ICICI Bank reported a 32 per cent drop in its profits for the third quarter ended December 31, 2017 to ₹1,650 crore.

Net interest income for the quarter rose 6 per cent to ₹5,705 crore while non-interest income was down 20 per cent to ₹3,167 crore. Profits in the first two quarters of the fiscal were slightly above the ₹2,000-crore mark. On consolidated basis, taking into account the performance of its subsidiaries, profit for the quarter was at ₹1,894 crore, compared to ₹2,611 crore in the corresponding quarter of the previous year.

Additions to the gross non-performing assets were at ₹4,380 crore during the quarter, substantially lower than the ₹7,037 crore added in the same quarter of the previous fiscal.

Gross NPAs for the bank were at ₹46,038 crore at the end of December 2017 and were at 7.82 per cent of loans. Provisions declined sequentially to ₹3,569 crore, from ₹4,503 crore in the previous quarter. Provision coverage increased to nearly 61 per cent.

Domestic loan growth for the bank picked up speed during the quarter, growing at 16 per cent year-on-year, propelled by retail loans which grew faster at 22 per cent y-o-y. The banking system as a whole is seeing credit growth at around 11 per cent y-o-y currently. Retail loans are predominantly housing loans, vehicle loans, personal loans, credit card, rural and other loans. Retail loans account for 54 per cent of the loan portfolio of the bank.

The bank’s net interest margin for the quarter was at 3.14 per cent, down about 13 basis points compared to its margins in the first two quarters of the year.

The bank’s share ended the day at ₹353.45, up ₹0.85, on the BSE on Wednesday.

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