Shares of Yes Bank increased as the market anticipated higher margins and YoY profit in the Q2 preview

 Shares of Yes Bank increased as the market anticipated higher margins and YoY profit in the Q2 preview

Yes Bank Q2 preview: Yes Bank Ltd. is one of the 21 listed firms releasing Q2 earnings today. In order to review and approve the unaudited financial statements for the second quarter of the current fiscal year and the half year ending September 2023, the private lender has notified the Indian stock market bourses that a meeting of its board of directors would be held on October 21, 2023.

Yes Bank announced the board meeting to the Indian stock market stating, "Notice is hereby given that a meeting of the organization's Board of Directors of YES Bank Limited (the" the bank ") will be organized on Saturday, October 21, 2023, at Mumbai, among other things, to consider and approve, the Unaudited Standalone and The group Financial Results of the Bank for the Quarter (Q2) and the twelve months ended September 30, 2023."

Shares of Yes Bank increase before Q2 earnings in 2023

Bulls were seen exhibiting purchasing interest in Yes Bank shares during Friday transactions, despite the fact that Yes Bank results for Q2FY24 are due today and there would be no trading at the Indian stock market today. The Yes Bank share price increased by almost 4.5 percent from its Thursday closing price of 17.05 per share to an intraday high of 17.85 per share on the NSE on Friday. However, Yes Bank shares ultimately closed at 17.35 levels, up around 2% from Thursday's finish.

Today's Yes Bank Q2 results are anticipated.

The market is anticipating improved Q2 profits from the private lender, according to stock market analysts, which is why Yes Bank shares increased on Friday. They claimed that since provisioning had been reduced, Yes Bannk would report increased profitability. They said that the bank's net income is also anticipated to increase in the quarter between July and September. However, they said that since India's high interest rate regime has peaked, the majority of Indian banks are having trouble earning interest revenue, and Yes Bank won't be an exception.

Arun Kejriwal, the founder of Kejriwal Research and Investment Services, commented on the market expectations for Yes Bank Q2 results today. He stated, "In Q2 rsults today, market is anticipating reversal in fundamentals of the private lender. After the private lender's corporate governance improves, the market anticipates a decrease in provisioning, which might enhance bank margins and net income.

A challenge is anticipated for its loan operations, The high interest rate regime has peaked, according to Avinash Gorakshkar, Head of Research at Profitmart Securities, and as a result, the majority of Indian banks are having difficulties with their lending operations. Yes Bank is not an exception, and the market anticipates challenges for the private lender in the area of interest income.

According to a Profitmart Securities analyst, Yes Bank's net interest income might either show flat growth or a drop given the recent increase in financing costs. However, he insisted that Yes Bank will be able to record high rise in net profit in its Q2 results for the current financial year because of the low base of the previous year.

"Yes Bank is anticipated to post high rise in net profit on a year-over-year (YoY) basis since the base was considerably lower last year. Therefore, it would be fascinating to examine how the private lender did in terms of net profit compared to the prior quarter.