ICICI Bank hits $100 bn market cap

Shares of ICICI Bank rose as much as 3.16% on Tuesday, taking the private lender’s market capitalisation to over $100 billion.

ICICI Bank is the sixth Indian company to hit the $100 billion market cap milestone.

The ICICI Bank stock hit an intraday high of ₹1,207 on the BSE today and closed at ₹1,199. The counter has gained 20% in 2024 and 30% over the past year.

In May 2024, ICICI Bank became India’s fifth company to surpass the ₹8 lakh crore market cap. It is the second lender to achieve this feat after HDFC Bank.

ICICI Bank’s net profit grew 17.4% year-on-year to ₹10,708 crore for the quarter ended March 31, 2024. Net interest income of ICICI Bank increased by 8.1% year-on-year to ₹19,093 crore during the fourth quarter compared with ₹17,667 crore in the previous quarter.

The net interest margin was 4.40% in Q4 FY24 compared to 4.43% in Q3 FY24 and 4.90% in Q4 FY23. Net interest margin was 4.53% in FY24.

Fee income grew by 12.6% year-on-year to 5,436 crore in Q4. Provisions were at ₹718 crore.

The board recommended a dividend of ₹10 per share for FY24.

On asset quality, the gross NPA ratio declined to 2.16% at March 31, 2024 from 2.30% at December 31, 2023. The net NPA ratio declined to 0.42% at March 31, 2024 from 0.44% at December 31, 2023 and 0.48% at March 31, 2023. During Q4, there were net additions to gross NPAs of ₹1,221 crore. The gross NPA additions were ₹5,139 crore in Q4 compared to ₹5,714 crore in Q3 FY24.

ICICI Bank’s net domestic advances grew by 16.8% year-on-year during the March quarter. The retail loan portfolio grew by 19.4% year-on-year and 3.7% sequentially, and comprised 54.9% of the total loan portfolio at March 31, 2024.

Deposits increased by 19.6% year-on-year to ₹14,12,825 crore.

With the addition of 623 branches in FY2024, the Bank had a network of 6,523 branches and 17,190 ATMs & cash recycling machines at March 31, 2024.

The value of the bank’s merchant acquiring transactions through UPI grew by 67.7% year-on-year and 8.7% sequentially in Q4. The bank had a market share of about 30% by value in electronic toll collections through FASTag in Q4-2024, with a 14.5% year-on-year growth in collections in Q4.

In May, the Reserve Bank of India (RBI) imposed a monetary penalty of ₹1 crore on ICICI Bank for non-compliance with certain directions issued by the banking regulator. The bank had sanctioned term loans to certain entities in lieu of or to substitute budgetary resources envisaged for certain projects without undertaking due diligence on the viability and bankability of the projects to ensure that revenue streams from the projects were sufficient to take care of the debt servicing obligations, the repayment/servicing of which was made out of budgetary resources; and without ensuring that the funding proposals were for specific monitorable projects, the RBI said.