INSUBCONTINENT EXCLUSIVE:
ICICI Bank rallied as much as 3 per cent early Monday even as the lender reported its first ever quarterly loss
On Friday, it reported a net loss of Rs 120 crore on a standalone basis for the first quarter of 2018-19 due to additional provisions on
existing non-performing assets (NPAs).
The lender had made a net profit of Rs 2,049 crore during the same period of 2017-18.
Most of the
brokerages continued to maintain their bullish stance on ICICI Bank post Q1 numbers
Jefferies said the loss is driven by higher provisions owing to ageing non-performing loans
Return on equity is seen to improve by FY21
increase in provisions to Rs 5,971.29 crore on a jump in stressed assets admitted for resolution to the NCLT and ageing of existing
non-performing assets (NPAs) were the primary reasons for the loss.
The bank, which recently saw the induction of ICICI Prudential Life MD
and CEO Sandeep Bakhshi as the chief operating officer, decided to increase its provision coverage ratio for sour assets by over five
