In This Article:
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Profit Before Tax (Excluding Treasury): INR152.89 billion, up 12.8% year on year.
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Core Operating Profit: INR165.16 billion, up 13.1% year on year.
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Profit After Tax: INR117.92 billion, up 14.8% year on year.
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Total Deposits: Grew by 14.1% year on year.
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Domestic Loan Portfolio Growth: 18.1% year on year.
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Net NPA Ratio: 0.42% as of December 31, 2024.
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Provisioning Coverage Ratio: 78.2% on non-performing loans.
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Net Interest Income: INR203.71 billion, up 9.1% year on year.
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Net Interest Margin: 4.25% for the quarter.
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Non-Interest Income (Excluding Treasury): INR66.97 billion, up 12.1% year on year.
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Operating Expenses: Increased by 5% year on year.
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Branch Count: 6,742 branches as of December 31, 2024.
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Consolidated Profit After Tax: INR128.83 billion, up 16.6% year on year.
Release Date: January 25, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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ICICI Bank Ltd (NYSE:IBN) reported a 14.8% year-on-year increase in profit after tax, reaching INR117.92 billion for Q3 FY25.
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The bank's domestic loan portfolio grew by 18.1% year over year, indicating strong lending activity.
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The provisioning coverage ratio on nonperforming loans was maintained at a robust 78.2%, reflecting strong risk management practices.
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ICICI Bank Ltd (NYSE:IBN) maintained a strong capital position with a CET1 ratio of 15.93% and a total capital adequacy ratio of 16.6%.
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The bank's focus on technology and digital platforms, such as the DGE and iLens, enhances operational efficiency and customer experience.
Negative Points
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The overseas loan portfolio declined by 21.2% year on year, indicating challenges in international operations.
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Net interest margin decreased to 4.25% from 4.43% in the same quarter last year, reflecting pressure on interest income.
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The retail loan portfolio growth slowed to 10.5% year on year, with personal loans declining 1.3% sequentially.
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Gross NPA additions increased to INR60.85 billion in the current quarter, up from INR50.73 billion in the previous quarter.
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Operating expenses increased by 5% year on year, with technology expenses accounting for 10.5% of operating expenses, indicating rising costs.
Q & A Highlights
Q: What is the current status of provisioning and credit costs, and how does it impact the bank's financials? A: Anindya Banerjee, Group CFO, explained that the credit cost on the retail and business banking portfolios remains stable, with minimal credit costs or NPL provisioning on the corporate portfolio. The overall provisions are within the 50 basis points range, with the reported number for the quarter at 37 basis points.