ICICI Bank Q2 FY26 Earnings Results: Net Profit Rises 5% to ₹12,359 Crore on Lower Provisions

ICICI Bank’s standalone net profit for Q2FY26 grew 5.2% year-on-year to ₹12,359 crore, up from ₹11,746 crore in the same quarter last year. The growth was mainly due to lower provisions, as total provisions for the quarter stood at ₹914 crore compared to ₹1,233 crore a year earlier.

Treasury Segment Faces Pressure

Treasury income fell sharply to ₹220 crore from ₹680 crore due to rising bond yields affecting investment portfolios. Despite this, the bank’s core operating profit increased 6.5% Y-o-Y to ₹17,078 crore.

Strong Loan Growth and Stable NIM

Net interest income rose 7.4% Y-o-Y to ₹21,529 crore, aided by a 10.6% growth in the domestic loan portfolio. The net interest margin (NIM) remained steady at 4.30%. Non-interest income, excluding treasury gains, climbed 13.2% to ₹7,356 crore, with fee income up 10.1% to ₹6,491 crore, largely from retail, rural, and business banking.

Asset Quality Improves

The gross NPA ratio improved to 1.58% from 1.97% a year ago, while net NPA declined to 0.39% from 0.42%. Net additions to gross NPAs were ₹1,386 crore, while the bank wrote off NPAs worth ₹2,263 crore during the quarter. The provisioning coverage ratio stood at 75%.

Deposit and Advances Growth

Total advances rose 10.3% Y-o-Y to ₹14.08 trillion. Retail loans accounted for 52.1% of advances, growing 6.6%. Business banking loans grew 24.8%, corporate loans 3.5%, and rural loans fell 1.3%. Average CASA ratio was 39.2%, with current account deposits up 12.6% and savings accounts up 8.5%.

ICICI Bank Share Price Movement

As of 20 October 2025, ICICI Bank share price (NSE: ICICIBANK) is trading at ₹1,404.00, down ₹32.60 or 2.27% for the day. The stock opened at ₹1,442.00, reaching an intraday high of ₹1,445.00 and a low of ₹1,397.80. The bank has a market capitalisation of ₹10.03 lakh crore and a price-to-earnings (P/E) ratio of 19.07. Its 52-week high stands at ₹1,500.00, while the 52-week low is ₹1,186.00. ICICI Bank offers a dividend yield of 0.78%, with a quarterly dividend amount of ₹2.74.

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Capital Position

The bank’s capital adequacy ratio stood at 17%, with a CET-1 ratio of 16.35%, maintaining a strong capital base to support future growth.

Conclusion

ICICI Bank’s Q2 performance reflects strong core banking growth, lower credit costs, and improving asset quality. While treasury gains were weak, steady loan growth and robust capital ratios position the bank well for the upcoming quarters.

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