ICICIBANK

Q1 FY26: Growth strong, but margin squeeze visible

Solid quarter overall - profits up 15.5% to ₹12,768 crores, with loan growth humming along at 12%. Their business banking division absolutely crushed it with nearly 30% growth, which is impressive when corporate lending is stuck in neutral. The margin squeeze is real though. NIMs dropped from 4.41% to 4.34% because lending rates are falling faster than what they pay depositors. Classic banking squeeze - you're caught between competitive loan pricing and sticky deposit costs. What's working: - Asset quality is actually getting better (bad loans down to 1.67%) - They're being smart about provisions - setting aside more money for potential trouble - Business banking momentum is genuine and sustainable