136.6 billion rupees to NII; PAT Rs 72.8 billion | Techno Glob

Result Date 22n.d October 2022
Recommendation: Buy it.
Target price – Rs 1,070

ICICI Bank could grow its loans by 22.4% and 4.5% sequentially over last year quarter. Deposit growth is expected to be 12% quarter-on-quarter and 4.5% sequentially. The bank’s net interest income (NII) is expected to grow by 17% quarter-on-quarter and 3% sequentially.

However, lower growth in non-interest income could lead to single-digit growth in operating profit. Analysts at IIFL Securities expect the bank’s slippage to moderate, continuing the trend of improving asset quality.

A sharp 58% drop in provisions contributed to a 32% increase in Profit After Tax (PAT) over the year-ago quarter.

Important management tips to keep in mind:

  • Credit demand across major segments
  • Asset quality trends
  • Margin drivers
  • A look at the credit cards business

One hundred lakh rupees

September 2022 forecast

QoQ change

YoY change
Net interest income 136.6 3% 17%
Total income 186.5 4% 13%
Pre-Provisioning Operating Profit 108.5 5% 9%
Food expenses 11.5 1% (58) percent
Profit after tax 72.8 5% 32%
loan 9.359 5% 22%
Deposit 10.976 5% 12%

Source: Company; IIFL Research

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