ICICI Bank Q4 Results: Net Profit Rises 18% to Rs 12,629 Cr, NPAs Decline

ICICI Bank

ICICI Bank Q4 Results: Net Profit Jumps 18% YoY to ₹12,629 Crore; Asset Quality Improves, Dividend of ₹11 Per Share Announced

ICICI Bank, one of India’s largest private sector lenders, reported strong financial results for the quarter ended March 31, 2025, reflecting robust profitability, healthy growth in income, and a significant improvement in asset quality.

The bank’s standalone net profit for Q4 FY25 rose 17.9% year-on-year (YoY) to ₹12,629.58 crore, compared to ₹10,707.53 crore in the corresponding quarter of the previous fiscal.

This performance underscores the bank’s continued focus on operational efficiency, risk containment, and prudent lending practices amid a dynamic macroeconomic environment. ICICI Bank’s board also declared a final dividend of ₹11 per share for FY 2024–25, reinforcing its commitment to rewarding shareholders.

Strong Growth in Revenue and Core Income

During the January–March 2025 quarter, the bank’s total income stood at ₹49,690.87 crore, marking a growth of 14% from ₹43,597.14 crore in the same quarter last year. The rise in income was supported by higher interest earnings as well as growth in other income streams.

The bank’s net interest income (NII), which represents the difference between interest earned and interest expended, rose 11% to ₹21,193 crore in Q4 FY25, from ₹19,092.8 crore in Q4 FY24.

This indicates a sustained improvement in loan growth and stable net interest margins (NIMs).

Non-interest income, which includes fees, commissions, and trading gains, also contributed to the overall growth in revenue, although the bank has not yet disclosed detailed breakdowns for this component.

Operating Expenses and Cost Management

While income grew at a healthy pace, the bank also witnessed an uptick in operating expenses. For the March 2025 quarter, operating expenses rose to ₹10,788.76 crore, compared to ₹9,702.83 crore in the year-ago period.

This increase can be attributed to expansion in branch operations, technology investments, and higher employee-related costs as the bank continues to strengthen its infrastructure and digital capabilities.

Despite the rise in costs, the bank maintained a strong cost-to-income ratio, reflecting its operational efficiency and focus on sustainable growth.

Robust Performance for FY 2024–25

For the full financial year ended March 31, 2025, ICICI Bank reported a total income of ₹1,91,770.48 crore, up from ₹1,65,848.71 crore in FY24, representing an increase of 15.6%.

The net profit for the year stood at ₹47,226.99 crore, up 15.5% from ₹40,888.27 crore in the previous financial year.

These figures highlight the bank’s consistent performance across all quarters of FY25, supported by diversified income sources, disciplined credit growth, and improved asset quality.

Continued Improvement in Asset Quality

One of the key highlights of ICICI Bank’s Q4 results was the notable improvement in asset quality. The bank’s efforts to strengthen its loan portfolio and enhance recovery mechanisms have led to a decline in both gross and net non-performing assets (NPAs).

• Gross NPA ratio fell to 1.67% in March 2025, compared to 2.16% in March 2024 and 1.96% in December 2024.
• Net NPA ratio improved to 0.39%, down from 0.42% in both the previous quarter and the same period last year.

This improvement in asset quality reflects the bank’s focus on underwriting standards, credit monitoring, and a calibrated approach to lending in high-risk sectors. It also suggests that stress in the retail and corporate loan segments has been well managed despite broader economic uncertainties.

Capital Position and Liquidity

ICICI Bank continues to maintain a strong capital adequacy ratio (CAR), which enables it to support future growth while staying resilient to potential headwinds.

Though specific CAR figures for Q4 FY25 weren’t mentioned in the press release, the bank traditionally maintains ratios well above the regulatory requirement set by the Reserve Bank of India (RBI).

In addition, the bank’s liquidity position remains comfortable, supported by a healthy CASA (current account and savings account) ratio, diversified funding sources, and strong customer deposit growth.

Dividend Announcement and Shareholder Value

The board of ICICI Bank has recommended a final dividend of ₹11 per equity share for the financial year 2024–25.

The dividend is subject to shareholder approval at the upcoming Annual General Meeting (AGM). The record date for dividend eligibility will be announced at a later stage.

This move reflects the bank’s strong financial performance and its commitment to enhancing shareholder value through consistent returns.

Over the past few years, ICICI Bank has demonstrated a balanced approach by reinvesting in growth opportunities while also returning capital to shareholders.

Market Performance and Valuation

As of the latest closing, ICICI Bank shares were trading at ₹1,406.65 on the Bombay Stock Exchange (BSE).

The bank’s market capitalisation has crossed ₹10 lakh crore, placing it among the most valuable companies on the Indian stock markets.

The face value of each ICICI Bank share is ₹2, and the stock has been a consistent performer, supported by strong fundamentals, robust governance, and digital transformation initiatives. Analysts generally view the stock favorably, citing its strong earnings visibility and sound asset quality metrics.

Outlook for FY 2025–26

Looking ahead, ICICI Bank is expected to continue its focus on technology-led banking, retail and SME lending, and maintaining a balanced asset mix.

The bank has been investing heavily in digital banking platforms and data analytics to improve customer experience and drive operational efficiency.

The Indian economy is projected to grow steadily in the coming fiscal, and ICICI Bank, with its strong franchise, diversified portfolio, and risk-mitigated approach, is well-positioned to capitalize on growth opportunities in both urban and semi-urban markets.

The management has reiterated its commitment to disciplined growth, credit quality, and innovation, which should continue to support performance in the upcoming quarters.