ICICI Bank has reported a profit after tax of Rs. 1,040 crore (standalone) for the second quarter ended June 30, 2009 against Rs. 1,014 crore in the year-ago period.
Net interest income was lower at Rs. 2,036 crore against Rs. 2,148 crore mainly due to the decline in advances owing to the moderation in system credit growth, and decline in advances of overseas branches.
Total deposits stood at Rs. 197,832 crore as on September 30, 2009, as compared to Rs. 210,236 crore as on June 30, 2009, and Rs. 223,402 crore as on September 30, 2008.
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The current and savings account (CASA) ratio increased to 36.9 per cent as at September 30, 2009, from 30 per cent as on September 30, 2008.
The bank has made a further progress in its strategy of strengthening its deposit franchise It continues to invest in expanding its branch network to enhance its deposit franchise and create an integrated distribution network for both asset and liability products.
The branch network of the bank stood at 1,520 at October 26. It is in the process of implementing the 580 branch licenses received from Reserve Bank of India which would expand the branch network to about 2,000 branches.
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The loan book of the bank declined to Rs. 190,860 crore on September 30, 2009, from Rs. 198,102 crore on June 30, 2009, mainly due to the fall in the agricultural loan portfolio in line with the seasonal nature of the business, and repayments from the retail loan portfolio, partly offset by increase in corporate advances.
The capital adequacy as at September 30, 2009, as per Reserve Bank of India’s Basel II norms was 17.7 per cent, and Tier-1 capital adequacy was 13.3 per cent well above the RBI’s requirement of total capital adequacy of 9 per cent and Tier-1 capital adequacy of 6 per cent.
As at September 30, 2009, the bank’s net non-performing asset ratio was at the same level as June 30, 2009 at 2.19 per cent.
Total provisions declined sequentially by 19 per cent to Rs. 1,071 crore in the second quarter of the current financial year from Rs. 1,324 crore in the first quarter.
The consolidated profit after tax of the bank increased by 76 per cent to Rs. 1,145 crore from Rs. 651 crore in the second quarter of last year, driven primarily by the sharp reduction in losses of ICICI Prudential Life Insurance Company (ICICI Life) and increase in profit of other subsidiaries.