ICICI Bank profit spurts 20% on NII; core profitability a tad lower on FCNR(B)
AgenciesStandalone net profit was 19,510 crore, up from 18,640 crore a year earlier, aided by higher net interest income (NII) and a swelling loan book. NII, or the core income from lending, rose 9.7% YoY to 34,620 crore at India’s most-valued lender that has seen its market capitalisation shrink 27% in a year due largely to the uncertainty surrounding leadership succession. Softening asset yields crimped core profitability. Net interest margin (NIM), the metric for core profits, moderated to 3.16% from around 3.27% a year earlier. Return on assets also moderated to 1.78%.
“We have seen a fair amount of underlying business momentum in various metrics, especially in retail and MSMEs,” outgoing chief executive Sashidhar Jagdishan said in a post-earnings call.
