ICICI Bank has recorded a 30% y-o-y increase on their profit after tax (PAT) of Rs. 5,511 crore for the quarter ended on September 2021 (Q2, FY22). The bank has announced its results on October 23, post-market hours. ICICI Bank's bad loans have decreased significantly with improved asset quality performance.
Net interest income
ICICI Bank has marked a double-digit growth of 25% on their Net Interest Income (NII), which has grown to Rs. 11,690 crore or the quarter ended on September 2021. NII is known as the difference between the interest earned and the interest expenses. The bank has also and recorded a 43 bps y-o-y, and 11 bps Q-o-Q improvement in Net Interest Margin (NIM) at 4%, according to the bank's BSE filing on October 23. The bank said its current and savings account (CASA) deposits grew by 28% y-o-y, in Q2, FY 22, while the average CASA ratio stood at 44% in Q2-2022.
ICICI Bank's total deposits increased by 17% y-o-y to Rs. 9.77 lakh crore in Q2, FY22. Additionally, the lender's total advances grew by 17% y-o-y to Rs. 7.64 lakh crore in the same quarter, Q2FY22.
The retail loan book grew at a 20% rate, while the domestic loan grew at 19%. However, ICICI Bank's retail loan book accounts for 62.1% of its total loan portfolio. The net NPA ratio has also declined from 1.16% on June 30, 2021, to 0.99% on September 30, 2021, which is the lowest since December 31, 2014.
The bank officially mentioned, "The business banking portfolio grew by 43% y-o-y, and SME segment, comprising borrowers with a turnover of less than Rs. 250 crore, registered a 42% y-o-y growth, for the September 2021 quarter."
On NSE, ICICI Bank's share was up by +2.50 (0.33%) at Rs. 758.00 today, till 3.30 PM IST, when the market was open.
Earlier in October, Moody's ratings had affirmed the long-term local and foreign current deposit ratings of ICICI Bank at Baa3. Additionally, the bank's rating outlook was updated to stable from negative.
The bank had a network of 5,277 branches and 14,045 ATMs in September 2021. ICICI Bank on October 1 acquired a 9.9% equity stake in Midland Microfin, which is a non-banking financial company, for Rs. 52.42 crores.