The bank’s net interest income (NII) increased by 34.6% YoY to Rs 16,465 crore in Q3. ICICI Bank’s net interest margin increased to 4.65% in Q3 compared to 3.96% in the year-ago period and 4.31% in Q2 of the current financial year.
The lender’s net NPA ratio declined to 0.55% in December-end from 0.61% at the end of the September quarter. The provisioning coverage ratio on non-performing assets was at 82%.
Its deposits grew by 10.3% YoY to Rs 11,22,049 crore and loan portfolio recorded a growth of 19.7% YoY. Provisions (excluding provision for tax) increased by 12.5% YoY to Rs 2,257 crore in Q3.
“During the quarter, the bank has changed its provisioning norms on nonperforming assets to make them more conservative. This change resulted in higher provisions amounting to Rs 1,196 crore in Q3-2023. Provisions for Q3-2023 also include contingency provision of Rs 1,500 crore made on a prudent basis,” the lender said in an exchange filing.