ICICI Bank, the second largest private sector bank reported strong earnings in Q1 FY22 with net profits surging by 78 percent on a year-on-year basis aided by strong loan growth, better margins, bounce back in the fee income and contained credit cost.

The positives were partly offset by higher operating expenses.

Net interest margin on the domestic book expanded to 3.9 percent, which is now just below that of HDFC Bank. The margin expansion was driven by superior funding profile coupled with increased share of high yielding retail loans, which constitute around 61 percent of the bank’s loan book as of June end.

ICICI Bank’s asset quality has held up well despite the disruption caused by the second wave of the pandemic.

In the special segment of ‘Moneycontrol Pro Ideas For Profit’, moneycontrol.com’s Neha Dave gets more details on the company’s performance, going forward.

Watch the video for more.

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(Edited by : Dipika)