ICICI Bank Q1 Results: Net profit rises 15.5% YoY to Rs 12,768 crore; NII up 11%

ICICI Bank, India’s second-largest private lender, on Saturday reported a standalone net profit of Rs 12,768.21 crore, up 15.5% year-over-year compared to a profit of Rs 11,059.11 crore in the corresponding quarter of last year.

The bank also posted a 10.6% increase YoY in net interest income (NII), which rose to Rs 21,635 crore in the June quarter from Rs 19,553 crore a year ago.

ICICI Bank said its net interest margin stood at 4.34% in the quarter ended June 2025, compared with 4.41% in the preceding March quarter and 4.36% a year ago.

The bank’s core operating profit grew 13.6% year-on-year to Rs 17,505 crore, up from Rs 15,412 crore in Q1 FY25.

The lender said its provisions (excluding tax) rose to Rs 1,815 crore in the first quarter of FY26 from Rs 1,332 crore in the year-ago period. Provisions in Q1 FY25 included a release of Rs 389 crore related to Alternative Investment Fund (AIF) exposures.

Treasury gains stood at Rs 1,241 crore in the June quarter, up from Rs 613 crore in Q1 FY25, largely reflecting realised and mark-to-market gains in fixed income securities and equities.

Strong deposit growth, stable loan book and healthy capital ratios

Average deposits grew 11.2% year-on-year to Rs 15,33,241 crore in the June 2025 quarter. The average current account and savings account (CASA) ratio stood at 38.7% during the quarter.

The bank said its domestic loan portfolio expanded 12% year-on-year to Rs 13,31,196 crore as of June 30, 2025.

Meanwhile, the lender's asset quality remained stable, with the gross non-performing asset (NPA) ratio improving to 1.67% as of June 30, 2025, from 2.15% a year earlier. The net NPA ratio stood at 0.41%, slightly lower than 0.43% in the same period last year. The provisioning coverage ratio on non-performing loans was 75.3%.

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Including the profit for Q1 FY26, ICICI Bank said its total capital adequacy ratio stood at 16.97%, while the Common Equity Tier-1 (CET1) ratio was 16.31% on a standalone basis, as of June 30, 2025. These levels are comfortably above the minimum regulatory requirements of 11.70% and 8.20%, respectively.

Credit growth led by business banking

The bank's net domestic advances grew by 12% year-on-year and 1.5% sequentially as of June 30, 2025. The retail loan portfolio expanded 6.9% year-on-year and 0.5% sequentially, comprising 52.2% of the total loan portfolio at the end of the quarter. Including non-fund outstanding, the retail portfolio accounted for 43.2% of the total.

The business banking portfolio posted robust growth of 29.7% year-on-year and 3.7% sequentially. The rural loan book, however, declined 0.4% year-on-year and 1.5% sequentially. The domestic corporate portfolio grew 7.5% year-on-year but declined 1.4% sequentially.

Total advances rose 11.5% year-on-year and 1.7% sequentially to Rs 13,64,157 crore as of June 30, 2025.