From The Economic Times · Kumar Gaurav · · 1m 40s
ICICI Bank Q2 Results: PAT, NII May Rise 21% YoY
ICICI Bank's Q2 earnings could see PAT and NII grow up to 21% YoY, with margins and deposit growth under focus.
In brief
ICICI Bank's Q2 earnings could see PAT and NII grow up to 21% YoY, with margins and deposit growth under focus. ICICI Bank is expected to report year-on-year growth in profit after tax and net interest income of up to 21% in Q2FY27, driven by strong loan and deposit growth. Originally reported by The Economic Times.
ICICI Bank Q2 Earnings Preview
ICICI Bank is expected to report strong year-on-year growth in net interest income and profit after tax for the September quarter.
NII Growth Estimates
Brokerages project NII growth of 15.8-18% year-on-year in Q2FY27, supported by loan growth.
PAT Growth Projections
Profit after tax is expected to rise 15-21% year-on-year in Q2FY27, with JM Financial forecasting 15% growth.
Operating Profitability
Operating profitability is projected to grow 20-21% year-on-year, with pre-provision operating profit rising.
Net Interest Margins
Net interest margins face pressure from leveraged loans and foreign currency non-resident deposit inflows.
Loan and Deposit Growth
Loan growth is expected at 26.2% year-on-year, with deposits rising 25.2% year-on-year.
Deposit Growth Details
Deposits are projected at Rs 20,19,700 crore in Q2FY27, up 10.1% sequentially from Q1FY27.
Asset Quality Focus
Gross non-performing assets are expected to remain at 1.3%, down from 1.4% in Q1FY27.
Provision Coverage Ratio
Provision coverage ratio is projected at 75.7%, slightly up from 75.2% in Q1FY27.
Brokerage Ratings
MOFSL maintains a Buy rating on ICICI Bank with a target price of Rs 1,750, implying 33% upside.
Earnings Outlook
ICICI Bank's Q2FY27 earnings are expected to show healthy growth despite margin pressure from leveraged loans.
The headline
ICICI Bank is expected to report year-on-year growth in profit after tax and net interest income of up to 21% in Q2FY27, driven by strong loan and deposit growth.
