Yes Bank Limited CC-Dec24.pdf · 2025-01-25
Sir, I have been an investor of Yes Bank since 2019. I am a retail investor. I am not a big investor. I have seen a lot of questions, sir. You have provided for legacy issues, also did SR provisions, new retail loan provision also done, PSL problems and RIDF, all of this is noticed, but I have no comments on it. Now I have something to say about the ESOPs. Every month ESOPs are being issued, with 17 lakhs issued in January, 27 lakhs issued in February, 28 lakh s issued in September, 14 lakhs issued in November, etc. A total of 3 crores ESOPs issued in the full year. An employee should get bonus once a year, but this is like getting a bonus every month. Is it a performance based or are they just giving it like you have a printing machine? As a retail investor, I have an issue with equity dilution . If you want to reward the employees, then give them a bonus, by reducing from profit. Already Bank’s equity base is large, and we are diluting further by issuing equity. Can we do INR 1,000 crore quarterly profit on a INR 4 lakh balance sheet? Something is wrong if we cannot do it . For example, Bank of Maharashtra came out of PCA, INR 3 lakh balance sheet with ~INR 1,400 crores profit in Q3. Indian Overseas Bank also came out of PCA. At INR 3.5 lakh crore balance sheet, they have profit of INR 875 crores. IDBI Bank has INR 3.6 lakh crore and they have profit of ~INR 1,900 crore. While YES Bank is making quarterly profit of only INR 500-600 crore and happy with it. It’s been 5 years since the issues in 2020. While we continue to issue ESOPs, when will we see profit of INR 1,000 crore?
Okay, Sir, but last year we issued 3 crore ESOP already . There must be alternatives other than equity dilution.