JOIN USIndia's largest private sector lender ICICI Bank on Friday reported profit after tax of Rs 2,652.01 crore in the quarter ended March 2014, an increase of 15 per cent from the same quarter a year ago at Rs 2,304.07 crore.
However, higher provisions amidst rise in bad loans capped the year-on-year growth in the bank's fourth quarter profit after tax. Analysts in D-Street had expected the bank to report net profit of Rs 2,811 crore and net interest income of Rs 4,428 crore for the quarter.
Net interest margin improved 3 basis points sequentially to 3.35 per cent. Other income rose 35 percent aided by exchange rate gains on repatriation of retained earnings from overseas branches, dividend income from subsidiaries and treasury profit.
ICICI Bank Managing Director & CEO Chanda Kochhar said, "In 2013-14, consolidated profit crossed the milestone of Rs 10,000 crore. This was the result of balancing growth, profitability and risk management capabilities... looking ahead, we see some positive trends for the economy and banking sector. We expect moderate improvement in GDP growth. Additions to non-performing assets (NPAs) and restructured loans are also likely to be lower in 2014-15."
ICICI Bank's consolidated profit after tax increased by 15 percent to Rs 11,041 crore during financial year 2013-14. The full-year net interest margin improved by 22 basis points to 3.33 per cent.