Q1FY24 Preview: ICICI Bank: NII seen at Rs. 178,718 million, PAT at Rs. 93,164 million

21 Jul 2023 , 10:18 AM

Result date: 22^nd July, 2023

Recommendation: Buy

Target price: Rs. 1,140

(Source: IIFL Research)

ICICI Bank could post loan growth of 18% over the year-ago quarter, amid healthy contribution from all segments, with retail and SME segments leading from the front.

The Bank’s pre-provisioning operating profit could grow 34.6% over the year-ago quarter on the back of stable operating expenses. Higher lending rate could aid Net Interest Margin. 

Provisions could remain lower, reflecting lower slippages. Overall credit costs could remain under control.

The Bank’s Profit After Tax (PAT) could grow 34.93% over the year-ago quarter.

Important management insights to watch out for:

• Trajectory of operating expenses
• Outlook on deposit growth, cost of funds
• Asset quality trends across segments

Rs. Million	June 2023 estimates	YoY change	QoQ change
NII	178,718	35.33%	1.16%
PPOP	138,740	34.60%	0.34%
Profit After Tax	93,164	34.93%	2.16%

Source: Brokerage Reports