YES Bank Profit Climbs, but AT1 Ruling Implies Pro-Forma Loss
YES Bank reported a 65% rise in quarterly profit, while its estimate of the bond ruling’s impact points to a post-tax loss.
Key takeaways
- YES Bank’s second-quarter net profit rose 65% to 1,080 crore.
- The bank’s pro-forma calculation shows a 5,217-crore post-tax loss after the AT1 bond judgment.
YES Bank’s net profit rose 65% to 1,080 crore in the second quarter ended September. But the bank’s pro-forma calculation shows a post-tax loss of 5,217 crore if the estimated impact of an 8,415-crore Additional Tier-1 bond judgment is included.
The Supreme Court on October 15 upheld a ruling setting aside YES Bank’s 2020 decision to write down the bonds. The bank said it is assessing the financial and accounting impact, along with possible legal remedies.
The reported results do not include the judgment’s financial impact, the auditors said. In the pro-forma figures, YES Bank’s net worth falls to 46,970 crore from 53,268 crore, while borrowings rise to 86,149 crore from 77,734 crore.
This article was produced with the help of AI technology. Based on reporting by the outlets listed above.
