Yes Bank reported a healthy performance during 3QFY2016 with PAT growth of 25.1% yoy to Rs675.7cr, which is above our expectation. The NII for the bank grew strong by 27.3% yoy on account of strong growth in advances and Retail & CASA deposits. Advances and deposits growth remains strong: During the quarter, advances grew at a healthy pace of 26.7% yoy while deposits grew 23.1% yoy, suggesting a healthy balance sheet growth. Savings deposits continued to witness robust traction, growing by 64.1% yoy, on account of the banks growing retail franchise while current deposits grew by 18.4% yoy. Overall, CASA deposits grew by 45.1% yoy; as a result the CASA ratio improved 400bp yoy and 120bp qoq to 26.6%. NIM improved qoq backed by lower cost of funds: The NIM for the bank inched up 10bp qoq to 3.4%. During the quarter, the bank reduced the rate offered on its savings deposits from 7% to 6% and this helped lower the cost of fund, thereby leading to improvement in margins. The non-interest income grew by 39% yoy, while operating expenses grew by 29.2% yoy, leading to a 33.3% yoy growth in operating profit. Asset quality continues to be healthy: Despite...