ICICI Bank Ltd. - ADR

Earnings & profitability momentum (core strength): - Standalone profit before tax (PBT) excluding treasury: +23.4% YoY to INR 199.54bn. - Core operating profit: +21.8% YoY to INR 208.05bn; excluding dividend from subsidiaries: +25% YoY to INR 203.42bn. - Profit after tax (PAT): +20.1% YoY to INR 148.43bn. - Subsidiary impact (consolidated): consolidated PAT +22.3% YoY to INR 163.33bn.

Balance sheet growth drivers (strong credit growth supported by FCNR): - Deposits: +27.1% YoY and +11.8% sequentially (period-end) at Sep 30, 2026. Average deposits: +21.2% YoY and +8% sequentially. - FCNR (B) funding: Bank mobilised ~USD 18bn gross FCNR deposits (via RBI swap facility). - Loans: +30% YoY and +12% sequentially (incl. international branches). Ex-FCNR international impact: loans grew +24.1% YoY and +7.3% sequentially. - Retail & rural growth: +14.8% YoY and +3.2% sequentially; retail + rural = 43% of total portfolio (inc. non-fund-based). - Corporate/business banking strength: - Business banking +33.8% YoY and +11.1% sequentially. - Domestic corporate +30.6% YoY and +10.4% sequentially. - Surprising mix observation: management argued corporate strength is not “temporary parking” of FCNR funds; it reflects client demand, working-capital needs, investment activity, and shifts from bond/FX markets; franchise is “open” to both retail and corporate.

Credit quality & provisioning (generally healthy, but watchables): - Net NPA: 0.30% at Sep 30, 2026 vs 0.35% at Jun 30, 2026 (and 0.39% at Sep 30, 2025) → improving. - Gross NPA additions: INR 48.33bn (vs INR 50.34bn YoY); net additions to gross NPAs: INR 12.13bn (vs INR 13.86bn YoY). - Recoveries/upgrades stable; retail net additions lower YoY (INR 11.05bn vs INR 14.39bn). - Write-offs & sales: INR 15.92bn written off; INR 1.33bn NPA sold for cash. - Provisioning coverage: provisioning coverage on NPAs 75%. Also contingency provisions INR 131bn (~0.7% of advances). - Provision expense in quarter: INR 8.51bn (~4.1% of core operating profit; 0.2% of average advances). - Agri standard asset contingency (negative/uncertainty): additional standard asset provision INR 12.83bn held per RBI direction—remediation review ongoing; management expects an update in next ~2 quarters (timing/risk of further adjustments).