ICICI Bank’s net profit increased by 8.5%
Private sector lender ICICI Bank reported 8.49 per cent net profit growth in the January-March quarter of FY26 (Q4 FY26) on a year-on-year (YoY) basis to ₹13,701.68 crore from ₹12,629.58 crore in Q4FY25, driven by healthy growth in income and a sharp decline in provisions.
The bank’s net interest income (NII) for the quarter rose 8.4 per cent year-on-year to ₹22,979 crore, compared with ₹21,193 crore in the year-ago period. Net interest margin (NIM) increased to 4.32 per cent from 4.30 per cent in Q3FY26.
Non-interest income, excluding treasury, increased by 5.6 per cent to ₹7,415 crore in Q4FY26 from ₹7,021 crore in Q4 FY25. The bank reported a fiscal loss of ₹106 crore in Q4 FY26, compared to a loss of ₹157 crore in Q3 FY26 and a profit of ₹239 crore in Q4 FY25.
In a post-earnings media call, Sandeep Batra, executive director, ICICI Bank, said: “These (treasury losses) primarily reflect market movements. The bank had some open positions in the onshore market, which needed to be reduced as per the RBI guideline and the loss of treasury income of Rs 109 crore reflects the impact of widening of spreads after the issuance of the guidelines.”
The bank’s provisions (except provision for tax) declined to ₹96 crore in Q4FY26 from ₹891 crore in the same quarter last fiscal, reflecting healthy asset quality and higher recoveries and write-backs.
The bank continued the contingency provision of ₹13,100 crore till March 31, 2026, along with the additional standard asset provision of ₹1,283 crore made in Q3FY26 as per the directions of the Reserve Bank of India (RBI) in respect of the agriculture priority sector portfolio.
Bank deposits grew 11.4 percent year-on-year to ₹17.95 trillion at the end of March 2026. The average current account to savings account (CASA) ratio stood at 38.6 per cent in Q4FY26.
ICICI Bank’s advances grew 15.8 per cent year-on-year to ₹15.54 trillion at the end of March 31, 2026.
Retail loan portfolio grew by 9.5 per cent year-on-year and 4.2 per cent sequentially, and comprised 50.4 per cent of the total loan portfolio as on March 31, 2026. Including non-fund outstanding, the retail portfolio stood at 41.7 per cent of the total portfolio as on March 31, 2026. Domestic advances grew by 15.3 per cent and 5.6 per cent year-on-year. Sequentially till March 31, 2026.
“The improvements reflect the strong momentum of economic activity in the country, which has been supported by policy measures and a fairly stable policy rate,” Batra said. “So, within this framework, we have seen growth in mortgage, rural portfolio and personal loans. During the quarter, we are seeing some growth in corporate loans and healthy growth in business banking.”
The bank also believes that developments in West Asia will have some impact on the world. “Looking at the overall picture, I think corporate India will be back on the growth path again.” Batra added.
The lender’s asset quality improved, with the gross non-performing assets (GNPA) ratio standing at 1.4 per cent as on March 31, 2025, compared to 1.53 per cent as on December 31, 2025, and 1.67 per cent as on March 31, 2024.
The net NPA ratio stood at 0.33 per cent as on March 31, 2025, compared to 0.37 per cent as on December 31, 2025, and 0.39 per cent as on March 31, 2024.
For FY26, profit after tax increased 6.2 per cent year-on-year to ₹50,147 crore, from ₹47,227 crore in FY25.
The bank’s total capital adequacy ratio as on March 31, 2026, after calculating the impact of the proposed dividend, was 17.18 per cent and CET-1 ratio was 16.35 per cent, while the minimum regulatory requirements were 11.70 per cent and 8.20 per cent, respectively.
The Board of Directors of ICICI Bank has also recommended a dividend of ₹12 per equity share, subject to requisite approvals.
The Board also approved the annual renewal of the limit for raising funds by issuing debt securities, including non-convertible debentures, in the domestic markets up to an aggregate limit of ₹25,000 crore through private placement.
It also approved issuance of bonds or notes or offshore certificates of deposit up to $1.50 billion in overseas markets for a period of one year from the date of passing of the resolution by the Board. The Board has also authorized repurchase of debt securities within the limits that the Board is authorized to approve under applicable law.
It has appointed G. as the group chief risk officer of the bank from August 1, 2026 to July 31, 2028. Extension of Srinivas’s tenure has also been approved.
