Yes Bank reported a standalone net profit of ₹1,080 crore for the quarter ended September 30, 2026 (Q2FY27), marking a 65% year-on-year increase from ₹654.47 crore in the corresponding period last year. The bank’s operating performance showed robust growth, with total income rising to ₹1,052.14 crore and net interest income expanding significantly.

Despite the operational gains, the financial results carry a significant caveat. The joint statutory auditors, C N K & Associates LLP and M S K A & Associates LLP, issued a modified review report. This qualification stems from the Supreme Court of India’s judgment dated October 15, 2026, which upheld the Bombay High Court’s order regarding the write-down of Additional Tier-1 (AT-1) bonds amounting to ₹8,415 crore. The bank has not recognized the potential financial impact of this judgment in the current books, stating it is evaluating consequential implications and legal remedies.

Operational Performance Highlights

The bank demonstrated strong momentum in its core banking operations. Interest earned grew to ₹863.98 crore in Q2FY27, up from ₹737.88 crore in Q2FY26. This was driven by a substantial increase in interest on advances, which rose to ₹659.99 crore from ₹563.29 crore in the same period last year. Other income also contributed positively, standing at ₹188.16 crore compared to ₹164.43 crore a year ago.

Operating profit before provisions and contingencies increased to ₹167.78 crore, reflecting improved asset yields and cost management. Provisions for non-performing assets were controlled at ₹31.74 crore for the quarter, down from ₹41.89 crore in Q2FY25, aiding the bottom-line expansion.

Asset Quality and Capital Position

Asset quality metrics remained stable, with Gross Non-Performing Assets (GNPA) at 1.2% and Net Non-Performing Assets (NNPA) at 0.2% as of September 30, 2026. These figures show improvement from 1.6% and 0.3% respectively in Q2FY26. The bank’s Capital Adequacy Ratio (Basel III) stood at 14.5%, slightly lower than the 15.0% recorded in the previous year but within regulatory requirements.

What the Numbers Show

A critical divergence exists between the reported profitability and the proforma impact of the AT-1 bond judgment. While the bank reported a net profit of ₹1,080 crore, the proforma table disclosed in Note 9 indicates that if the estimated impact of the Supreme Court judgment had been recognized, the net profit would have swung to a loss of ₹5,217 crore for the quarter. Similarly, the Return on Assets (RoA) would have contracted from a positive 0.9% to a negative 4.3%. This highlights that the current reported earnings do not reflect the potential liability arising from the legal dispute over the ₹8,415 crore bond write-down, which remains a material uncertainty for the bank’s balance sheet.

Source: https://lodr-files.dhan.co/lodr-inputs/Company/INE528G01035/d28f803c-e12d-4b1b-948a-273c0c9ec251.pdf

Yes Bank has appointed Paul Verghese Parambi as an additional independent director. The appointment is effective from November 6, 2026, for a four-year term ending November 5, 2030.

The board approved the appointment on October 17, 2026, based on the recommendation of the Nomination & Remuneration Committee. The move is subject to shareholder approval. Parambi brings over 36 years of experience in financial services, banking strategy, and risk management.

Professional background and expertise

Parambi served as Group President and Group Chief Risk Officer at Kotak Mahindra Group. In this role, he oversaw risk management for Kotak Mahindra Bank and its group companies. Prior to this, he was President of Consumer & Commercial Bank (Credit) and Head of Group Strategy for Kotak Group.

He played a key role in charting strategic direction and evaluating investments for the bank and group. Earlier, he headed International Business for Kotak Group from 1995 to 2012, contributing to its expansion. He joined Kotak in 1991 and began his career at Hindustan Unilever Limited in 1989.

Parambi is a graduate of IIM Ahmedabad and IIT Madras. He also serves as a trustee of the Kotak Education Foundation.

Disclosure details

The appointment complies with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company confirmed that Parambi is not debarred from holding office by SEBI or any statutory authority.

The board meeting commenced at 10:00 am and concluded at 7:30 pm IST. The disclosure was filed with BSE and NSE as per regulatory requirements.