ICICI Bank profit spurts 20% on NII; core profitability a tad lower on FCNR(B)
ICICI Bank reported a 20% rise in second-quarter net profit, helped by an 18% increase in core net interest income. However, core profitability edged lower as FCNR(B) deposits weighed on margins. NIM fell to 4.18%, while treasury operations swung to a loss amid higher government bond yields.
Mumbai's ICICI Bank experienced a notable 20% surge in its profit in the second quarter, driven by a substantial increase in net interest income (NII). The lender's standalone net profit rose to 19,510 crore from 18,640 crore a year earlier, buoyed by higher NII and a growing loan book. NII grew by 9.7% year-over-year to 34,620 crore, despite a softening in asset yields, which dampened core profitability.
The bank's net interest margin (NIM), which measures core profits, dipped slightly to 3.16% from 3.27% a year earlier, while return on assets also declined to 1.78%. The uncertainty surrounding leadership succession has impacted the bank's market capitalization, which has plummeted by 27% in the past year.
Written by urgent.news from The Economic Times - Top News's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
Also reported by 2 other outlets
- Axis Bank Q2 profit up 38% on loan growth economictimes.indiatimes.com
- ICICI Bank ADR earnings missed, revenue was in line with estimates investing.com
