ICICI Bank's Shares Edge Up Despite Profit-Taking

ICICI Bank's shares experienced a marginal increase on Monday, despite earlier profit-taking activities. The stock climbed nearly 3% during morning trade following a 10% rise in net profit for the June quarter. Treasury gains significantly contributed to the profit increase, despite slowed growth in core income.

Shares of ICICI Bank ended marginally higher on Monday, trimming most of their early gains amid profit-taking.

In morning trade, the stock climbed nearly 3% after the company reported a nearly 10% increase in consolidated net profit for the June quarter.

The stock surged 2.87% to Rs 1,242.45 during the day on the BSE. However, it later trimmed most gains and ended at Rs 1,214.15, up 0.53%. On the NSE, shares ended at Rs 1,210.55, reflecting a marginal gain of 0.27% after climbing 2.94% to Rs 1,242.75 during the day.

Treasury gains helped ICICI Bank post a nearly 10% increase in consolidated net profit for the quarter, reaching Rs 11,696 crore on Saturday.

While growth in core income slowed for India's second-largest private sector lender, treasury operations led to a 14.62% rise in post-tax profit, amounting to Rs 11,059 crore on a standalone basis.

The core net interest income (NII) growth recorded a multi-quarter low of 7.3%, reaching Rs 19,553 crore for the reporting quarter. NII growth was restricted by over 0.40%, narrowing in the net interest margin to 4.36% year-on-year, along with a nearly 16% domestic loan growth.

Non-interest income grew 23% to Rs 6,389 crore, excluding treasury operations performance, while treasury gains more than doubled to Rs 613 crore from Rs 252 crore the previous year.

The gross non-performing assets ratio remained stable at 2.36% as of June 30, 2024.