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ICICI Bank Ltd has reported a 15.95% year-on-year rise in its standalone net profit for the April-June quarter. It has increased to Rs 14,804.5 crore.
This profit of the bank was much better than the market estimates. The Net Interest Income (NII) of this large private sector bank also grew faster than expected and stood at Rs 24,384.35 crore with an annual growth of 12.7%.
Beat market estimates
According to CNBC-TV18’s analyst poll, the market was expecting ICICI Bank’s net interest income (NII) to grow by 9% to Rs 23,689 crore in the quarter.
At the same time, there was an estimate of 7% growth in net profit as compared to last year, under which it was expected to be Rs 13,616 crore. The bank beat these estimates in both profit and interest income.
Improvement in margins and asset quality
During the June quarter, the bank’s Net Interest Margin (NIM) has seen improvement on both quarterly and annual basis. NIM was recorded at 4.36% in this quarter.
However, it stood at 4.32% in the March quarter and 4.34% in the same period last year. Along with this, the asset quality of the bank has also been strengthened.
14% growth in loan book and deposits
The total loan portfolio of the bank increased by 19.6% year-on-year to Rs 16,31,260 crore by June 30, 2026. At the same time, an increase of 14% was recorded in total deposits and it reached Rs 18,33,586 crore.
Similarly, the average deposit has also increased by 14% to Rs 17,48,028 crore, while the average CASA ratio of the bank has been recorded at 38.1%.
Bank got relief on NPA front
The gross NPA ratio of the bank has come down to 1.38% by June 30, 2026, which was 1.40% at the end of March and 1.67% in the same period last year.
Talking about the net NPA ratio of the bank, it was 0.35%, which was at the level of 0.33% in the last quarter and 0.41% a year ago.
The bank has given 8.7% returns so far in 2026
On Friday, ICICI Bank shares closed at Rs 1,444.3 with a gain of 1.84%. So far in the year 2026, this stock has given a return of 8.7% to the investors.
In comparison, during the same period, the main stock market index Nifty 50 has registered a decline of 6.9%, which means the bank has performed better than the market.
What is net interest income and net interest margin?
Net Interest Income (NII): The bank mainly performs two functions – accepting deposits and giving loans. The amount left after deducting the interest paid to depositors from the interest received by the bank on giving loan is called Net Interest Income (NII). This is the main income of the bank.
Net Interest Margin (NIM): It is a measure of financial health of a bank. The difference between the amount of interest a bank earns on its total interest earning assets (such as loans) and the interest it pays on deposits, expressed in percentage, is called Net Interest Margin.
What is Non Performing Asset or NPA?
When a person or organization takes a loan from a bank and does not return it, it is called bad loan or non-performing asset or NPA. This means that the chances of recovery of these loans are very less. As a result, banks lose money and go into losses.
According to the rules of the Reserve Bank of India (RBI), if the installment of a bank loan is not repaid for 90 days i.e. three months, then that loan is declared NPA. In case of other financial institutions this limit is 120 days. Banks have to do this to clear the books.
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