ICICI Bank on Friday reported a 34% year-on-year (y-o-y) fall in its standalone net profit to Rs 2,058 crore in Q2FY18, owing to lower other income, which fell 43% y-o-y to Rs 5,186 crore.
ICICI Bank on Friday reported a 34% year-on-year (y-o-y) fall in its standalone net profit to Rs 2,058 crore in Q2FY18, owing to lower other income, which fell 43% y-o-y to Rs 5,186 crore. The private sector bank’s loan book grew a reasonably good 13% y-o-y to Rs 4.82 lakh crore, with retail assets clocking a 19% y-o-y increase and the corporate book growing 3.9% y-o-y. MD & CEO Chanda Kochhar said the bank was yet to receive the final report from the Reserve Bank of India on its risk-based supervision. “The inspection process is going on and we usually get the report in Q3,” the MD said. Kochhar said good progress had been made on resolutions under the Insolvency and Bankruptcy Code for the first 12 accounts. “Of the 12 cases 11 cases have been admitted to the NCLT (National Company Law Tribunal). Interim resolution professionals have been appointed and many have gone through the stage of expressions of interest. I think between January and March we would get to see how the resolutions pan out,” she said. For the companies on the second list, she said resolutions were being discussed at various forums.
Kochhar said she expects additions to non-performing assets (NPAs) in FY18 to be substantially lower than in FY17. Asset quality was stable in Q2 owing to only a 3% sequential rise in gross NPAs. As a percentage of total advances, gross NPAs stood at 7.87%, 12 basis points lower than the previous quarter. Total deposits increased by 11% y-o-y to Rs 4.98 lakh crore and the share of current and savings accounts stood at 49.5%.
The ICICI Bank scrip ended Friday at Rs 300.95 on the BSE, up 0.57%. The results were announced after market hours.