ICICI Bank Q2 FY26 Results — Stable Growth, Steady Margins

ICICI Bank reported a net profit of ₹12,359 crore, up 5% YoY, supported by lower provisions and healthy loan growth. Net Interest Income (NII) rose 7.4% YoY to ₹21,529 crore, while Core Operating Profit increased 6.5% YoY to ₹17,078 crore. Net Interest Margin (NIM) stood stable at 4.3%, reflecting controlled funding costs. The bank’s asset quality improved, with Gross NPA at 1.58% vs 1.67% last year, and Net NPA at 0.42%, one of the best in the sector. Loan book growth remained strong in the retail and SME segments, supported by rising credit demand. CASA deposits continued to provide a low-cost funding base. On the risk side, profit growth was modest, impacted by lower treasury gains and rising competition for deposits. Margins may stay under pressure if interest rates remain elevated. What’s working: Healthy loan growth across retail and SME portfolios Consistent improvement in asset quality Strong capital adequacy at 17.8% ensures balance sheet comfort What to watch: Margin trends in upcoming quarters Provision levels and deposit growth pace Credit demand amid high-rate environment Outlook: ICICI Bank remains a structurally strong private lender with robust asset quality and capital buffers. Near-term profit growth could stay moderate, but the bank’s diversified portfolio and stable margins make it a steady compounder for long-term investors.