Financial Performance Overview

YES BANK reported unaudited standalone and consolidated financial results for Q2FY27 ended September 30, 2026. The Bank achieved significant milestones with Total Assets surpassing INR 5 lakh crore, Deposits crossing INR 3.5 lakh crore, and Advances exceeding INR 3 lakh crore.

Profit and Loss Statement

  • Net Profit: INR 1,080 crore, up 65.0% YoY (vs INR 654 crore in Q2FY26) and flat QoQ (up 0.8% from INR 1,071 crore in Q1FY27)
  • Operating Profit: INR 1,678 crore, up 29.4% YoY (vs INR 1,296 crore in Q2FY26) and down 1.5% QoQ
  • Net Interest Income (NII): INR 2,822 crore, up 22.7% YoY (vs INR 2,301 crore in Q2FY26) and up 1.3% QoQ
  • Non-Interest Income: INR 1,882 crore, up 14.4% YoY (vs INR 1,644 crore in Q2FY26) and up 4.7% QoQ
  • Core Fees: Grew 15.5% YoY to INR 1,726 crore
  • Net Interest Margin (NIM): 2.6% vs 2.5% in Q2FY26 and 2.7% in Q1FY27
  • Cost of Funds: 5.7% vs 6.0% in Q2FY26 and 5.7% in Q1FY27
  • Cost of Deposits: 5.5% vs 5.7% in Q2FY26 and 5.4% in Q1FY27
  • Cost-to-Income Ratio: 64.3% vs 67.1% in Q2FY26 and 62.8% in Q1FY27
  • Return on Assets (RoA): 0.9% vs 0.6% in Q2FY26 and 0.9% in Q1FY27
  • Return on Equity (RoE): 8.2% vs 5.4% in Q2FY26 and 8.3% in Q1FY27
  • Basic EPS: INR 0.34 vs INR 0.21 in Q2FY26 and INR 0.34 in Q1FY27

Balance Sheet Highlights

  • Total Assets: INR 513,770 crore, up 19.8% YoY and 11.2% QoQ
  • Advances: INR 309,510 crore, up 23.7% YoY and 8.6% QoQ
  • Normalized for Foreign Currency Term Loan (FCTL) related to FCNR(B), advances growth at 17.6% YoY and 3.2% QoQ
  • Q2FY27 disbursements (ex-FCTL) grew 50.1% YoY to INR 36,773 crore
  • Retail Assets disbursement grew 35.0% YoY
  • Commercial Banking Advances grew 20.2% YoY and 7.6% QoQ
  • Corporate & Institutional Banking Advances grew 31.4% YoY
  • Deposits: INR 354,004 crore, up 19.5% YoY and 12.2% QoQ
  • FCNR(B) mobilization during RBI concessional swap window aggregated INR 18,575 crore (~US$1.94 billion)
  • Retail & Branch-led Deposits at INR 207,985 crore, grew 20.9% YoY and comprised 58.8% of Total Deposits
  • CASA Deposits at INR 106,175 crore, grew 6.5% YoY
  • CASA Ratio: 30.0% vs 32.7% in Q1FY27 and 33.7% in Q2FY26
  • CASA Average Quarterly Balance (AQB) grew 15.5% YoY
  • Current Account AQB grew 21.8% YoY
  • Savings Account AQB grew 11.6% YoY and 2.1% QoQ
  • Credit-Deposit (C/D) Ratio: 87.4% vs 84.5% in Q2FY26 and 90.4% in Q1FY27
  • Normalized for FCTL, CD Ratio at 83.1%
  • Borrowings: INR 77,734 crore, up 25.5% YoY and 14.4% QoQ
  • Investments: INR 100,355 crore, up 20.6% YoY and 8.2% QoQ
  • Shareholders Funds: INR 53,268 crore, up 8.3% YoY and 1.8% QoQ
  • Total Capital Funds: INR 51,591 crore, up 7.6% YoY and 0.7% QoQ

Asset Quality

  • Gross NPA (GNPA) Ratio: 1.2%, down 40 bps YoY (from 1.6% in Q2FY26) and down 10 bps QoQ (from 1.3% in Q1FY27)
  • Net NPA (NNPA) Ratio: 0.2%, down 10 bps YoY (from 0.3% in Q2FY26) and stable QoQ
  • Provision Coverage Ratio (PCR): 80.5% vs 81.0% in Q2FY26 and 81.7% in Q1FY27
  • PCR including Technical Write-Offs: 92.7% vs 93.3% in Q1FY27 and 92.8% in Q2FY26
  • Net Credit Costs: ~0.3% of average assets (annualized) vs 0.4% in Q2FY26 and 0.3% in Q1FY27
  • Gross Slippages: INR 1,035 crore (1.3% of Advances) vs INR 1,248 crore (2.0%) in Q2FY26 and INR 964 crore (1.4%) in Q1FY27
  • Retail Banking Slippages: 2.7% of Retail Advances vs 4.0% in Q2FY26 and 2.7% in Q1FY27
  • Recoveries & Upgrades: INR 954 crore for Q2FY27, including P&L gain from Security Receipts of INR 395 crore
  • Standard Restructured Advances (Gross): INR 219 crore vs INR 229 crore in Q1FY27 and INR 271 crore in Q2FY26

Capital Adequacy

  • CET I Ratio: 13.7% vs 13.9% in Q2FY26 and 14.0% in Q1FY27
  • CRAR: 14.5% vs 15.6% in Q2FY26 and 15.1% in Q1FY27
  • RWA to Total Assets: 69.1% vs 71.7% in Q2FY26 and 73.2% in Q1FY27
  • Average Quarterly LCR: 131.4% vs 125.1% in Q2FY26 and 138.2% in Q1FY27

Supreme Court Judgment on AT-1 Bonds

The Hon'ble Supreme Court upheld the Bombay High Court judgment relating to the write-down of the Bank's Additional Tier 1 Bonds aggregating INR 8,415 crore and dismissed appeals filed in the matter. The Bank is evaluating consequential actions, implementation requirements, financial and regulatory implications, and available legal remedies. No impact has been recognized in Q2FY27 financial results pending completion of assessment.

Pro forma financial parameters assuming estimated financial impact as at September 30, 2026:

  • Net Profit: INR (5,217) crore vs reported INR 1,080 crore
  • CET-1 %: 11.4% vs reported 13.7%
  • RoA: -4.3% vs reported 0.9%

Credit Rating Upgrades

  • CRISIL upgraded long-term ratings to 'CRISIL AA+ (Stable)' from 'CRISIL AA- (Stable)'
  • India Ratings upgraded long-term ratings to 'IND AA+ (Stable)' from 'IND AA- (Stable)'
  • Other ratings: CARE AA+ (Stable), ICRA AA (Stable), Moody's Ba1 (Stable), S&P Global BB+ (Stable)

Business Segment Performance

Retail Banking:

  • Retail Advances: INR 131,252 crore, up 8.7% YoY and 3.2% QoQ
  • Retail CASA Accounts opened: 2.35 lakh in Q2FY27
  • Network: 1,336 branches and 249 BCBO outlets

Commercial Banking:

  • Advances: INR 75,043 crore, up 20.2% YoY and 7.6% QoQ

Corporate & Institutional Banking:

  • Advances: INR 88,000 crore, up 31.4% YoY

Other Highlights

  • PSL shortfall Deposits at INR 25,844 crore, lower 23.0% YoY and 5.8% QoQ, accounting for 5.0% of Total Assets
  • Awarded at Asian Banking and Finance Wholesale Banking Awards 2026 for Indian Domestic Project Finance Bank of the Year and Indian Domestic Green Financing Bank of the Year
  • Recognized among India's Best Companies to Work For 2026 (Rank #75) and India's Best Workplaces in Banking 2026
  • Won Pitch Finovate Award for 'Most Effective SEO-Driven, Programmatic Marketing'
  • Awarded Silver for 'Best Use of Generative AI in Creative Production' at e4m Indian Digital Marketing Awards 2026

Management Commentary

Mr. Vinay M. Tonse, Managing Director & CEO, stated: "YES BANK delivered another quarter of steady performance, with Net Profit growing 65% year-on-year to INR 1,080 Crs, supported by healthy growth in core operating income and continued improvement in asset quality. We respect the judgment of the Hon'ble Supreme Court relating to the Bank's Additional Tier 1 Bonds. We are examining it in detail and will take appropriate steps in accordance with the applicable legal and regulatory requirements. The Bank remains firmly focused on sustaining the strength and growth of its franchise."

Investor Conference Call

The Bank's analyst conference call is scheduled on October 19, 2026 at 8:00 AM IST.