ICICI Bank on Saturday reported a 14.6 per cent year-on-year (Y-o-Y) growth in net profit in the first quarter of the current financial year (Q1FY25), aided by treasury gains despite higher provisions.
The private sector lender’s net profit stood at Rs 11,059 crore for the quarter compared to Rs 9,648 crore in the corresponding period a year ago.
Its net interest income (NII) rose by 7.3 per cent Y-o-Y to Rs 19,553 crore, led by healthy growth in advances. The bank’s net interest margin (NIM) – a measure of profitability for banks – was nearly flat at 4.36 per cent in Q1FY25.
Provisions were up at Rs 1,332 crore in Q1FY25 compared to Rs 1,292 crore in the corresponding period a year ago.
Asset quality of the lender remained stable, with its gross non-performing assets (NPAs) ratio at 2.15 per cent at the end of Q1FY25 compared to 2.16 per cent in Q4FY24, and net NPA ratio at 0.43 per cent.
The gross NPA additions for the quarter stood at Rs 5,916 crore in Q1FY25 compared to Rs 5,139 crore in Q4FY24. Some of the fresh slippages are coming from KCC accounts, the bank management said, adding that their credit costs are well contained and are below the normal levels. Further, recoveries and upgrades of NPAs, excluding write-offs and sale, stood at Rs 3,292 crore in Q1FY25 compared to Rs 3,918 crore in Q4FY24.
The gross NPA additions for the quarter stood at Rs 5,916 crore in Q1FY25 compared to Rs 5,139 crore in Q4FY24. Recoveries and upgrades of NPAs, excluding write-offs and sale, stood at Rs 3,292 crore in Q1FY25 compared to Rs 3,918 crore in Q4FY24.
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The bank reported a 15.7 per cent Y-o-Y and 3.3 per cent sequential growth in advances at Rs 12.23 trillion in Q1FY25, led by 17.1 per cent Y-o-Y growth in retail portfolio, which is 54.4 per cent of the total loan portfolio, 35.6 per cent Y-o-Y growth in business banking portfolio, 23.5 per cent Y-o-Y growth in SME portfolio, and 16.9 per cent Y-o-Y growth in rural banking portfolio.
Deposits of the bank grew by 15.1 per cent Y-o-Y and 0.9 per cent sequentially to Rs 14.26 trillion in Q1FY25. Period-end term deposits increased by 19.9 per cent Y-o-Y and 3.1 per cent sequentially to Rs 8.42 trillion during the quarter, and average deposits increased by 17.8 per cent Y-o-Y and 3.3 per cent sequentially to Rs 13.78 trillion.
"We would like to grow in a risk calibrated fashion. Clearly, deposits and loans go hand in hand. Our average deposits grew 17.8 per cent Y-o-Y and our loan portfolio grew by 15.7 per cent Y-o-Y. The wholesale deposits in the system have remained sticky and we have seen some banks increasing retail deposits. There is also the dynamics of new liquidity coverage ratio (LCR) guidelines. Our focus will remain on trying to meet the 360 needs of the customers and hopefully it will play out well for us in the future", said Sandeep Batra, Executive Director, ICICI Bank.
Additionally, Batra said, growth in personal loans for the bank has reduced during the quarter (Q1FY25). It is because of the adjustment that we have been doing for some time.
Commenting on the draft LCR norms by the Reserve Bank of India (RBI), Batra said, (RBI's) concern essentially emanates from the possibility of deposit outflows in a digital banking environment. "Yes, it will have an impact on deposit costs, loan growth, lending rates, and investment yields", he said.
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FAQs
New Delhi [India], July 28 (ANI): Private sector banking major, ICICI Bank has posted a net profit growth of 14.6 per cent year-on-year (YoY) in the first quarter of financial year 2025 (Q1FY25), reaching to Rs 11,059 crore.
What is the net profit of ICICI Bank Q1? ›
ICICI Bank Q1 results: Net profit rises 14.6% to Rs 11,059 cr, NII up 7.3% | Company Results - Business Standard.
What is the first quarter result of ICICI Bank 2024? ›
ICICI Bank Q1 Results: ICICI Bank announced its April-June quarter results for fiscal 2024-25 (Q1FY25) on Saturday, July 27, reporting a rise of 14.6 per cent in standalone net profit to ₹11,059 crore, compared to ₹9,648.2 crore in the corresponding period last year.
What is the result of ICICI Bank Q1 2025? ›
Private sector lender ICICI Bank on July 27 reported a net profit of Rs 11,059.1 crore for the first quarter of fiscal year 2025, 14.6 percent higher than Rs Rs 9,648.2 crore reported last year.
Is 14% net profit good? ›
You may be asking yourself, “what is a good profit margin?” A good margin will vary considerably by industry, but as a general rule of thumb, a 10% net profit margin is considered average, a 20% margin is considered high (or “good”), and a 5% margin is low.
Is 12% net profit good? ›
Net profit margins vary by industry but according to the Corporate Finance Institute, 20% is considered good, 10% average or standard, and 5% is considered low or poor. Good profit margins allow companies to cover their costs and generate a return on their investment.
What are the results of Icici Pru Q1? ›
ICICI Prudential Life Q1 results: Net profit rises 8.9% to Rs 225.4 crore.
What is the business update of ICICI Bank Q1? ›
ICICI Bank Q1 Results: ICICI Bank Q1 Results: Profit jumps 15% YoY to Rs 11,059 crore, NII up 7% - The Economic Times.
Is rec Q1 net profit rises by 16.57% to ₹ 3460.19 crore? ›
Employment Type. State-owned REC on Saturday posted a 16.57% rise in consolidated net profit to ₹3,460.19 crore for the June quarter, mainly on the back of higher revenues. In the year-ago period, its net profit stood at ₹2,968.05 crore, the company said in an exchange filing.
What is the dividend of ICICI Bank in 2024? ›
For the year ending March 2024 ICICI Bank has declared an equity dividend of 500.00% amounting to Rs 10 per share. At the current share price of Rs 1250.35 this results in a dividend yield of 0.8%.
Q2 Results Highlights
- Net Interest Income. ₹21,030.07 Cr. (1.41%)
- Loan Loss Provision. ₹649.01 Cr. (-51.75%)
- Profit after tax. ₹10,896.13 Cr. (2.44%)
ICICI Bank is set to announce its April-June quarter results for fiscal 2024-25 (Q1FY25) on Saturday, July 27 (today), after reporting a solid performance in the previous quarter led by improved asset quality and credit growth.
Is Icici safe to invest? ›
ICICI Bank is regulated and supervised by the Reserve Bank of India (RBI), which is the central bank of India. RBI ensures that banks comply with stringent financial regulations and prudential norms. ICICI Bank has been operating for several decades and has a long history of providing banking services in India.
Is Icici good to buy? ›
"We recommend buying ICICI Bank in the price range of ₹1,165-1,175. The potential upside target is set at ₹1,250, while a stop loss should be placed near ₹1,130 on a daily closing basis to manage risk effectively," said Patel.
Is ICICI Bank strong? ›
According to Nuvama Institutional Equities, ICICI Bank turned in strong earnings and outperformed on three key concerns plaguing its peers in Q1FY25: asset quality, LDR and NIM.
How do you calculate net profit increase in percentage? ›
The percentage increase can be determined using its formula given by, Percentage Increase = [(Final Value - Initial Value)/Initial Value] × 100.
How to check net profit in ICICI Direct? ›
Where can I check the P&L of my day's trades? Under the portfolio tab, go to Open Positions. Here, for all the trades done on the day and also existing positions the details will be available. The P&L is updated live and is consolidated for Equity, F&O, Commodity & Currency.
What is the percentage increase in net income? ›
The calculation is a given year's net income minus the prior year's net income, divided by the prior year's net income. The resulting figure is then multiplied by 100.
How do you calculate percentage increase in net worth? ›
It is calculated by subtracting the original number from the new number, dividing the result by the original number, and then multiplying it by 100. The formula for calculating a percentage increase is: (New Number - Original Number) / Original Number x 100.
