ICICI Bank posted strong Q3 earnings performance
Share of ICICI Bank surged 5.7% to hit a 52-week high of Rs 568.35 per share today morning after the lender reported a 19% on-year growth in net profit to Rs Rs 4,950 crore in the fiscal third quarter.
ICICI Bank’s operating profit was up 17% from the previous year to Rs 8,802 crore while net interest income soared 16%. On the provisioning front, ICICI Bank’s provisions increased 32% on-year to Rs 2,742 crore. However, this was 8% lower from the previous quarter. The bank has kept aside Rs 3,012 crore for accounts that have not been declared NPAs, owing to the Supreme Court order.
Pro forma gross NPA increased from 5.36% to 5.42%, largely from retail segment. Restructuring for advances worth Rs 2,500 crore has been invoked at ICICI Bank of which Rs 1,700 crore has been from the corporate side.
Loan growth increased 10% on-year basis with retail business growth at 15.4%. SME loan growth came in at a massive 24.6%.
The significant loan growth was driven by mortgages (up 7% qoq), auto loans (up 7% qoq), business banking (up 12% qoq) and domestic corporate lending (up 8% qoq).
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