Private sector lender Yes Bank Ltd on Wednesday said its March quarter net profit rose 30.2% due to higher net interest income and other income.

Net profit for the quarter stood at Rs914.12 crore as compared with Rs702.11 crore a year ago. A Bloomberg poll of 24 analysts had forecast a net profit of Rs791 crore.

Net interest income (NII), or the core income a bank earns by giving loans, increased 32.08% to Rs1639.70 crore from Rs1241.44 crore last year. Other income jumped 56.62% to Rs1257.39 crore from Rs802.81 crore in the same period last year.

Net interest margin expanded to 3.6% in the quarter from 3.5% a quarter ago.

“The Bank continued delivering sustained financial performance through robust growth in earnings and expanding net interest margins despite challenging operating environment", said Rana Kapoor managing director and chief executive officer, Yes Bank.

“Additionally, continued investments in Human Capital, Technology and Digitization has resulted in significant momentum across Retail Assets, Liabilities and Retail Fees. The bank’s growth and earning models continue to remain robust with increasing granularity and diversity across Asset, Liabilities and Earnings", Kapoor added.

Provisions and contingencies climbed 66.11% to Rs309.73 crore in the quarter from Rs186.46 crore in the same quarter last year.

The bank’s gross non-performing assets (NPAs) rose 100.68% to Rs2018.56 crore at the end of the March quarter from Rs1005.85 crore in the December quarter. On year-on-year basis, it jumped 169.51% from Rs748.98 crore.

As a percentage of total loans, gross NPAs were at 1.52% at the end of the March quarter, as compared to 0.85% in the previous quarter and 0.76% in the year-ago quarter. Net NPAs were at 0.81% in the quarter against 0.29% each from a quarter and year ago.

“The increase in NPA and consequent provision is in conformity with the divergences observed by the RBI as per its compliance process referred to in the RBI circular dated April 18, 2017 on ‘Disclosure in the Notes to Accounts to the Financial Statements – Divergence in Asset Classification and Provisioning", the bank said in a notice to BSE.

Deposits rose 27.89% to Rs1.43 trillion, while advances rose 34.67% to Rs1.32 trillion.

On Wednesday, Yes Bank ended at 1605.40 on BSE, down 0.03% from previous close while India’s benchmark Sensex Index rose 0.06% to closed at 29336.57 points.