ICICI Bank Q1 Results Review - Another Solid Quarter; RoE Sustains At ~19%: Motilal Oswal

BQ Prime’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BQ Prime’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..Motilal Oswal Report.ICICI Bank Ltd. reported another strong quarter (return on asset of 2.4%), led by robust loan growth, stable asset quality and a slight decline in margins. Core pre-provision operating profit grew 35% YoY, while net interest margins moderated 12 basis point QoQ to 4.8%. Business growth was strong, with overall loans growing 18% YoY.Asset quality remained broadly stable with provision coverage ratio at 83%. The bank maintains a total contingency buffer of Rs 131 billion. ICICI Bank is well positioned to deliver steady earnings, supported by pristine asset quality and strong momentum in business growth. We estimate return on asset/return on equity of 2.2%/17.9% in FY25.After a strong outperformance backed by robust earnings growth (three year compound annual growth rate of ~60%), we estimate earnings growth to moderate to an 18% CAGR over FY23-25, affected largely by a decline in margins and limited levers available on the opex/credit cost front. We thus expect stock returns to be moderate for ICICI Bank and many other large-cap banking stocks. Maintain 'Buy'..Click on the attachment to read the full report:.ICICI Bank Q1 Results: Net Profit Beats Estimates, Rises 40% YoY.DISCLAIMERThis report is authored by an external party. BQ Prime does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BQ Prime..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

ICICI Bank Q1 Results Review - Another Solid Quarter; RoE Sustains At ~19%: Motilal Oswal

Robust growth across segments.

NDTV Profit

NDTV Profit

Follow Us

DOWNLOAD THE APP

ICICI Bank Q1 Results Review - Another Solid Quarter; RoE Sustains At ~19%: Motilal Oswal

Robust growth across segments.

Choose a plan

Follow Us

DOWNLOAD THE APP