ICICI Bank Q4 profit up 26% at Rs 1,221 crore, NII grows to Rs 8,927 crore

New Delhi: India’s largest private sector lender ICICI Bank said on Saturday its profit after tax grew by 26 per cent year-on-year to Rs 1,221 crore in Q4 FY20 from Rs 969 crore in the quarter ended Q4 FY19.

Excluding Covid-19 related provisions, the profit after tax would have been Rs 3,260 crore, it said. Provisions (excluding Covid-19 related provisions and provision for tax) were Rs 3,242 crore in the quarter ended March 31.

The core operating profit (profit before provisions and tax excluding treasury income) grew by 18 per cent year-on-year to Rs 7,148 crore in the January to March quarter, the bank said in a statement.

Net interest income (NII) increased by 17 per cent year-on-year to Rs 8,927 crore in Q4 FY20 from Rs 7,620 crore in Q4 FY19. Excluding the interest on income tax refund, NII grew by 24 per cent.

The net interest margin was 3.87 per cent in Q4 FY20 compared to 3.77 per cent in the quarter ended December 31, 2019 (Q3 FY20) and 3.72 per cent in Q4 FY19.

Fee income grew by 13 per cent year-on-year to Rs 3,598 crore from Rs 3,178 crore while retail fees constituted 75 per cent of total fees.

On the other hand, treasury income grew by 55 per cent year-on-year to Rs 242 crore in Q4 FY20 from Rs 156 crore in Q4 FY19.

ICICI Bank said total advances increased by 10 per cent year-on-year to Rs 6.45 lakh crore at March 31, 2020, from Rs 5.86 lakh crore at March 31, 2019. Significantly, total deposits increased by 18 per cent year-on-year to Rs 7.7 lakh crore at March 31, 2020.

During the quarter, gross additions to non-performing assets (NPAs) were Rs 5,306 crore. Recoveries and upgrades excluding write-offs from non-performing loans were Rs 1,883 crore in Q4 FY20.

Net non-performing assets reduced by 26 per cent from Rs 13,577 crore at March 31, 2019, to Rs 10,114 crore at March 31, 2020. The net NPA ratio decreased from 2.06 per cent to 1.41 per cent.

The bank’s total capital adequacy at March 31 as per the Reserve Bank of India’s guidelines on Basel III norms, including profits for FY20, was 16.11 per cent and tier-1 capital adequacy was 14.72 per cent compared to the minimum regulatory requirements of 11.08 per cent and 9.08 per cent respectively.

“The bank is well-capitalised and has a strong deposit franchise. The digital and technology platforms are key strengths of the bank and the present scenario provides an opportunity to re-engineer the delivery of banking,” it said. (ANI)