Mumbai, April 18 -- Backed by Japan's Sumitomo Mitsui Banking Corporation (SMBC), Yes Bank has ample headroom to expand its balance sheet, as it focuses on improving operational efficiencies, new managing director and chief executive officer Vinay Tonse said on Saturday.

"Over the next three years, we will be looking at being a high-quality, consistently profitable franchise, with of course best-in-class asset quality, strong retail granularity, which has been spoken about and which we have already seen, and eventually sustainable return ratios," Tonse said at the bank's earnings call for March quarter (Q4FY26), addressing the media for the first time since taking over on 6 April.

Going ahead, he also expects growth to be supported by t...