ICICI Bank’s Shares Down 3% As Bad Loans Rise, Weak Q1 Profit Growth

New Delhi: ICICI Bank shares today declined by 3 per cent after the private bank reported a marginal rise of 3.5 per cent in consolidated net profit for the first quarter of current fiscal on asset quality woes.

After making a weak opening, shares of the bank further declined by 2.93 per cent to Rs. 298.05 on BSE.

At NSE, the stock dipped 2.99 per cent to Rs. 298. ICICI Bank, the country’s largest private sector lender,
yesterday reported a marginal rise of 3.5 per cent in consolidated net profit at Rs. 2,604.73 crore for the first quarter of the current fiscal.

The bank’s net profit in the corresponding April-June quarter of 2016-17 stood at Rs. 2,515.85 crore.

Total income on consolidated basis rose to Rs. 26,517.57 crore for the quarter under review, as against Rs. 24,483.75 crore in the same period of the previous fiscal, the bank said in a regulatory filing.

There was a deterioration in bank’s asset quality, with gross non-performing assets (NPAs) or bad loans rising to 7.99 per cent of the gross advances as on June 30, 2017, compared to 5.28 per cent as on June 30, 2016. Net NPAs rose to 4.86 per cent of the net loans from 3.01 per cent a year earlier.

[“source-profit.ndtv”]