ICICI Bank Limited Q3 FY2026 earnings call

• Strategic focus on 360-degree customer-centric approach to grow profit before tax excluding treasury. - Core operating profit, provisions including RBI-directed standard asset provision. - Deposit growth, loan portfolio growth across segments. - Credit quality details: net additions to gross NPAs, provisioning coverage. - P&L details: net interest income increased 7.7% YOY and 1.9% QOQ to INR 219.32 billion; net interest margin 4.3%; noninterest income grew 12.4% YOY and 2.3% QOQ. - Performance of subsidiaries: ICICI Life, ICICI General, ICICI AMC, etc., with respective financials.

Core operating profit increased by 6% year-on-year and 2.5% quarter-on-quarter to INR 175.13 billion. Total provisions were INR 25.56 billion, including INR 12.83 billion additional standard asset provision as per RBI. Profit before tax excluding treasury was INR 149.57 billion (down from INR 152.89 billion YOY). Profit after tax was INR 113.18 billion (down from INR 117.92 billion YOY). Average deposits grew 8.7% YOY and 1.8% QOQ; total deposits grew 9.2% YOY and 2.9% QOQ. Domestic loan portfolio grew 11.5% YOY and 4% QOQ. Retail loan portfolio grew 7.2% YOY and 1.9% QOQ. Rural portfolio grew 4.9% YOY and 7.2% QOQ. Business banking portfolio grew 22.8% YOY and 4.7% QOQ. Domestic corporate portfolio grew 5.6% YOY and 6.5% QOQ. Overall loan portfolio (including international) grew 11.5% YOY and 4.1% QOQ. Net NPA ratio was 0.37% (improved from prior periods). Provisioning coverage ratio on nonperforming loans was 75.4%. Capital position strong with CET1 ratio 16.46% and total capital adequacy ratio 17.34%.

• Opportunities to drive risk-calibrated profitable growth and grow market shares across key segments. - Focus on maintaining strong balance sheet, prudent provisioning, healthy capital, and delivering sustainable and predictable returns to shareholders.

• Additional standard asset provision of INR 12.83 billion due to RBI supervisory review on agricultural priority sector credit facilities. - Impact of regulatory observations on specific loan portfolios. - Market movements affecting treasury results.

Q: On standard asset provision size, impact on OpEx, and margin outlook?

A: Anindya discussed the portfolio size (~INR 200-250 billion), cost to bring into compliance, and margin outlook with mention of deposit repricing and repo cut impact.

Q: On PSL cost, growth momentum, credit card growth?

A: Anindya responded on PSL cost absorption, growth momentum pickup, and credit card growth due to festive spend rundown in prior quarter.

Q: On credit card growth, corporate growth, OpEx?

A: Anindya addressed credit card book growth, corporate growth with BBB portfolio comfort, and OpEx with labor code impact and cost optimization.

Q: On savings account growth, BB segment, unsecured growth?

A: Anindya talked about retail savings account strength, BB segment growth momentum, and unsecured growth pickup from muted levels.

Q: On Board's 2-year extension, yield on advances, fees?

A: Anindya and Sandeep responded on the 2-year extension, yield on advances impacted by repo cut and MCLR repricing, and fee growth outlook.

Q: On LCR, deposit vs loan growth, LDR?

A: Anindya discussed LCR at 126%, deposit vs loan growth dynamics, and LDR comfort given capital and funding structure.