Latest news with #SumitomoMitsuiBankingCorporation
Mint
22-07-2025
- Business
- Mint
Japan bonds drift higher as traders assess fiscal fallout from ruling coalition's election defeat
Japanese government bonds drifted higher on Tuesday as investors returning from a long holiday weekend assessed the fiscal implications of the ruling coalition's recent election defeat. Benchmark 10-year JGB futures added 0.2 yen to 138.55 by 0350 GMT, after flipping between gains and losses earlier in the session. Cash 10-year JGBs edged up, sending yields down 1 basis point to 1.51%, after starting the day with small losses. Japan's ruling coalition lost control of the upper house in Sunday's election, a widely anticipated setback that further eroded the authority of Prime Minister Shigeru Ishiba, who lost his majority in the more powerful lower house in October. While the ballot does not directly decide the fate of Ishiba's administration, and the embattled leader has vowed to stay on for now, it could lead to policy paralysis or a bigger fiscal deficit, with leading opposition parties calling for debt-funded consumption tax cuts to ease the burden of rising living costs. Ishiba has rejected calls for tax cuts in favour of cash handouts, paid using tax revenues, and Finance Minister Katsunobu Kato reiterated on Tuesday the government's stance that sales tax cuts are not appropriate. Japan has the largest debt burden in the developed world at about 250% of its gross domestic product. "The election defeat shows that the consensus among voters is 'no' to cash handouts, meaning that the consumption tax cuts advocated by opposition parties are looking more likely to be realised, although the scale and duration would still need to be determined," said Daisuke Uno, chief strategist at Sumitomo Mitsui Banking Corporation. "The political situation remains fluid." The 10-year JGB yield rose to the highest since October 2008 at 1.595% last Tuesday after opinion polls increasingly pointed to opposition gains. The 30-year yield shot to an all-time peak of 3.2%, and the 20-year yield leapt to the highest since November 1999 at 2.65%. In the latest session, the 20-year yield added 1 bp to 2.535%. The 30-year and 40-year bonds had yet to trade on the day, ahead of an auction of 40-year securities on Wednesday. The two-year JGB yield declined 1 bp to 0.755%, and the five-year yield slipped 1.5 bps to 1.025%. Japanese yields were also helped lower by big drops in European and U.S. bond yields on Monday.
Mint
19-07-2025
- Business
- Mint
Yes Bank Q1 Results: Net profit rises 59% YoY to ₹801 crore
Yes Bank Q1 Results: Yes Bank announced on Saturday that its standalone net profit for Q1FY26 surged by 59% year-on-year, reaching ₹ 801 crore compared to ₹ 502 crore in the same quarter last year. The profit after tax (PAT) increased by over 8% on a sequential basis, up from ₹ 738 crore in the January-March quarter of FY25. In the June quarter, the private bank generated an interest income of ₹ 7,596 crore, down 1.6% from ₹ 7,719 crore recorded in the corresponding quarter of the previous financial year. Net interest income, which represents the difference between interest earned and interest paid, increased by only 5.7% to ₹ 2,371 crore for the June quarter, benefiting from a decrease in the Cost of Funds. Meanwhile, non-interest income rose by 10.9% to ₹ 1,739 crore. Yes Bank disbursed ₹ 5,224.41 crore in interest during the reported quarter, compared to ₹ 5,475 crore in the same period last year, reflecting a decrease of 4.6%. For Q1FY26, the net interest margin (NIM) was recorded at 2.5%, showing a year-on-year increase, aided by a reduction in deposits due to PSL shortfall and a decrease in SA rates, though this was somewhat countered by the impact of repricing, according to the private bank's filing with the exchange. The operating profit increased by 53.4% compared to the previous year, reaching ₹ 1,358 crore, whereas non-tax provisions rose by 34.1% to ₹ 284 crore. The cost-to-income ratio showed improvement at 67.1%, a decrease from 74.3% over the past year. The quality of assets remained constant, with gross non-performing assets (GNPA) at 1.6% and net NPA standing at 0.3%. The provision coverage ratio (PCR) saw an increase to 80.2 percent. For the June quarter, the bank recorded total recoveries and upgrades amounting to ₹ 1,170 crore, including ₹ 338 crore from security receipts. However, slippages rose to ₹ 1,458 crore, up from ₹ 1,223 crore in the previous quarter. Advances increased by 5% year-on-year to ₹ 2.41 lakh crore, propelled by a 19% rise in commercial banking and an 11.2% increase in the micro banking sector. Retail advances saw minimal growth, rising by just 0.3%. 'The bank entered the new financial year on a strong footing and delivered a robust performance with net profit rising to INR 801 crs, marking a 59.4% YoY growth. Key metrics such as RoA (0.8%), PPoP ( ₹ 1,358 crs), and NIM (2.5%) showed notable improvement. Asset quality remained stable, CASA witnessed healthy growth, and CET1 strengthened to 14.0%,' said Prashant Kumar, Managing Director & CEO, Yes Bank. Further, in a significant strategic move, Sumitomo Mitsui Banking Corporation (SMBC) has entered into a binding agreement to purchase a 20 percent interest in Yes Bank from SBI and various other Indian banks, enhancing investor confidence. Additionally, the quarter witnessed upgrades in long-term ratings from Moody's, CARE, and ICRA. On Friday, Yes Bank share price closed flat at ₹ 20.17 apiece on the BSE.
Mint
19-07-2025
- Business
- Mint
Yes Bank Q1 Results: Net profit rises 59% YoY to ₹801 crore
Yes Bank Q1 Results: Yes Bank announced on Saturday that its standalone net profit for Q1FY26 surged by 59% year-on-year, reaching ₹ 801 crore compared to ₹ 502 crore in the same quarter last year. The profit after tax (PAT) increased by over 8% on a sequential basis, up from ₹ 738 crore in the January-March quarter of FY25. In the June quarter, the private bank generated an interest income of ₹ 7,596 crore, down 1.6% from ₹ 7,719 crore recorded in the corresponding quarter of the previous financial year. Net interest income, which represents the difference between interest earned and interest paid, increased by only 5.7% to ₹ 2,371 crore for the June quarter, benefiting from a decrease in the Cost of Funds. Meanwhile, non-interest income rose by 10.9% to ₹ 1,739 crore. Yes Bank disbursed ₹ 5,224.41 crore in interest during the reported quarter, compared to ₹ 5,475 crore in the same period last year, reflecting a decrease of 4.6%. For Q1FY26, the net interest margin (NIM) was recorded at 2.5%, showing a year-on-year increase, aided by a reduction in deposits due to PSL shortfall and a decrease in SA rates, though this was somewhat countered by the impact of repricing, according to the private bank's filing with the exchange. The operating profit increased by 53.4% compared to the previous year, reaching ₹ 1,358 crore, whereas non-tax provisions rose by 34.1% to ₹ 284 crore. The cost-to-income ratio showed improvement at 67.1%, a decrease from 74.3% over the past year. The quality of assets remained constant, with gross non-performing assets (GNPA) at 1.6% and net NPA standing at 0.3%. The provision coverage ratio (PCR) saw an increase to 80.2 percent. For the June quarter, the bank recorded total recoveries and upgrades amounting to ₹ 1,170 crore, including ₹ 338 crore from security receipts. However, slippages rose to ₹ 1,458 crore, up from ₹ 1,223 crore in the previous quarter. Advances increased by 5% year-on-year to ₹ 2.41 lakh crore, propelled by a 19% rise in commercial banking and an 11.2% increase in the micro banking sector. Retail advances saw minimal growth, rising by just 0.3%. 'The bank entered the new financial year on a strong footing and delivered a robust performance with net profit rising to INR 801 crs, marking a 59.4% YoY growth. Key metrics such as RoA (0.8%), PPoP ( ₹ 1,358 crs), and NIM (2.5%) showed notable improvement. Asset quality remained stable, CASA witnessed healthy growth, and CET1 strengthened to 14.0%,' said Prashant Kumar, Managing Director & CEO, Yes Bank. Further, in a significant strategic move, Sumitomo Mitsui Banking Corporation (SMBC) has entered into a binding agreement to purchase a 20 percent interest in Yes Bank from SBI and various other Indian banks, enhancing investor confidence. Additionally, the quarter witnessed upgrades in long-term ratings from Moody's, CARE, and ICRA. On Friday, Yes Bank share price closed flat at ₹ 20.17 apiece on the BSE. Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
CNA
10-07-2025
- Business
- CNA
CNA938 Rewind - Singapore v Australia at opening of World Aquatics Championships
CNA938 Rewind - Business Adaptation Grant; How far can a $100,000 go? Singapore will launch a new Business Adaptation Grant capped at $100,000 per company with a co-funding element in October. The grant will cover businesses that export to or operate in overseas markets and are affected by tariffs, as well as those which need help with reconfiguration costs, including logistics and inventory holding costs. Daniel Martin learns more from Jeff Ng, Head of Asia Macro Strategy, Sumitomo Mitsui Banking Corporation. CNA938 Rewind - From Wimbledon to Fukuoka: Inside Ascott's Gan Hup Tan's Holiday Highlights In 'Destination Anywhere', Melanie Oliveiro finds out about the holidays of Gan Hup Tan, Vice President (Marketing, Loyalty & Partnerships) at The Ascott Limited. Tan will highlight trips to France, England and Japan. In France, he'll recall going to Roland Garros - the French Open in May, visiting the museum Centre Pompidou for its unique architecture, and savouring must-eat bites & meals. In England, Tan will talk about going to Wimbledon for lawn matches, spending hours at the Seven Dials neighbourhood at Covent Gardens and grabbing a cup of java at Monmouth Coffee. And as for Japan, Tan will talk about Fukuoka city – known as the home of the tonkotsu ramen and Tenjin, an area where there's fun to be had at some Christmas markets.
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Business Standard
09-07-2025
- Business
- Business Standard
India Inc sees 48% drop in Q2 deal value amid global uncertainty: GT Bharat
In the second quarter of 2025, Indian corporations navigated a cautious mergers and acquisitions landscape, as global economic uncertainties cast a long shadow over dealmaking sentiment. The quarter saw a total of 582 transactions — including initial public offerings (IPOs) and qualified institutional placements (QIPs) — worth $17 billion. Excluding public market activity, the number stood at 554 deals valued at $12.8 billion, a report by Grant Thornton Bharat said. While deal volumes rose 23 per cent year-on-year compared to Q2 2024, there was a 13 per cent decline in the number of deals and a steep 48 per cent drop in total deal value compared to Q1 2025. Analysts attribute this fall to global instability, including the Iran-Israel conflict, the ongoing Russia-Ukraine war, US policy uncertainty, and elevated gold prices — all of which contributed to investor caution, the report stated. Despite the muted performance, experts believe India's strong macroeconomic fundamentals and high-growth sectors will likely revive deal momentum in the second half of 2025. Shanthi Vijetha, partner, growth at Grant Thornton Bharat, said, 'The second quarter of 2025 was marked by a cautious investment environment influenced by global uncertainties. Despite the slowdown, the sustained momentum in private equity investments, the emergence of new unicorns, and a promising uptick in public market activity towards the quarter-end are encouraging indicators.' M&A activity hits new lows Mergers and acquisitions (M&A) activity in Q2 2025 remained subdued, with only 197 deals worth $5.4 billion — making it the lowest quarterly M&A value since Q2 2023. This marked an 81 per cent decline in domestic deal values from the previous quarter, driven by the absence of multiple billion-dollar deals. The only major M&A this quarter was Sumitomo Mitsui Banking Corporation's $1.57 billion investment in YES Bank. Zaggle makes consolidation moves Cross-border activity also slowed, with outbound M&A dropping 25 per cent in volume and 74 per cent in value. Inbound deals held steady, reflecting selective foreign interest. The banking sector led the charge, contributing nearly half the total M&A value through three key deals. Among standout performers, Zaggle Prepaid Ocean Services made aggressive acquisitions across IT, banking, and media sectors, signaling a bold consolidation strategy despite overall market softness. Private equity shows stability Private equity (PE) deals remained relatively stable with 357 transactions worth $7.4 billion — the second-highest quarterly volume since Q4 2022. However, deal values dipped due to fewer large-ticket investments compared to Q1. There were 18 deals valued above $100 million, totalling $4.6 billion, down from 21 such deals worth $6.1 billion in the previous quarter, the report said. The largest PE deal was Warburg Pincus and Abu Dhabi Investment Authority's $862 million investment in IDFC FIRST Bank. Public market activity sees modest recovery The IPO market remained slow for the third straight quarter, with 12 IPOs raising $1.9 billion — down 25 per cent in volume and 26 per cent in value from Q1 2025. However, June showed signs of revival with strong listings from Leela Hotels ($407 million), Ather Energy ($343 million), and Aegis Vopak Terminals ($326 million). QIP activity held firm, with 16 issuances raising $2.2 billion, nearly matching the previous quarter's tally. The banking sector dominated here too, with six banks raising $1.1 billion, indicating continued institutional interest. Sectoral highlights of Q2CY25 Banking and financial services: Topped deal values at $4.5 billion across 73 deals, with six high-value transactions Infrastructure: Second-highest in deal value ($1.2 billion), supported by large PE inflows into road and urban projects
