Private sector lender ICICI Bank has reported a significant increase in its standalone net profit for the September 2023 quarter. The bank’s net profit rose 36% to ₹10,261 crore, compared to ₹7,558 crore in the same period last year. This boost in profit was primarily driven an increase in interest income.
According to a regulatory filing, ICICI Bank’s total income in the second quarter of the current fiscal rose to ₹40,697 crore, up from ₹31,088 crore in the same period a year ago. The bank’s interest earned also saw a significant rise, reaching ₹34,920 crore in the September 2022 quarter, compared to ₹26,033 crore in the previous year’s quarter.
Furthermore, the bank’s net interest income (NII) experienced a notable increase of 24% year-on-year, reaching ₹18,308 crore in the quarter, compared to ₹14,787 crore in the corresponding quarter of the previous year. Additionally, the net interest margin improved to 4.53%, up from 4.31% in the same period last year.
In terms of asset quality, ICICI Bank showed improvement as its gross non-performing assets (NPAs) declined to 2.48% of gross advances at the end of the September quarter, compared to 2.76% a year ago. The bank also witnessed a decline in net NPAs or bad loans, which decreased to 0.43% from 0.61% in the year-ago period.
However, the bank’s capital adequacy ratio dropped to 16% from 16.93% at the end of September 2022.
On a consolidated basis, ICICI Bank’s profit increased 36% to ₹10,896 crore in the quarter, compared to ₹8,007 crore in the same period last year.
Overall, these positive financial results highlight ICICI Bank’s strong performance and steady growth in the current fiscal year.