ICICI Bank - Q2FY21 Result - Angel Broking

Mr. Jaikishan Parmar - Sr. Equity Research Analyst, Angel Broking Ltd

ICICI Bank reported the above estimates Numbers for Q2FY21. Advance grew by 6.4% YoY, 3.4% QoQ led by retail & SME loan growth. The NII/PPOP up 16%/20% YoY, PBT up 21% YoY /66% QoQ on lower provisions.NIM declined due to higher liquidity. Deposit grew at 19% YoY/ 3.9% QoQ. CASA ratio improved by 128bps to 43.8%.

On the asset quality front, banks GNPA/NNPA/PCR stood at 5.17%/1.0%/81.5% compared to the previous quarter 5.46%/1.23%/78.5%. Without the supreme court, NPA classification freeze GNPA/ NPA would have been 5.3% and 1.12% respectively. Bank has total COVID-related provision worth of Rs.8770cr. The contingent provision (excluding PCR) stood 2.26% of the loan. ICICI bank is one of the top-ranked bank interns of provision coverage among large private bank. The collection efficiency of the overall book stood 97% of the pre-COVID level.

The bank's BB & below-rated pool at Rs.16,167cr which is 2.4% of the advance, this could remain a tad higher side for the next few quarters owing to current macro headwinds.

We have a positive view on HDFC Bank considering strong operating numbers for Q2FY21, healthy capital for growth, and strong provision coverage ratio.

Shares of ICICI BANK LTD. was last trading in BSE at Rs.392.55 as compared to the previous close of Rs. 399.9. The total number of shares traded during the day was 1062794 in over 16379 trades.

The stock hit an intraday high of Rs. 402.85 and intraday low of 388.1. The net turnover during the day was Rs. 419626051.

Source : Equity Bulls

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