ICICI Bank Q1FY23 Results: Private lender's net profit jumps 50% to Rs 6,905 cr, asset quality improves – check key highlights here!

ICICI Bank Q1FY23 Results: Index heavyweight ICICI Bank reported robust earnings in the first quarter of the financial year 2022-23 (Q1FY23). The company registered double-digit year-on-year (YoY) growth in both top and bottom lines, similarly, the asset quality improved during the quarter.

The net profit of ICICI Bank surged 50 per cent in the June-end quarter of FY23 to Rs 6,905 crore against (US$ 874 million) as against Rs 4,616 crore (US$ 585 million) in the same quarter a year ago, the bank said in its exchange filing on Saturday.

While the net interest income (NII) increased by 21 per cent year-on-year to Rs 13,210 crore (US$ 1.7 billion) in Q1FY23 from Rs 10,936 crore (US$ 1.4 billion) in Q1FY22. And the net interest margin (NIM) came at 4.01 per cent in Q1FY23 from 4 per cent in the March-end quarter of FY22.

“The gross NPA (non-performing assets) ratio improved to 3.41 per cent from 3.6 per cent quarter-on-quarter (QoQ) and 5.15 per cent YoY. The net NPA ratio declined to 0.7 per cent from 0.76 per cent QoQ and 1.16 per cent YoY,” the bank said in a regulatory filing.

Key Highlights of Q1FY23 Earnings

Fee income grew by 32per cent YoY to Rs 4,243 crore (US$ 537 million) in Q1FY23 from Rs 3,219 crore (US$ 408 million) in Q1FY22.

Fees from retail, rural, business banking, and SME customers constituted about 79 per cent of total fees in Q1-2023

There was a treasury gain of Rs 36 crore (US$ 5 million) in Q1FY23 compared to a gain of Rs 290 crore (US$ 37 million) in Q1FY22

Provisions (excluding provision for tax) declined by 60 per cent YoY to Rs 1,144 crore (US$ 145 million) in Q1FY23 from Rs 2,852 crore (US$ 361 million) in QFY22.

Provisions for Q1FY23 include a contingency provision of Rs 1,050 crore (US$ 133 million) made on a prudent basis

Total period-end deposits increased by 13 per cent YoY to Rs 1,050,349 crore (US$ 133.0 billion) on June 30, 2022.

The Bank had a network of 5,534 branches and 13,379 ATMs on June 30, 2022.

The Bank’s total capital adequacy ratio as of June 30, 2022, was 18.74 per cent.