made towards branch expansion and retail banking roll out." The bank aims to close the fiscal year with Rs 4,000 crore of total assets. 
 

HOT NUMBERS
(Rs crore)	Quarter ended Dec, 31
	2004	2005
Interest earned	7.45	56.78
Other income	7.79	24.96
Total income	15.24	81.74
Interest expenses	2.90	29.85
Operating expenses	9.35	25.73
Total expenses	12.25	55.58
Operating profit	2.99	26.16
Provision for taxe	1.17	7.38
Net profit	-0.33	14.50
CAR (%)	28.18	16.22

Currently the bank is mainly focusing on its corporate and SME clients. On the retail side, the bank has been distributing insurance, mutual funds and some liability products.

The bank plans to selectively launch some asset products, Kapoor added. The bank has seven branches but plans to expand the network substantially.