ICICI Bank Q3 net up 30% to Rs2,250 crore on higher interest income
MDT/PTI 31 January 2013

On a consolidated basis, ICICI Bank's net profit rose 22% to Rs2,645 crore as all its subsidiaries -- life and general insurance companies -- reported better numbers

Mumbai: Private sector lender ICICI Bank on Thursday posted over 30% growth in standalone net profit to Rs2,250 crore in the third quarter ended December 2012, helped by sharp rise in net interest income and improvement in asset quality, reports PTI.


On a consolidated basis, the bank's net profit rose 22% year-on-year to Rs2,645 crore from Rs2,174 crore as all its subsidiaries -- life and general insurance companies -- reported better numbers.


On the back of better-than-expected numbers, Chanda Kochhar, Managing Director and Chief Executive of the country's largest private sector bank, said she is hopeful of growing above the industry average on the advances front, clipping at around 20% by the end of March.


During the reporting quarter, the city-based lender saw its other income climbing 17% to Rs2,215 crore, while the income from interests accrued grew much faster at 29% to Rs3,500 crore, she said.


Describing the better performance to overall improvement in operations, Kochhar told reporters in a conference, "the rise in profit came on the back of overall growth and efficiency parameters."


She further said, "going forward, the bank expects slight improvement in net interest margin (NIM) by a few basis points. In the December quarter, the NIM grew 37 basis points to 3.07% over the year ago period."


"Our growth in loans is well-balanced. We would grow our retail loans at 20%. Also, there is a room for growing our international business wherein the net interest margin stood at 1.3%," she said.


The bank expanded its loans by 16% y-o-y to Rs2.87 lakh crore while deposits grew at a slower pace by about 10% to Rs2.86 lakh crore.


ICICI Bank shares closed at Rs1,190.85, after hitting a high of Rs1,231 in the run-up to the earnings announcement, down 1.93% from yesterday's close on the BSE.


Analysts at Emkay Global Financial Services said numbers are significantly ahead of their estimates aided by asset quality improvement is commendable in stressed times like now.

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