ICICI Bank Limited is a major, diversified financial institution headquartered in India, with a significant presence in both domestic and international markets. The bank is publicly listed on major Indian exchanges, including the BSE Limited and the National Stock Exchange of India, and maintains listings on several international exchanges such as the New York Stock Exchange (NYSE). The bank's operations are extensive, encompassing a wide array of financial products and services tailored to retail, business, corporate, and rural customers. Its physical footprint is substantial, with over 7,300 branches and nearly 12,000 ATMs and Cash Recycling Machines across India, ensuring deep market penetration from metro areas to rural villages.

The core business revolves around accepting deposits and providing credit, with a loan portfolio that is well-diversified across mortgages, vehicle loans, personal loans, business banking, and large corporate financing. Beyond traditional banking, ICICI Bank operates through a robust network of subsidiaries that are leaders in their respective fields. These include ICICI Prudential Life Insurance, ICICI Lombard General Insurance, ICICI Prudential Asset Management, and ICICI Securities, among others. This structure allows the bank to offer a comprehensive suite of financial solutions, creating significant cross-selling opportunities and a diversified revenue stream that includes fee income, insurance premiums, and investment management fees. The bank's strategy emphasizes a granular, well-collateralized loan book, robust digital platforms like InstaBIZ and Trade Online to drive growth, and a strong focus on maintaining high standards of governance and risk management.

Official Website: https://www.icici.bank.in/about-us/qfr

Profit & Loss Statement (Q3-2026 vs. Q3-2025 - Standalone)

• Net Interest Income (NII): Grew by 7.7% year-over-year (y-o-y) to ₹219.32 billion.

• Non-Interest Income: Increased by 12.4% y-o-y to ₹75.25 billion, driven primarily by a 33.8% rise in dividend income from subsidiaries. Fee income saw a modest growth of 6.3%.

• Core Operating Profit: Rose by 6.0% y-o-y to ₹175.13 billion. This figure includes a one-time impact of ₹1.45 billion in provisions related to new Labour Codes.

• Provisions: Increased significantly to ₹25.56 billion from ₹12.27 billion in the same quarter last year. This surge includes a one-time, RBI-directed additional standard asset provision of ₹12.83 billion.

• Profit Before Tax (PBT): Declined by 5.5% y-o-y to ₹148.00 billion, directly impacted by the higher provisions.

• Profit After Tax (PAT): Fell by 4.0% y-o-y to ₹113.18 billion.

Balance Sheet (as of December 31, 2025)

• Total Advances (Loans): Stood at ₹14,661.54 billion, marking an 11.5% y-o-y growth.

• Total Deposits: Reached ₹16,596.11 billion, a 9.2% y-o-y increase.

• CASA Ratio: The share of low-cost Current Account and Savings Account (CASA) deposits stood at 40.2% of total deposits.

• Capital Adequacy Ratio (CAR): The bank maintains a strong capital position with a total CAR of 17.34% and a Common Equity Tier 1 (CET1) ratio of 16.46% (including 9M-2026 profits).

Key Ratios (Q3-2026)

• Return on Equity (RoE): Stood at 14.3% (annualized).

• Return on Average Assets (RoA): Was 2.11% (annualized).

• Book Value Per Share: Increased to ₹451.9 from ₹384.8 a year ago.

The bank's core operational performance remains steady with healthy growth in income, but the bottom line was significantly impacted by a one-time regulatory provision, leading to a decline in net profit.

Loan Portfolio Growth

• Total Advances: Grew by 11.5% y-o-y and 4.1% quarter-over-quarter (q-o-q) to ₹14,661.54 billion.

• Domestic Loans: This segment, forming the bulk of the portfolio, grew 11.5% y-o-y.

• Retail Loans: Showed moderate growth of 7.2% y-o-y. Within this, mortgages were the primary driver, growing 11.1% y-o-y. However, credit card loans contracted by 3.5% y-o-y.

• Business Banking: This segment was a standout performer, with its portfolio growing by 22.8% y-o-y, indicating strong traction with small and medium-sized enterprises.

• Domestic Corporate Portfolio: Grew by 5.6% y-o-y and accelerated sequentially with a 6.5% q-o-q growth, suggesting a potential pickup in corporate credit demand.

Deposit Growth

• Total Deposits: Grew 9.2% y-o-y as of December 31, 2025.

• Average Deposits: Grew 8.7% y-o-y in Q3-2026.

• Average CASA Deposits: Increased by 8.9% y-o-y, helping to maintain a stable cost of funds.

Subsidiaries' Performance

• ICICI Prudential Asset Management: Reported a strong 23.2% y-o-y growth in its Mutual Fund Quarterly Average Assets Under Management (QAAUM).

• ICICI Lombard General Insurance: Gross direct premium income (GDPI) grew robustly to ₹70.41 billion in Q3-2026 from ₹62.14 billion in Q3-2025.

The bank's growth is driven by strong performance in the business banking and corporate segments, while the retail portfolio shows more moderate growth and deposit growth remains steady.

Net Interest Margin (NIM)

• Q3-2026 NIM: Stood at 4.30%, stable compared to 4.30% in the previous quarter (Q2-2026) and slightly higher than the 4.25% reported in the same quarter last year (Q3-2025).

• Domestic NIM: Was slightly higher at 4.38%.

• Overseas NIM: Remained thin at 0.96%.

Cost & Yield Metrics (Q3-2026 vs. Q3-2025)

• Yield on Advances: Decreased to 9.08% from 9.65% a year ago, reflecting changes in the lending environment or portfolio mix.

• Cost of Deposits: Also decreased significantly to 4.55% from 4.91% in the prior year, indicating effective management of funding costs.

• Cost-to-Income Ratio: Increased slightly to 40.8% from 38.5% y-o-y, reflecting higher operating expenses relative to income growth.

The bank has successfully maintained stable and healthy net interest margins by effectively managing its cost of funds, despite a decline in yields on its loan book.

Asset Quality

• Gross NPA Ratio: Improved significantly to 1.53% as of December 31, 2025, down from 1.96% a year earlier and 1.58% in the prior quarter.

• Net NPA Ratio: Showed similar improvement, falling to 0.37% from 0.42% a year ago and 0.39% in the prior quarter. This is a very strong metric indicating minimal stress on the balance sheet.

• Provision Coverage Ratio (PCR): Stood at a healthy 75.4%.

• NPA Movement: Net additions to gross NPAs in Q3-2026 were ₹20.74 billion, lower than the ₹26.93 billion added in the same quarter last year, showing a positive trend in asset quality management.

Regulatory Risk

• RBI Directive: The Reserve Bank of India conducted its annual supervisory review and directed the bank to make an additional standard asset provision of ₹12.83 billion.

• Reason: This was for a portfolio of agricultural priority sector loans where the terms were not fully compliant with regulatory requirements for classification.

• Impact: This provision directly impacted profitability for the quarter. The bank has stated there is no change in asset classification or borrower repayment behavior for this portfolio.

Portfolio Concentration

• Corporate Loan Book: The quality of the corporate book continues to improve. The proportion of the book rated 'A- and above' is 71.1%, while exposure to 'BB and below' rated borrowers has reduced to just 0.5%.

• Borrower Concentration: Exposure to the top 20 borrowers as a percentage of total exposure has steadily declined to 6.3% from 7.5% a year ago, indicating reduced concentration risk.

While the bank demonstrates strong and improving asset quality metrics, it faced a significant one-time regulatory provision that highlights compliance risk.

ESG Initiatives

• Governance: The bank has migrated the oversight of its ESG action plan to a dedicated ESG & CSR Committee from the Risk Committee, signaling an increased focus on these areas.

• Environmental: The bank is progressing towards its goal of becoming carbon neutral in Scope 1 and Scope 2 emissions by FY2032.

• Social: The flagship CSR project involving the setup of three new cancer care facilities is progressing well.

Capital Infusion in Subsidiaries

• ICICI Home Finance: The bank infused ₹5.00 billion into its home finance subsidiary to support its growth.

• ICICI Prudential AMC: The bank purchased an additional 2% shareholding in its asset management company from Prudential Corporation for ₹21.40 billion.

Capital Raising

• Tier II Bonds: During the quarter, the bank issued Basel III compliant Tier II bonds amounting to ₹39.45 billion to strengthen its capital base.

The bank is actively strengthening its subsidiaries and capital base while formalizing its commitment to ESG principles through enhanced governance structures.