ICICI Bank Q1 profit up 30 percent


Mumbai : The country’s second largest lender ICICI Bank said Friday its net profit rose by 30 percent to reach Rs.1,332 crore ($298 million) in the April-June period of the current fiscal on the back of strong credit growth and lower provisions.

Support TwoCircles

The bank’s total income rose to Rs.9,261.4 crore for quarter ended June 30, as compared to Rs.7,493 crore during the same quarter last year, it said in a statement.

Consolidated profit of the bank jumped 53 percent to Rs.1,667 crore for the period under review as compared to Rs.1,091 crore in the same period last year.

ICICI Bank, the largest private sector lender, has registered strong credit growth during the first three months of 2011-12. Net interest income of the bank increased 21 percent to Rs.2,411 crore ($539 million) during April-June quarter as compared to Rs.1,991 crore ($445 million) in the like period of last year.

Advances increased by 20 percent to Rs.220,693 crore ($49.4 billion) during the period under review and savings deposits increased by 18 percent to Rs.66,858 crore ($15 billion).

Decline in provisions, an expense set aside as an allowance for doubtful assets, also helped the bank register healthy growth in profit.

Provisions decreased by 43 percent to Rs.454 crore in the first quarter of 2011-12 as against Rs.798 crore in the same quarter of last year, after making additional
provisions for sub-standard and doubtful assets in accordance with the
revised Reserve Bank of India (RBI) guidelines, the bank statement said.

The ICICI Bank scrip rose 2.10 percent to Rs.1,050 at the Bombay Stock Exchange shortly after the results were announced.