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ICICI Bank Q1 net profit up 36 pc to Rs 2,599 crore

India’s largest private sector lender ICICI Bank on Saturday reported 36 percent rise in its net profit at Rs 2,599 crore for the April to June quarter compared with Rs 1,908 crore in the same period of last year.
The growth was aided by one-off stake sales in ICICI Lombard and ICICI Prudential Life.
Net interest income increased by 20 percent to Rs 9,280 crore in Q1 FY21 as against Rs 7,737 crore in Q1 FY20. Net interest margin came at 3.69 percent as compared to 3.61 percent in the same period.
The lender said provisions (excluding Covid-19 related provisions and provision for tax) declined by 42 percent year-on-year to Rs 2,044 crore from Rs 3,496 crore.
“The bank has made additional Covid-19 related provisions of Rs 5,550 crore on a prudent basis in Q1 FY21 with the objective of completely cushioning the balance sheet from the impact of Covid-19.”
It held Covid-19 related provisions amounting to Rs 8,275 crore as on June 30, more than the requirement as per guideline of the Reserve Bank of India (RBI).
During the quarter, gross additions to non-performing assets (NPAs) were Rs 1,160 crore. Recoveries and upgrades, excluding write-offs, from NPA loans were Rs 757 crore. The net NPA ratio decreased from 1.41 per as on March 31 to 1.23 percent a year ago.
Treasury income was Rs 3,763 crore in Q1 FY21 compared to Rs 179 crore in Q1 FY20. The Bank sold 4 percent shareholding in ICICI Lombard General Insurance and 1.5 percent in ICICI Prudential Life Insurance. The aggregate gains from these transactions were Rs 3,036 crore, further strengthening the balance sheet.
With 11 percent growth in retail loans, the year-on-year growth in domestic advances was 10 percent.
Total advances increased by 7 percent to Rs 6.31 lakh crore from Rs 5.92 lakh crore as on June 30 last year while total deposits increased by 21 percent to Rs 8.01 lakh crore. (ANI)

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