Home / Companies / Company Results /  ICICI Bank reports highest ever net profit in Q2 as provisions fall
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Private lender ICICI Bank's standalone net profit rose 30% to 5,511 crore, which is highest ever for the lender, in the second quarter ended September 30 (Q2FY22) mainly on account of strong loan growth, and lower provisioning. The same was 4,251 crore in the same quarter last year (Q2FY21).

Provisions declined by 9% year-on-year to 2,714 crore in the second quarter from 2,995 crore in the year-ago period.

Sequentially, the lender's profit was up 19.3% from 4,616 crore in the June quarter (Q1FY22).

Net interest income (NII) of the Bank --- the difference between interest the lender expends and the same it pays out --- rose 25% to 11,690 crore in the September quarter. It was 9,366 crore in Q2FY21.

Meanwhile, the net interest margin (NIM) increased to 4% in the second quarter from 3.89% in the June quarter and 3.57% in last year period.

The lender's core operating profit jumped by 23% year-on-year to 9,518 crore in the quarter ended September.

Non-interest income (NII) of the lender rose 26% year-on-year to 4,400 crore in Q2FY22 from 3,486 crore in Q2FY21.

"With the increase in economic activity, disbursements across all retail products increased sequentially in the second quarter. Mortgage disbursements were

close to the level seen in the March quarter of FY21, reflecting the increase in demand coupled with the Bank’s seamless customer onboarding experience through pre-approved offers and digitisation," ICICI Bank said in a filing.

On the asset quality front, gross non-performing assets (NPAs) at the end of the quarter stood at 4.82%, less than 5.15% in the previous June quarter and 5.17% in the year-ago period.

The net NPAs are down by 12% sequentially during the quarter to 8,161 crore from 9,306 crore, while the net NPA ratio declined to 0.99% in Q2 from 1.16% in Q1. The net NPA ratio was the lowest since, December 2014

Total deposits increased by 17% year-on-year and 6% sequentially to 9.77 lakh crore in the September quarter.

The Bank’s total capital adequacy at the end of the second quarter was 19.52% and Tier-1 capital adequacy stood at 18.53%, higher than the minimum regulatory requirements of 11.08% and 9.08% respectively.

On Friday, ICICI Bank's scrip hit an all-time high of 765.85 and eventually closed 0.5% higher at 759.30 on NSE.

Credit growth

The retail loan portfolio grew by 20% year-on-year and 5% sequentially, and comprised 62.1% of the total loan portfolio at the end of second quarter.

The domestic advances rose 19% year-on-year and 4% sequentially during the reporting period, while total advances increased by 17% year-on-year and 4% sequentially to 7.64 lakh crore.

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