Shares of the country's second largest private sector lender ICICI Bank rose as much 2.55 per cent to hit an intraday high of Rs 906.75 after it reported March quarter earnings on Saturday.
ICICI Bank's net profit for quarter ended March 2023 came in at Rs 9,121.87 crore, marking an upside of 30 per cent from Rs 7,018.71 crore during the same quarter last year. Its net interest income or difference between interest earned on loans and expended on deposits rose 40 per cent to Rs 17,666.79 crore versus Rs 12,604.56 crore in the year ago period.
Non-interest income, excluding treasury income, increased by 11.3 per cent year-on-year to Rs 5,127 crore in March quarter from Rs 4,608 crore in the year ago period.
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The core operating profit (profit before provisions and tax, excluding treasury income) increased by 36.4 per cent year-on-year to Rs 13,866 crore in March quarter from Rs 10,164 crore in the quarter ended March 31, 2022 (Q4-2022); excluding dividend income from subsidiaries/associates, core operating profit grew by 36.9 per cent year-on-year in Q4-2023
ICICI Bank's asset quality saw an improvement as its gross non-performing assets (NPAs), as a percentage of total advances, came in at 2.81 per cent versus 3.07 per cent in the previous quarter and 3.60 per cent during the same period last year.
In absolute terms, its gross NPAs came in at Rs 31,184 crore.
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Its net NPAs came in at 0.48 per cent versus 0.55 per cent in the previous quarter.
“During the quarter, the Bank launched an array of digital solutions for capital market participants and clients of custody services. The solutions enable various participants including brokers, Portfolio Management Service providers, Foreign Portfolio Investors, Foreign Direct Investors and Alternative Investment Funds to seamlessly meet all their banking requirements,” ICICI Bank said in an earnings press release.
“The Bank also launched Startup Ecosystem Banking to cater to the banking needs of startups across various life stages through its domestic and international network, and branch at GIFT City. The Bank offers comprehensive solutions in the areas of treasury, transaction banking, lending, managing foreign direct investments and regulatory compliances along with personal banking services for employees and founders,” it added.
The retail loan portfolio grew by 22.7 per cent year-on-year and 5.4 per cent sequentially, and comprised 54.7 per cent of the total loan portfolio at March 31, 2023. Including non-fund outstanding, the retail portfolio was 45.7 per cent of the total portfolio at March 31, 2023. The business banking portfolio grew by 34.9 per cent year-on-year and 7.8 per cent sequentially at March 31, 2023. The SME business, comprising borrowers with a turnover of less than Rs 250 crore, grew by 19.2 per cent year-on-year and 6.2 per cent sequentially at March 31, 2023. The domestic corporate portfolio grew by 21.2 per cent year-on-year and 3.8 per cent sequentially at March 31, 2023. The rural portfolio grew by 13.8 per cent year-on-year and 5.5 per cent sequentially at March 31, 2023.
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The domestic advances grew by 20.5 per cent year-on-year and 5.0 per cent sequentially at March 31, 2023. Total advances increased by 18.7 per cent year-on-year and 4.7 per cent sequentially to Rs 1,019,638 crore at March 31, 2023.
With an addition of about 480 branches during FY2023, the Bank had a network of 5,900 branches, 16,650 ATMs/cash recycling machines at March 31, 2023, ICICI Bank said.
As of 11:43 am, ICICI Bank traded 1.42 per cent higher at Rs 897 and was the top gainer in the 30 share Sensex.
