ICICI Bank Q1 FY23 results

Performance Review: Quarter ended June 30, 2022
 Core operating profit (profit before provisions and tax,
excluding treasury income) grew by 19% year-on-year to `
10,273 crore (US$ 1.3 billion) in the quarter ended June 30,
2022 (Q1-2023)
 Net interest income grew by 21% year-on-year in Q1-2023
 Profit after tax grew by 50% year-on-year to ` 6,905 crore (US$
874 million) in Q1-2023
 Total period-end deposits grew by 13% year-on-year to `
1,050,349 crore (US$ 133.0 billion) at June 30, 2022
 Average current account and savings account (CASA) ratio
was 45.8% in Q1-2023
 Domestic loan portfolio grew by 22% year-on-year
 Net NPA ratio declined to 0.70% at June 30, 2022 from 0.76%
at March 31, 2022
 Provisioning coverage ratio on non-performing assets was
79.6% at June 30, 2022
 Including profits for Q1-2023, total capital adequacy ratio was
18.74% and Tier-1 capital adequacy ratio was 17.95%, on a
standalone basis, at June 30, 2022
The Board of Directors of ICICI Bank Limited (NSE: ICICIBANK, BSE: 532174,
NYSE: IBN) at its meeting held at Mumbai today, approved the standalone
and consolidated accounts of the Bank for the quarter ended June 30, 2022
(Q1-2023). The statutory auditors have conducted a limited review and have
issued an unmodified report on the standalone and consolidated financial
statements for the quarter ended June 30, 2022.

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Profit & loss account
 The core operating profit (profit before provisions and tax, excluding
treasury income) increased by 19% year-on-year to ₹ 10,273 crore (US$
1.3 billion) in Q1-2023 from ₹ 8,605 crore (US$ 1.1 billion) in the quarter
ended June 30, 2021 (Q1-2022); excluding dividend income from
subsidiaries/associates, core operating profit grew by 21% year-on-year
in Q1-2023
 Net interest income (NII) increased by 21% year-on-year to ` 13,210
crore (US$ 1.7 billion) in Q1-2023 from ` 10,936 crore (US$ 1.4 billion) in
Q1-2022
 The net interest margin was 4.01% in Q1-2023 compared to 3.89% in
Q1-2022 and 4.00% in the quarter ended March 31, 2022 (Q4-2022)
 Non-interest income, excluding treasury income, increased by 25%
year-on-year to ₹ 4,629 crore (US$ 586 million) in Q1-2023 from ₹ 3,706
crore (US$ 469 million) in Q1-2022
 Fee income grew by 32% year-on-year to ₹ 4,243 crore (US$ 537 million)
in Q1-2023 from ₹ 3,219 crore (US$ 408 million) in Q1-2022. Fees from
retail, rural, business banking and SME customers constituted about
79% of total fees in Q1-2023
 There was a treasury gain of ` 36 crore (US$ 5 million) in Q1-2023
compared to a gain of ` 290 crore (US$ 37 million) in Q1-2022
 Provisions (excluding provision for tax) declined by 60% year-on-year to
` 1,144 crore (US$ 145 million) in Q1-2023 from ` 2,852 crore (US$ 361
million) in Q1-2022. Provisions for Q1-2023 include contingency
provision of ` 1,050 crore (US$ 133 million) made on a prudent basis
 The profit before tax grew by 52% year-on-year to ₹ 9,165 crore (US$ 1.2
billion) in Q1-2023 from ₹ 6,043 crore (US$ 765 million) in Q1-2022
 On a standalone basis, the profit after tax grew by 50% year-on-year to
` 6,905 crore (US$ 874 million) in Q1-2023 from ₹ 4,616 crore (US$ 585
million) in Q1-2022
Growth in digital and payments platforms
In December 2020, the Bank had expanded its mobile banking app, iMobile,
to iMobile Pay which offers payment and banking services to customers of
any bank. There have been 73 lakh activations of iMobile Pay from non-ICICI
Bank account holders as of June 30, 2022.
The value of credit card spends in Q1-2023 grew by 13% sequentially and
was two times the value of spends in Q1-2022 driven by improvement in
discretionary spending, higher activation rate through digital onboarding of
customers, including Amazon Pay credit cards, and diversification through
commercial cards. The Bank has issued more than 3.2 million Amazon Pay
credit cards since its launch.
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ICICI Bank Towers
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Mumbai 400 051

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During the quarter, the Bank launched Campus Power, an online platform
providing various banking solutions such as loans, bank accounts, foreign
exchange remittances and value added services to the student ecosystem
for higher education in India and abroad.
The business banking and SME franchise continues to grow on the back of
digital offerings and platforms like InstaBIZ. The value of financial
transactions on InstaBIZ grew by about 57% year-on-year in Q1-2023. In line
with the philosophy of open architecture, the Bank recently made the
InstaBIZ app interoperable. Various features of the app are now available to
all merchants including those who do not have a current account with the
Bank. Through ‘InstaOD Plus’, customers of any bank can avail an overdraft
(OD) up to ` 25 lakh instantly. Customers of ICICI Bank can activate the OD
into their current account instantly, while customers of other banks can do
so after opening a current account with the Bank digitally by using Video
KYC. There have been about 120,000 registrations from non-ICICI Bank
account holders on InstaBIZ till June 30, 2022.
The value of the Bank’s merchant acquiring transactions through UPI in Q1-
2023 grew by 27% over Q4-2022 and was 2.3 times the value of transactions
in Q1-2022. The Bank is the market leader in electronic toll collections
through FASTag. The Bank had a market share of about 32% by value in
electronic toll collections through FASTag in Q1-2023, with a 53% year-onyear growth in collections.
The Bank’s supply chain solutions, DigitalLite and CorpConnect, enable
corporates to seamlessly manage their supply chain financing, payments,
collection and reconciliation requirements of their dealers and vendors in a
convenient and paperless manner. The value of transactions through these
supply chain solutions in Q1-2023 was 2.4 times the value of transactions in
Q1-2022.
Recently, the Bank launched a revamped OneSCF, an integrated supply
chain platform providing corporate customers, their vendors and dealers
with a one-stop solution to efficiently manage their working capital
requirements.
The Bank has created more than 20 industry specific STACKs which provide
bespoke and purpose-based digital solutions to corporate clients and their
ecosystems. The volume of payment and collection transactions through
Application Programme Interface (API) based solutions in Q1-2023 was 3.7
times the volume of transactions in Q1-2022.
Credit growth
The retail loan portfolio grew by 24% year-on-year and 5% sequentially, and
comprised 53.1% of the total loan portfolio at June 30, 2022. Including non-
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ICICI Bank Towers
Bandra Kurla Complex
Mumbai 400 051

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fund outstanding, the retail portfolio was 44.0% of the total portfolio at June
30, 2022. The rural portfolio grew by 8% year-on-year and was flat
sequentially at June 30, 2022. The business banking portfolio grew by 45%
year-on-year and 7% sequentially at June 30, 2022. The SME business,
comprising borrowers with a turnover of less than ` 250 crore (US$ 32
million), grew by 32% year-on-year and declined by 3% sequentially at June
30, 2022. The domestic wholesale banking portfolio grew by 14% year-onyear and 4% sequentially at June 30, 2022. The domestic advances grew by
22% year-on-year and 4% sequentially at June 30, 2022. Total advances
increased by 21% year-on-year and 4% sequentially to ` 895,625 crore (US$
113.4 billion) at June 30, 2022.
Deposit growth
Total period-end deposits increased by 13% year-on-year to ` 1,050,349
crore (US$ 133.0 billion) at June 30, 2022. Average current account deposits
increased by 23% year-on-year and 3% sequentially in Q1-2023. Average
savings account deposits increased by 19% year-on-year and 4%
sequentially in Q1-2023. Period-end term deposits increased by 11% yearon-year to ` 558,235 crore (US$ 70.7 billion) at June 30, 2022.
The Bank had a network of 5,534 branches and 13,379 ATMs at June 30,
2022.
Asset quality
The gross NPA ratio declined to 3.41% at June 30, 2022 from 3.60% at
March 31, 2022 and 5.15% at June 30, 2021. The net NPA ratio declined to
0.70% at June 30, 2022 from 0.76% at March 31, 2022 and 1.16% at June
30, 2021. During Q1-2023, there were net additions of ` 382 crore (US$ 48
million) to gross NPAs compared to net deletions of ` 489 crore (US$ 62
million) in Q4-2022 and net additions of ` 3,604 crore (US$ 456 million) in
Q1-2022. The gross NPA additions were ` 5,825 crore (US$ 738 million) in
Q1-2023 compared to ` 4,204 crore (US$ 532 million) in Q4-2022. Recoveries
and upgrades of NPAs, excluding write-offs and sale, were ` 5,443 crore
(US$ 689 million) in Q1-2023 compared to ` 4,693 crore (US$ 594 million) in
Q4-2022. The gross NPAs written-off in Q1-2023 were ` 1,126 crore (US$
143 million). The provisioning coverage ratio on NPAs was 79.6% at June
30, 2022.
Excluding NPAs, the total fund based outstanding to all borrowers under
resolution as per the various extant regulations/guidelines declined to `
7,376 crore (US$ 934 billion) or 0.8% of total advances at June 30, 2022 from
` 8,267 crore (US$ 1.0 billion) at March 31, 2022. The Bank holds provisions
amounting to ` 2,290 crore (US$ 290 million) against these borrowers under
resolution, as of June 30, 2022. In addition, the Bank held contingency
provisions of ` 8,500 crore (US$ 1.1 billion) at June 30, 2022. The loan and
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Mumbai 400 051

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non-fund based outstanding to performing borrowers rated BB and below
reduced to ` 8,209 crore (US$ 1.0 billion) at June 30, 2022 from ` 10,808
crore (US$ 1.4 billion) at March 31, 2022.
Capital adequacy
Including profits for Q1-2023, the Bank’s total capital adequacy ratio at June
30, 2022 was 18.74% and Tier-1 capital adequacy was 17.95% compared to
the minimum regulatory requirements of 11.70% and 9.70% respectively.
Consolidated results
The consolidated profit after tax increased by 55% year-on-year to ` 7,385
crore (US$ 935 million) in Q1-2023 from ` 4,763 crore (US$ 603 million) in
Q1-2022.
Consolidated assets grew by 13% year-on-year to ` 1,742,777 crore (US$
220.7 billion) at June 30, 2022 from ` 1,536,731 crore (US$ 194.6 billion) at
June 30, 2021.
Key subsidiaries and associates
Value of New Business (VNB) of ICICI Prudential Life Insurance (ICICI Life)
increased by 32% year-on-year to ₹ 471 crore (US$ 60 million) in Q1-2023.
The VNB margin increased from 28.0% in FY2022 to 31.0% in Q1-2023. The
annualised premium equivalent increased by 25% year-on-year to ` 1,520
crore (US$ 192 million) in Q1-2023. The profit after tax was ` 156 crore (US$
20 million) in Q1-2023 compared to a loss of ` 186 crore (US$ 24 million) in
Q1-2022.
The Gross Direct Premium Income (GDPI) of ICICI Lombard General
Insurance Company (ICICI General) grew by 28.2% year-on-year to ₹ 5,370
crore (US$ 680 million) in Q1-2023 from ₹ 4,188 crore (US$ 530 million) in
Q1-2022. The combined ratio was 104.1% in Q1-2023 compared to 123.5%
in Q1-2022. The profit after tax of ICICI General grew by 79.6% to ₹ 349 crore
(US$ 44 million) in Q1-2023 from ₹ 194 crore (US$ 25 million) in Q1-2022.
Numbers for Q1-2022 have been restated to reflect the Scheme of
Arrangement between ICICI General and Bharti AXA General Insurance
Company.
The profit after tax of ICICI Securities, on a consolidated basis, as per Ind AS,
was ₹ 274 crore (US$ 35 million) in Q1-2023 compared to ₹ 311 crore (US$
39 million) in Q1-2022.
The profit after tax of ICICI Prudential Asset Management Company, as per
Ind AS, was ₹ 305 crore (US$ 39 million) in Q1-2023 compared to ₹ 380 crore
(US$ 48 million) in Q1-2022.