ICICI Bank shares gained more than 1 per cent on the BSE in a subdued market after the bank reported a jump in net profit in the first quarter ended June 2021. On Saturday, ICICI Bank reported a 78 per cent rise in net profit to Rs 4,616 crore in the quarter ended June 30, 2021, compared to Rs 2,599 crore in the same quarter a year ago. At 11:15 am, ICICI Bank shares were trading at Rs 683.60, higher by 1 per cent on the BSE.
The country's leading private sector lender's provisions - excluding provision for tax - declined sharply as it has changed its policy on nonperforming loans in the quarter to make it more conservative.
ICICI Bank's core operating profit - the profit before provisions and taxes, increased 23 per cent year-on-year to Rs 8,605 crore in the first quarter of the financial year 2021-22, compared to Rs 7,014 crore in the year-ago period.
The private sector bank's net interest income (NII) - or the difference between interest earned and interest paid, in the June quarter increased 18 per cent year-on-year to Rs 10,936 crore, compared to Rs 9,280 crore in the same quarter last year.
During the quarter, ICICI Bank held pandemic-related provisions of Rs 6,425 crore. The bank wrote back COVID-19 provisions amounting to Rs 1,050 crore made in earlier periods based on its current assessment of the portfolio.
At 11:15 am, the BSE Sensex and NSE Nifty were trading higher by 0.2 per cent each at 53,080 and 15,883 respectively.