ICICI Bank Limited’s performance for the quarter ended June 30, 2023, showed significant growth in various financial metrics. The core operating profit grew by 35.2% year-on-year to ₹13,887 crore (US$1.7 billion) in the same quarter. Profit after tax saw a substantial increase of 39.7% year-on-year, reaching ₹9,648 crore (US$1.2 billion) in Q1-2024.
The bank’s total period-end deposits experienced a notable growth of 17.9% year-on-year, amounting to ₹12,38,737 crore (US$151.0 billion) at June 30, 2023. The average CASA ratio for Q1-2024 was 42.6%. Moreover, the domestic loan portfolio grew by 20.6% year-on-year, reaching ₹10,25,310 crore (US$125.0 billion) at the end of June 2023.
ICICI Bank Limited maintained a healthy asset quality, with a net NPA ratio of 0.48% at June 30, 2023. The provision coverage ratio on non-performing assets was 82.4% at the same date.
The Bank’s consolidated results were also impressive, as the profit after tax (PAT) on a consolidated basis increased by 44.0% year-on-year to ₹10,636 crore (US$1.3 billion) in Q1-2024. Consolidated assets grew by 17.0% year-on-year to ₹2,039,897 crore (US$248.6 billion) at June 30, 2023.
ICICI Bank’s capital adequacy ratios remained well above the regulatory requirements, with a total capital adequacy ratio of 17.47% and a Tier-1 capital adequacy ratio of 16.76% at June 30, 2023.
The bank experienced strong growth in its digital and payments platforms, with significant activations on iMobile Pay and registrations on InstaBIZ. ICICI Bank’s Merchant STACK also offered various banking and value-added services to retailers and online businesses, contributing to the bank’s growth.
ICICI Bank’s key subsidiaries and associates reported varied performance in Q1-2024. ICICI Prudential Life Insurance Company (ICICI Life) saw a Value of New Business (VNB) of ₹438 crore (US$53 million), a decrease from ₹471 crore (US$57 million) in Q1-2023. The annualized premium equivalent was ₹1,461 crore (US$178 million) in Q1-2024, down from ₹1,520 crore (US$185 million) in Q1-2023. The profit after tax, however, increased by 32.7% year-on-year to ₹207 crore (US$25 million) in Q1-2024.
ICICI Lombard General Insurance Company (ICICI General) experienced growth, with Gross Direct Premium Income (GDPI) rising to ₹6,387 crore (US$778 million) in Q1-2024, up from ₹5,370 crore (US$655 million) in Q1-2023. The combined ratio stood at 103.8% in Q1-2024, compared to 104.1% in Q1-2023. Excluding the impact of a cyclone, the combined ratio improved to 102.9% for Q1-2024. The profit after tax of ICICI General grew by 11.8% to ₹390 crore (US$48 million) in Q1-2024.
ICICI Prudential Asset Management Company’s profit after tax showed substantial growth of 55.4% year-on-year, reaching ₹474 crore (US$58 million) in Q1-2024, compared to ₹305 crore (US$37 million) in Q1-2023.
Lastly, ICICI Securities reported a consolidated profit after tax of ₹271 crore (US$33 million) in Q1-2024, slightly lower than ₹274 crore (US$33 million) in Q1-2023.
In conclusion, ICICI Bank Limited showcased impressive financial performance in Q1-2024, with substantial growth in core operating profit, profit after tax, and total period-end deposits. The bank also maintained a healthy asset quality and capital adequacy, along with significant progress in its digital and payments platforms. The ICICI Bank’s subsidiaries and associates displayed a mixed performance, with some entities experiencing growth while others faced slight declines in their financial results.
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Updated: 22 Jul 2023, 05:06 PM IST
