The country’s largest private sector bank ICICI bank on Friday posted a 19% rise in net profit, year-on-year at Rs 1,236 crore, for the quarter ended September 30 as against Rs 1,040 crore in the corresponding quarter a year ago.
Net interest income grew 8.3% to R2,204 crore while fee income witnessed a 14.6% hike to R1,590 crore.
“For the year as a whole, we expect deposits and advances to grow in the range f 18-20%,” said Chanda Kochhar, managing director and chief executive officer, ICICI Bank. “Going forward both corporate and retail loans will drive the growth,” she said.
The bank’s corporate loans grew 30%, led by infrastructure financing and working capital advances while retails loans remained flat. Total advances grew by 5.3% to Rs 1,94,201.0 crore during the quarter.
The lender, which bought Bank of Rajasthan in August this year, also improved its asset quality as net non-performing assets decreased by 30% at Rs 3,192.0 crore in the quarter, over Rs 4,558.0 crore last year. Provisions decreased 40.2% to Rs 641.0 crore, from Rs 1,071.0 crore in the year-ago period.
The share of the cheaper CASA (Current Accounts and Savings Account) deposits in the total liability pie increased to 44% as of September 30, which helped the bank stretch its net interest margin to 2.6%.
The bank has 2,501 branches, the largest among private banks in the country.