ICICI Bank Q2 FY23 PAT Rises 37% YoY To Rs 7,558 Cr

ICICI Bank on Saturday reported that its profit after tax (PAT) grew by 37 per cent year-on-year (YoY) to Rs 7,558 crore (USD 929 million) in Q2 FY2023.

During the quarter, ICICI Bank’s core operating profit (profit before provisions and tax, excluding treasury income) grew by 24 per cent YoY to Rs 11,765 crore (USD 1.4 billion) in the quarter ended September 30, 2022.

Meanwhile, total period-end deposits grew by 12 per cent YoY to Rs 1,090,008 crore (USD 134.0 billion). Average current account and savings account (CASA) ratio was 45 per cent in the quarter and overall loan portfolio grew by 23 per cent YoY.

The bank’s domestic loan portfolio grew by 24 per cent YoY and net NPA ratio declined to 0.61 per cent from 0.70 per cent in June 30, 2022. Moreover, ICICI Bank’s provisioning coverage ratio on non-performing assets was 80.6 per cent at September 30, 2022 YoY.

The net interest margin was 4.31 per cent in Q2-2023 compared to 4.00 per cent in Q2-2022 and 4.01 per cent in the quarter ended June 30, 2022 (Q1-2023). 

Fee income grew by 18 per cent year-on-year to Rs 4,480 crore (USD 551 million) in Q2-2023 from Rs 3,811 crore (USD 468 million) in Q2-2022. Fees from retail, rural, business banking and SME customers constituted about 79 per cent of total fees in Q2-2023.

There was a treasury loss of Rs 85 crore (USD 10 million) in Q2-2023 compared to a gain of Rs 397 crore (USD 49 million) in Q2-2022.

The value of credit card spends in Q2-2023 grew by 4 per cent sequentially and 43 per cent year-on-year. The Bank has seen healthy growth in retail credit card spends driven by increase in discretionary spending and higher activation rate through digital onboarding of customers, including Amazon Pay credit cards. The Bank has issued more than 3.5 million Amazon Pay credit cards since its launch. 

The value of the Bank’s merchant acquiring transactions through UPI in Q22023 grew by 26 per cent over Q1-2023 and was 2.2 times the value of transactions in Q2-2022. The Bank is the market leader in electronic toll collections through FASTag. The Bank had a market share of 31 per cent by value in electronic toll collections through FASTag in Q2-2023, with a 20 per cent year-on-year growth in collections.

The retail loan portfolio grew by 25 per cent year-on-year and 6 per cent sequentially, and comprised 54 per cent of the total loan portfolio at September 30, 2022. Including non-fund outstanding, the retail portfolio was 44 per cent of the total portfolio at September 30, 2022. The business banking portfolio grew by 43 per cent year-onyear and 11 per cent sequentially at September 30, 2022.