Business Standard

Takeaways from ICICI Bank results

Bank's performance has improved on a y-o-y basis, but its performance on a q-o-q basis paints a different picture

Related News

While ICICI Bank's result on a year on year basis shows all-round improvement, its performance compared to the previous quarter paints a different picture

  • ICICI Bank beat market consensus by posting a net profit of Rs 1,815 crore against expectation of Rs 1,704 crore.
  • Importantly the bank improved its Net Interest Margin (NIM) by 40 basis points to 3.01%, which was one of the main reason for overshooting expectations
  • Its cost-to-income ratio saw a sharp reduction from 44.7% to 41.8% as compared to June 2011
  • Capital adequacy ratio stood at 18.54% while its Tier 1 capital adequacy was at 12.78%
  • Advances grew 22% to Rs 268,430 crore while deposits grew at a lower pace of 17% to Rs 77,923 crore
  • CASA (Current account and savings account) stood at 40.6%
  • Both its insurance subsidiaries, ICICI Prudential Life Insurance and ICICI Lombard General Insurance continue to remain profitable with the life insurance venture maintaining profit at Rs 349 crore while its general insurance venture doubled its profit to Rs 83 crore.
  • Gross NPA of the bank stood at 3.54% in June 2012 as compared to 4.36% in June 2011.
  • Net NPA was  lower from 1.04% to 0.71%
  • Return on assets improved from 1.3% to 1.57%


Comments

  • ICICI Bank’s results looks impressive when compared with its performance a year back, however, on a quarter on quarter basis, it’s a different picture.
  • Net Profit at Rs 1,815 crore was lower than March 2012 figure of Rs 1,901.76 crore
  • Return on assets fell from 1.69% in March 2012 to 1.57% in June 2012
  • NIM was flat at 3.01%
  • CASA reduced from 43.5% to 40.6%
  • Net NPA in March 2012 was 0.73% as compared to 0.71% in June 2012
  • Gross NPA improved from 3.62% in March 2012 to 3.54% in June 2011, however in absolute term it increased from Rs 9,475.33 crore to Rs 9,816.63 crore respectively.
  • Provision were at Rs 466 crore in June 2012 as against Rs 469 crore in March 2012 and Rs 453.86 crore in June 2011
  • Other income (fees constitute a large portion of it) fell from Rs 2,228.46 crore in March 2012 to Rs 1,879.92 crore in June 2012. Contribution of ‘other income’ in June 2011 stood at Rs 1,642.89 crore.
  • Restructured assets stood at Rs 4,172 crore in June 2012 as against Rs 4,256 crore in March 2012. This was mainly on account of the bank selling its Kingfisher assets to SREI

Read more on:   
|
|
|

Read More

Analysis: Is it time to buy Tata Motors?

Tata Motors has fallen by nearly 4% over the last two days on news that the company will be shutting down its Jamshedpur unit for three days. This is ...

Quick Links

Market News

Pressure mounts on NMDC to reduce iron ore prices

Private miners in Odisha, Chhattisgarh have cut prices by Rs 800-1,000 a tonne, while international price is at over five-year low; state-owned ...

Cotton price at multiyear low as demand dries

The price has fallen by almost 10 per cent in a month, and 23 per cent in four months, since the new crop started hitting the market

FMC set to procure more wheat this season

The paddy procurement that has been pegged at 30 million tonne which will meet targets

Govt may take a call on exporting wheat from central pool next month

Officials said the ministry is open to exporting 0.5-1.0 mt of wheat from state-run warehouses

Oil slips to $49 on huge US stock build, firm dollar

Oil slipped to $49 a barrel on Wednesday after an industry report said US crude stocks rose the most in two decades last week, and as a firmer ...

 

Back to Top