ICICI Bank March quarter profit rises 17% to Rs 10,708 crore, beats estimates

ICICI Bank Q4 earnings: ICICI Bank, the country's second largest private sector lender, on Saturday reported net profit of Rs 10,708 crore in January-March quarter, marking an upside of 17 per cent from Rs 9,122 crore during the same period last year. The up move in profit came on the back of sharp reduction in provisions and stable asset quality. ICICI Bank's provisions for bad loans fell 56 per cent to Rs 718 crore in March quarter from Rs 1,620 crore in the year ago period.

The result exceeded analysts' average estimate of Rs 10,305 crore, according to LSEG data.

ICICI Bank's net interest income or the difference between interest earned and interest expended rose 8 per cent to Rs 19,092 crore as against Rs 17,667 crore during the same period last year.

Its asset quality saw a slight improvement as gross non-performing assets as a percentage of total advances came in at 2.16 per cent compared with 2.30 per cent in the previous quarter and 2.81 per cent during the corresponding period last year.

In absolute terms, gross non-performing assets stood at Rs 27,962 crore.

The Mumbai-based lender’s domestic loan portfolio witnessed growth, surging by 16.8 per cent year-on-year to Rs 11,50,955 crore as of March 31, 2024. The robust expansion reflects the bank's resilience and effectiveness in meeting the credit needs of the economy amid evolving market dynamics.

Additionally, the bank's net Non-Performing Asset (NPA) ratio demonstrated improvement, declining to 0.42 per cent as of March 31, 2024, compared to 0.44 per cent reported at the end of December 31, 2023.

In terms of capital adequacy, the bank exhibited a robust position, with a total capital adequacy ratio of 16.33 per cent and Common Equity Tier-1 (CET-1) ratio of 15.60 per cent on a standalone basis.

The Board of Directors has recommended a dividend of Rs 10 per share for the fiscal year 2024.

ICICI Bank shares ended 0.53 per cent lower at Rs 1,107 a day ahead of its earnings announcement.