ICICI Bank Ltd., India’s second-largest private sector lender, announced impressive financial results for the second quarter ending September 30, 2025 (Q2-2026). The bank reported a robust 5.2% year-on-year (YoY) increase in its standalone net profit, reaching a significant ₹12,359 crore.
The bank’s Net Interest Income (NII) saw a healthy rise of 7.4% YoY, hitting ₹21,529 crore. This performance contributed to a solid Net Interest Margin (NIM) of 4.30% for Q2-2026, reflecting strong core operational growth.
Provisions, excluding tax, demonstrated prudent financial management, totaling ₹914 crore for the quarter, a notable reduction from ₹1,233 crore in the corresponding period last year.
Domestic advances experienced a strong growth of 10.6% YoY. The retail loan portfolio, a key driver, expanded by 6.6% YoY, now constituting 52.1% of the bank’s total loan portfolio as of September 30, 2025. When considering non-fund outstanding, the retail segment represented 42.9% of the overall portfolio.
The business banking portfolio showcased exceptional growth, surging by 24.8% YoY. In contrast, the rural portfolio saw a slight decline of 1.3% YoY, while the domestic corporate portfolio demonstrated steady growth of 3.5% YoY.
Overall, total advances for the bank increased by an impressive 10.3% YoY, reaching ₹14,08,456 crore.
Deposits also showed positive momentum, with average deposits growing by 9.1% YoY to ₹15,57,449 crore during the quarter. Total period-end deposits increased by 7.7% YoY, settling at ₹16,12,825 crore.
A significant highlight of the quarter was the improvement in asset quality. The gross Non-Performing Asset (NPA) ratio decreased to 1.58% at September 30, 2025, from 1.97% a year prior. Similarly, the net NPA ratio improved to 0.39% from 0.42% year-on-year.
Gross NPA additions during the quarter remained stable at ₹5,034 crore, slightly lower than ₹5,073 crore recorded a year ago. The bank also successfully managed recoveries and upgrades of NPAs, which amounted to ₹3,648 crore (excluding write-offs and sales), an increase from ₹3,319 crore in the previous year. Consequently, net additions to gross NPAs (excluding write-offs and sales) reduced to ₹1,386 crore from ₹1,754 crore in the same period last year.
During the quarter, the bank executed write-offs of gross NPAs totaling ₹2,263 crore.
Furthermore, fund-based outstanding to borrowers under resolution, excluding NPAs, saw a reduction to ₹1,624 crore (approximately 0.1% of total advances) at September 30, 2025, down from ₹2,546 crore a year ago. The bank noted that the loan and non-fund-based outstanding to performing corporate borrowers rated BB and below increased to ₹3,661 crore from ₹3,386 crore, primarily due to the upgrade of certain non-fund outstanding borrowers from non-performing to performing status.
As of September 30, 2025, ICICI Bank maintains substantial total provisions of ₹22,620 crore (1.6% of total loans), excluding specific provisions for non-performing fund-based outstanding. This includes a robust contingency provision of ₹13,100 crore. On a consolidated basis, the bank’s profit after tax for the quarter grew by 3.2% YoY, reaching ₹13,357 crore, underscoring its overall financial resilience and growth trajectory.