ICICI Bank (ICICIBANK) Q4 97/98 earnings summary

Executive summary

• FY1997-98 gross income reached Rs. 344.75 crore; net profit was Rs. 50.22 crore, up 25.17% YoY despite an unanticipated Rs. 12.13 crore provision for securities depreciation.

• Deposits grew 95.09% to Rs. 2,629.02 crore and outstanding credit rose 41.34% to Rs. 1,127.87 crore.

• Expansion, new digital services and a larger public shareholding base supported a fast-growing banking operation.

Financial highlights

• Gross income was Rs. 344.75 crore vs Rs. 225.30 crore in FY1996-97; profit before provisions, contingencies and taxes was Rs. 100.46 crore vs Rs. 67.72 crore.

• Net profit was Rs. 50.22 crore vs Rs. 40.12 crore YoY and Rs. 55.08 crore projected in the public offer document.

• Interest earned rose to Rs. 259.70 crore from Rs. 182.68 crore; other income increased to Rs. 85.05 crore from Rs. 42.62 crore.

• Proposed dividend was Re. 1 per share on 16.5 crore shares, with pro-rata payment for 1.5 crore shares issued during the year; total proposed dividend Rs. 16.23 crore.

Outlook and guidance

• Targeted a network of 50–55 offices by March 1999, from 33 branches and 4 extension counters at March 1998.

• Planned to expand off-site ATM deployment after opening the first at Infosys Technologies in Bangalore.

• Projected assets of Rs. 4,500 crore at March 1999 in support of a proposed increase in the borrowing ceiling to Rs. 3,000 crore from Rs. 1,000 crore.