NEW DELHI: on Saturday reported a standalone net profit of Rs 7,018.71 crore in the fourth quarter of the previous financial year, up 59.42 per cent from Rs 4,402.61 crore the same period a year ago.
Sequentially, the net profit rose 13.32 per cent from Rs 6,193.81 crore.
Analysts had estimated 45-65 per cent growth in year-on-year net profit for the private lender in January-March.
India’s second largest private bank‘s net interest income registered a 21 per cent on-year rise to Rs 12,605 crore in Jan-Mar from Rs 10,431 crore a year ago.
The net interest income is the difference between interest earned and interest expended. In the fourth quarter of the previous year, the private bank’s net interest margin was at 4 per cent compared to 3.84 per cent a year ago and 3.96 per cent in the quarter ended December 31.
The growth in net interest income falls short of Street estimates as analysts had projected a 22-27 per cent growth in net interest income (NII) while they estimate profit growth in the range of 46-65 per cent YoY.
For the previous financial year as a whole, ICICI Bank’s profit after tax grew 44 per cent on-year to Rs 23,339 crore.
The private bank reported an improvement in asset quality in the quarter gone by with ratios for both gross and net non-performing assets declining on a year-on-year as well as sequential basis.
As on March 31, the bank’s gross NPA ratio was at 3.60 per cent as against 4.13 per cent a quarter ago and 4.96 per cent a year ago.
The net NPA ratio was at 0.76 per cent as on March 31 versus 0.85 per cent on December 31 and 1.14 per cent a year ago.
As on March 31, the bank’s Basel III Capital Adequacy Ratio stood at 19.16 per cent as against 17.91 per cent a quarter ago and 19.12 per cent a year ago.
Provision coverage ratio on non-performing assets was 79.2 per cent at March 31, 2022.
“Recoveries and upgrades of NPAs, excluding write-offs and sale increased to 4,693 crore (US$ 619 million) in Q4-2022 from 4,209 crore (US$ 555 million) in Q3-2022. The gross NPAs written-off in Q4-2022 were Rs 2,644 crore (US$ 349 million),” the bank said in an exchange filing.
As on March 31, ICICI Bank’s total advances registered a growth of 17 per cent year-on-year to Rs 859,020 crore. Sequentially, the
growth in domestic advances was 6 per cent.
For the period under review, ICICI Bank’s retail loan portfolio excluding rural loans grew 20 per cent on-year and 6 per cent sequentially, comprising 52.8 per cent of the total loan portfolio as on March 31.
The business banking portfolio grew by 43 per cent year-on-year and 10 per cent sequentially as on March 31, the bank informed exchanges.
The small and medium enterprises business, which comprises borrowers with a turnover of less than Rs 250 crore, grew 34 per cent on-year and 11 per cent quarter-on-quarter.
The SME business, comprising borrowers with a turnover of less than Rs 250 crore (US$ 33 million), grew by 34% year-on-year and 11% sequentially at March 31, 2022.
Growth in the domestic wholesale banking portfolio was 10 per cent year-on-year at March 31, 2022.
As on March 31, ICICI Bank’s total deposits grew 14 per cent year-on-year to Rs 1,064,572 crore. The sequential growth in deposits was 5 per cent.
Average current account savings account deposits increased 23 per cent on-year in January-March.
Total term deposits increased by 9 per cent year-on-year to Rs 546,135 crore (US$ 72.1 billion) at March 31, 2022.
PROVISIONS DECLINE YOY
For the quarter under review, ICICI Bank’s provisions excluding provision for tax declined by a large 63 per cent on-year to Rs 1,069
crore from Rs 2,883 crore the same time a year ago.
The provisions for the fourth quarter of the previous financial year included contingency provision of Rs 1,025 crore made on a
prudent basis, the bank informed exchanges.
“The bank continues to carry Covid-19 related provision of Rs 6,425 crore (US$ 848 million) at March 31, 2022 as contingency provisions at March 31, 2022,” the bank said.
“Currently, while the number of new Covid-19 cases have reduced significantly and the Government of India has withdrawn most of the Covid-19 related restrictions, the future trajectory of the pandemic may have an impact on the results of the Bank and the Group.”
In the last quarter of 2021-22 (Apr-Mar), ICICI Bank’s profit before tax registered a growth of 63 per cent year-on-year to Rs 9,224
crore from Rs 5,657 crore the same time a year ago.
The bank’s board has recommended a dividend of Rs 5 per share and the record/book closure dates will be announced in due course, according to the exchange filing.