“ICICI Bank Reports 14.8% YoY Profit Growth in Q3 FY25, Strong Performance Across Deposits, Advances, and Asset Quality”
ICICI Bank has reported strong growth in its standalone performance for the third quarter of FY25, showcasing a robust financial trajectory. The private sector lender, recognized as India’s second-largest, revealed a profit after tax (PAT) of ₹11,792 crore, reflecting an impressive 14.8% year-on-year (YoY) growth. The bank’s net interest income (NII) surged to ₹20,371 crore, marking a 9.1% YoY increase during the December quarter.
ICICI Bank’s net interest margin (NIM) for Q3 FY25 stood at 4.25%, slightly lower than the 4.27% recorded in Q2 FY25 and 4.43% in Q3 FY24. Despite this marginal decline, the bank maintained its net NPA ratio at a stable 0.42% sequentially, supported by a provisioning coverage ratio of 78.2% on non-performing loans as of December-end.
The bank continued to demonstrate solid deposit growth, with total period-end deposits increasing by 14.1% YoY to ₹15,20,309 crore, along with a sequential rise of 1.5%. Average deposits during the quarter grew by 13.7% YoY and 2.1% sequentially to ₹14,58,489 crore. Current account deposits surged by 13.1% YoY and 4.5% sequentially, while savings account deposits rose by 12.3% YoY and 1.3% sequentially. The bank’s current account and savings account (CASA) ratio stood at a healthy 39% during this period.
On the credit front, ICICI Bank reported a 15.1% YoY growth in net domestic advances, with a sequential increase of 3.2%. The retail loan portfolio, which makes up 52.4% of the total loan portfolio, grew by 10.5% YoY and 1.4% sequentially. Business banking showed exceptional growth, with the portfolio expanding by 31.9% YoY and 6.4% sequentially, reflecting strong demand across sectors.
The bank’s asset quality remained steady, with the gross NPA ratio improving marginally to 1.96% in Q3 from 1.97% in Q2 of FY25. Gross NPA additions were reported at ₹6,085 crore for the quarter, compared to ₹5,916 crore in Q1 FY25 and ₹5,073 crore in Q2 FY25. The bank highlighted that higher gross NPA additions are typically observed in the kisan credit card portfolio during the first and third quarters of the fiscal year. During this period, the bank also wrote off gross NPAs amounting to ₹2,011 crore.
Capital adequacy remained robust, with ICICI Bank reporting a total capital adequacy ratio of 16.60% and a CET1 ratio of 15.93%, comfortably surpassing the regulatory minimum requirements of 11.70% and 8.20%, respectively.
These results underscore ICICI Bank’s resilience and strategic focus on growth while maintaining a balanced approach to asset quality and capital adequacy. The consistent performance across deposits, advances, and profitability reflects the bank’s ability to adapt and thrive in a dynamic financial environment.
