ICICI Securities' net income drops by 12% to Rs273 crore

22 Jul 2022 , 09:06 AM

Despite a rise in sales over the same period, ICICI Securities said on Thursday that its net income for the June quarter fell by 12% to Rs273 crore. According to a statement from the company, the top line increased by 6% to Rs795 crore in the first quarter of this fiscal year due to strong growth in retail allied and distribution income.

Institutional equity revenue decreased by 17% during the quarter, or Rs48.6 crore, principally because market volumes and capital market deals were down.

The distribution business is still growing successfully, as seen by the revenue of Rs152 crore, which increased by 28% over the same period last year thanks to a good performance from mutual funds, insurance, and other products.

In comparison to Rs318 crore during the same period a year ago, the company disbursed loans (margin finance) totalling Rs619 crore during
the most recent June quarter.

Over 4.4 lakh new clients were added to the brokerage’s 80 lakh total clientele during the June quarter, although only about 35 lakh of those clients are active. In comparison to newer competitors like Zerodha (over 62 lakh), Upstox (over 52 lakh), Groww (38 lakh), and Angel One, the number of active clients is significantly fewer (36 lakh).

72% of new clients come from sources other than ICICI Bank, demonstrating the efficacy of digital sourcing and the open architectural approach. According to the statement, 85% of new consumers are from small towns and 62% of them are under the age of 30, up from 78% a year earlier.