ICICI Bank reported 104 per cent increase in its standalone net profit for the financial year ended March 31, 2021, at Rs 16,192.68 crore. The private lender had posted a net profit of Rs 7,930.81 crore in the financial year ended March 31, 2020, it said in a regulatory filing on Saturday.
Net interest income, the difference between interest earned and interest expended, for the entire FY21 increased 17.2 per cent to Rs 38,989.43 crore from Rs 33,267.07 crore in FY20. Operating profit for the fiscal under review increased 29.52 per cent to Rs 36,397.1 crore from Rs 28,101.26 crore in the previous fiscal. Total income for the fiscal FY21 stood at Rs 98,086.80 crore, up from Rs 91,246.94 crore in FY20.
Provisions and contingencies in FY21, the year ravaged by COVID-19 pandemic, increased to Rs 16,214.41 crore from Rs 14,053.24 crore. "In addition to COVID-19 related provision of Rs 2,725 crore made in FY2020, during Q1-2021, the bank made COVID-19-related provision of Rs 5,550 crore. In Q3-2021, the bank utilised Rs 1,800 crore of COVID-19-related provisions made in the earlier periods. Further, in Q4-2021, on a prudent basis, the bank made additional COVID-19-related provision amounting to Rs 1,000 crore. Accordingly, on March 31, 2021, the bank held aggregate COVID-19-related provision of Rs 7,475 crore," ICICI Bank said in its filing.
For the March quarter of FY21, ICICI Bank reported profit after tax at Rs 4,403 crore, compared to Rs 1,221 crore in Q4 FY20. Net interest income (NII) increased by 17 per cent year-on-year to Rs 10,431 crore in Q4 FY21 from Rs 8,927 crore in Q4 FY20. The net interest margin was 3.84 per cent in Q4-2021 compared to 3.87 per cent in Q4 FY20. Non-interest income, excluding treasury income, was Rs 4,137 crore in Q4 FY21, compared to Rs 4,013 crore in Q4 FY20.
Provisions (excluding provision for tax) were Rs 2,883 crore in Q4 FY21 compared to Rs 5,967 crore in Q4 FY20. During Q4 FY21, the bank utilised contingency provision amounting to Rs 3,509 crore towards pro forma NPAs as of December 31, 2020, as these loans have now been classified as per the RBI guidelines.
As of March 31, 2021, ICICI Bank's gross NPA additions, excluding borrowers in the pro forma NPAs as of December 31, 2020, were Rs 5,523 crore. Recoveries and upgrades, excluding recoveries from pro forma NPAs, write-offs and sale, from non-performing loans were Rs 2,560 crore in Q4 FY21. The net NPA ratio declined to 1.14 per cent on March 31, 2021, from 1.26 per cent (on a pro forma basis on December 31, 2020) and 1.41 per cent on March 31, 2020.
ICICI Bank's total capital adequacy on March 31, 2021, was 19.12 per cent and Tier-1 capital adequacy was 18.06 per cent compared to the minimum regulatory requirements of 11.08 per cent and 9.08 per cent, respectively.
The bank's board has recommended a dividend of Rs 2 per share, equivalent to dividend of $0.05 per ADS. The declaration of dividend is subject to requisite approvals, and the record/book closure dates will be announced in due course, ICICI Bank further stated.