Yes Bank has released its provisional business update for the quarter ended September 30, 2026, showing significant momentum with gross loans rising 23.8% YoY to Rs 309,675 crore and total deposits climbing 19.5% to Rs 354,084 crore. While overall growth remains strong, the bank highlighted a dip in its CASA ratio to 30%, prompting investors to look closely at the normalized metrics and margin impact in the upcoming full financial results.
Yes Bank Q2 Business Update: Loans Jump 23.8% YoY to Rs 309,675 Crore
Loans hit Rs 309,675 crore; Total Deposits reach Rs 354,084 crore.
Reader Takeaway: Robust asset and deposit growth signals operational scale, while CASA compression remains a key monitoring point for margins.
What just happened
Yes Bank has shared its provisional figures for the quarter ended September 30, 2026. The bank reported a gross loan book of Rs 309,675 crore, marking a robust 23.8% YoY increase and an 8.6% sequential jump. Deposits showed similar strength, totaling Rs 354,084 crore, up 19.5% from the year-ago period and 12.3% quarter-on-quarter.
Why this matters
These figures serve as a crucial forward-looking indicator for the bank's upcoming financial results. The management provided both reported and normalized figures to account for volatility from specific RBI-facility-related adjustments, particularly regarding its GIFT City branch. Shareholders should pay close attention to the normalized CASA ratio of 31.7% and the Credit-to-Deposit ratio of 83.2%, which offer a clearer picture of the bank's underlying cost of funds compared to the headline reported ratios.
Risks to watch
The reported CASA ratio has seen a compression to 30.0%, down from 33.7% in the same quarter last year. This trend indicates a shift in deposit mix that may pressure net interest margins. Investors should monitor how the management balances these liquidity ratios while maintaining the current credit growth momentum.
What to track next
The bank's upcoming quarterly results will be the primary focus for analysts to see how this growth in business volumes translates into the bottom-line profitability and the evolution of the bank's margin profile following the normalized adjustments.