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ICICI Bank Q2 net profit dives 42 pc to Rs 1,205 crore

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Press Trust of India New Delhi
Last Updated : Oct 26 2018 | 9:10 PM IST

ICICI Bank Friday reported a 42 per cent drop in its consolidated net profit to Rs 1,204.62 crore in the September 2018 quarter, on account of rise in bad loans.

The country's largest private sector lender had posted a consolidated net profit of Rs 2,071.38 crore in the corresponding quarter a year ago, the bank said in a regulatory filing.

However, total income of the bank on a consolidated basis rose to Rs 31,914.82 crore as against Rs 30,190.54 crore a year ago.

On a standalone basis, its net profit fell by 56 per cent to Rs 908.88 crore in the said quarter as against Rs 2,058.19 crore in July-September 2017.

The bank had reported a net loss of Rs 119.55 crore in the first quarter of the ongoing fiscal.

Total income of the ICICI Bank on a standalone basis stood at Rs 18,262.12 crore during the September quarter, down from Rs 18,763.29 crore in the year-ago period.

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Asset quality was dented further as gross NPAs, as a percentage of gross advances, hit 8.54 per cent in the reported quarter as against 7.87 per cent as on September 30, 2017. In absolute terms, gross NPAs rose Rs 54,448.96 crore against Rs 44,488.54 crore.

However, net NPAs declined to 3.65 per cent (Rs 22,085.68 crore) of the net loans by the end of September quarter 2018-19 from 4.43 per cent (Rs 24,129.78 crore) in the year-ago period.

Total provision of the bank during the quarter declined to Rs 3,994.29 crore from Rs 4,502.93 crore in the same period a year ago.

During the quarter, net interest income rose to Rs 6,418 crore as compared to Rs 5,709 crore.

The core operating profit increased to Rs 5,285 crore from Rs 4,794 crore in the second quarter of the previous fiscal.

The net interest margin was 3.33 per cent at the end of September 2018.

During the quarter, the bank had sold equity shares representing 7 per cent shareholding in ICICI Lombard General Insurance Company Limited in an initial public offer for a total consideration of Rs 2,099.43 crore.

The sale had resulted in a gain after IPO related expenses of Rs 2,012.15 crore in unconsolidated financial results and Rs 1,711.32 crore in consolidated financial results for the second quarter.

Besides, the bank also appointed Hari L Mundra as an additional (independent) director of the bank for a period of 5 years, subject to the approval of shareholders.

Shares of ICICI Bank closed at Rs 315.05 apiece on the BSE, down 1.45 per cent from their previous close.

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First Published: Oct 26 2018 | 9:10 PM IST

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