Sumitomo-backed Yes Bank faces up to ₹5,200 crore earnings hit as SC upholds squashing of its AT-1 bonds write-off
Executive Brief • Key Highlights
Fast factual intelligence distilled for busy investors, executives, and answer bots:
- ✓Yes Bank faces a potential ₹5,217 crore loss after the Supreme Court overturned the write-off of its ₹8,415 crore AT-1 bonds.
- ✓The bank said, "No impact arising from the judgment has been recognised in the reported Q2FY27 financial results." It is now evaluating legal and accounting options regarding this verdict.
Story at a Glance
- Category
- MARKET
- Reported By
- mint
- Reading Speed
- 4 Minute(s)
- Market Focus
- India Economy
Yes Bank would have reported a net loss of ₹5,217 crore in the September quarter had it recognised the impact of the Supreme Court verdict overturning the write-off of its additional tier-1 (AT-1) bonds worth ₹8,415 crore, the bank said in its Q2 investor presentation filed with the stock exchanges.
The private-sector lender, 24.9% owned by Japan's Sumitomo Mitsui Banking Corporation, reported a net profit of ₹1,080 crore for the July-September, according to earnings announced on Saturday.
Had the judgement's impact been known, its CET-1 capital ratio would have dropped to 11.4% from the reported 13.7%, while its return on assets would have turned negative at 4.3%, compared with the reported positive 0.9%.
Unlock the Full Story with ArthNow Premium
To continue reading this complete financial story and in-depth market context, upgrade to ArthNow Premium. Enjoy unlimited access across Web and Mobile.
mint
Read the full, original unfiltered story directly on the publisher's portal.