Highlights
- Profit after tax increased year-on-year and sequentially, reflecting steady quarterly earnings progression.
- Loan and deposit growth remained broad-based across retail, business banking, and corporate segments.
- Asset quality metrics improved with lower net NPA ratio and stable provision coverage.
ICICI Bank Limited (NSE:ICICIBANK) reported a profit after tax of ₹137.02 billion in Q4 FY26, marking an 8.5% year-on-year rise and a 21.1% sequential increase. Profit before tax excluding treasury stood at ₹182.09 billion, up 10.1% year-on-year and 21.7% quarter-on-quarter. Core operating profit reached ₹183.05 billion, reflecting moderate growth of 5.1% year-on-year.
Net interest income for FY26 rose to ₹880.75 billion, while non-interest income increased to ₹295.60 billion. However, treasury income declined compared to the previous year, impacting overall profit before tax growth. Operating expenses increased by 11.5% year-on-year, driven by higher employee and non-employee costs.
Loan Book Expansion Across Segments
Total advances grew by 15.8% year-on-year to ₹15,538.93 billion as of March 31, 2026. Retail loans increased by 9.5%, while the business banking portfolio recorded a higher growth of 24.4%. Domestic corporate loans rose by 9.3%.
Retail loans accounted for 50.4% of the total loan book, with mortgages forming the largest share. Personal loans and vehicle financing also contributed to growth, while credit card loans declined slightly on a year-on-year basis.
Deposit Growth and CASA Trends
Total deposits rose 11.4% year-on-year to ₹17,946.25 billion. Current account and savings account (CASA) deposits contributed 41.4% of total deposits. Average CASA deposits increased by 11.3% year-on-year, although the CASA ratio remained relatively stable at 38.6%.
Term deposits showed steady growth, reflecting customer preference for fixed returns amid interest rate dynamics.
Asset Quality Improves Marginally
The bank’s asset quality indicators showed improvement during the quarter. The net NPA ratio declined to 0.33% from 0.37% in the previous quarter. Gross NPAs reduced to ₹230.52 billion.
Provision coverage ratio increased slightly to 75.8%, indicating continued provisioning discipline. Net additions to NPAs declined to ₹11.74 billion compared to ₹13.25 billion in the same quarter last year.
Capital Adequacy and Dividend
The Common Equity Tier 1 (CET1) ratio stood at 16.35% as of March 31, 2026, reflecting adequate capital buffers. The board recommended a dividend of ₹12 per share, subject to approvals.
Total capital adequacy ratio improved to 17.18%, supported by internal accruals and capital management measures.
Technical Summary
ICICI Bank Limited (NSE:ICICIBANK) is trading near ₹1,368.50, up around 1.61%, as on 20 April 2026 and has recently reclaimed a position above the 51-day SMA near ₹1,331.38, with The 14-day RSI near 63.09 and immediate support is placed in the ₹1,330.00–1,280.00 zone, while resistance is seen near the ₹1,400.00–1,440.00 range.
Source: TradingView
Key Risks
- Rising interest rates may impact loan demand and borrowing costs.
- Increase in NPAs could affect profitability and capital requirements.
- Global economic uncertainty may influence credit growth and asset quality.
- Regulatory changes could impact banking operations and compliance costs.
Summary
ICICI Bank reported steady earnings growth in Q4 FY26, supported by loan expansion and stable deposit growth. Asset quality improved with lower NPAs and consistent provisioning.
While operating expenses increased, capital adequacy remained comfortable. The performance reflects balanced growth across segments, though external risks such as interest rate movements and economic conditions remain relevant for future quarters.
FAQs
- What was ICICI Bank’s profit after tax in Q4 FY26?
ICICI Bank reported profit after tax of ₹137.02 billion, showing growth both year-on-year and quarter-on-quarter in Q4 FY26. - How did ICICI Bank’s asset quality perform in Q4 FY26?
Asset quality improved with net NPA ratio declining to 0.33% and provision coverage ratio increasing to 75.8%. - What was the loan growth reported by ICICI Bank?
Total advances grew by 15.8% year-on-year, with strong contribution from business banking and retail loan segments.