ICICI Bank BUY. Performance Highlights CMP. `869 Target Price `1,183. 4QFY2012 Result Update Banking

Transcription

1 4QFY2012 Result Update Banking April 28, 2012 ICICI Bank Performance Highlights Particulars (` cr) 4QFY12 3QFY12 % chg (qoq) 4QFY11 % chg (yoy) NII 2,712 2, , Preprov. profit 2,687 2, , PAT 1,728 1, , ICICI Bank reported healthy performance for 4QFY2012. Net profit for the bank grew by 20.3% yoy to `1,728cr. Key highlights of the results were a) 33bp sequential increase in domestic NIMs mainly driven by no securitization losses during the quarter and full impact of base rate hike and b) continued improvement in asset quality front. We maintain our Buy view on the stock. NIMs and asset quality, both improved: During the quarter, advances for the bank increased by healthy 17.3% yoy (3.1% qoq), aided by a strong 29.5% yoy (16.2% qoq) growth in SME book, 26.6% yoy growth in corporate book and 26.0% yoy growth in Overseas book (excl. positive impact of INR depreciation 10.4% yoy). Deposits accretion moderated with growth of 13.2% yoy (sequential decline of 2.0%), mainly on account of subdued current deposits growth and moderate 13.7% yoy saving deposits growth. Consequentially, CASA ratio declined 160bp yoy (10bp qoq) to 43.5%. Domestic NIMs improved by 33bp sequentially to 3.3%; while, Overseas NIMs improved by 12bp qoq to 1.5%. Noninterest income (excl. treasury) increased by only 12.7% yoy, on back of moderation in corporate fee income. Misc. other income for the bank grew to `342cr from `46cr in 4QFY2011, aided mainly by higher dividend income of ~`175cr. The bank s asset quality improvement continued during this quarter as well, with both gross and net NPA ratio declining sequentially by 20bp and 10bp, respectively. Provision coverage ratio remained healthy at 80.4%. The bank s restructured book grew by `1,186cr (38.6% qoq) to `4,256cr, in line with the management guidance and primarily included accounts such as GTL and 3i Infotech. The management indicated that no major restructuring is in the pipeline. They also specified that based on their past experiences, slippages from restructured assets is ~5%. Outlook and valuation: The bank s substantial branch expansion in the past 34 years is expected to sustain a far more favourable deposit mix going forward. Moreover, a lower risk balance sheet has driven down NPA provisioning costs, which we believe will enable RoE of 16% by FY2014E (with further upside from financial leverage). At the CMP, the bank s core banking business (after adjusting for subsidiaries) is trading at 1.5x FY2014E ABV (including subsidiaries, at 1.4x FY2014E ABV). We maintain our Buy recommendation on the stock with a target price of `1,183. Key financials Y/E March (` cr) FY2011 FY2012 FY2013E FY2014E NII 9,017 10,734 13,180 15,462 % chg Net profit 5,151 6,465 7,843 9,369 % chg NIM (%) EPS (`) P/E (x) P/ABV (x) RoA (%) RoE (%) BUY CMP `869 Target Price `1,183 Investment Period Stock Info Sector 12 Months Banking Market Cap (` cr) 99,858 Beta Week High / Low 1119/641 Avg. Daily Volume 653,759 Face Value (`) 10 BSE Sensex 17,187 Nifty 5,209 Reuters Code Bloomberg Code Shareholding Pattern (%) ICBK.BO ICICIBC@IN Promoters MF / Banks / Indian Fls 26.9 FII / NRIs / OCBs 62.8 Indian Public / Others 10.3 Abs. (%) 3m 1yr 3yr Sensex (0.3) (10.9) 56.2 ICICI Bank (2.2) (22.2) 97.8 Vaibhav Agrawal Ext: 6808 vaibhav.agrawal@angelbroking.com Varun Varma Ext: 6847 varun.varma@angelbroking.com Sourabh Taparia Ext: 6872 sourabh.taparia@angelbroking.com Please refer to important disclosures at the end of this report 1

2 Exhibit 1: 4QFY2012 performance Particulars (` cr) 4QFY12 3QFY12 % chg (qoq) 4QFY11 % chg (yoy) Interest earned 9,175 8, , on Advances / Bills 6,128 5, , on investments 2,615 2, , on balance with RBI & others (4.6) on others (5.6) Interest Expended 6,070 5, , Net Interest Income 3,105 2, , Other income 2,228 1, , Other income excl. treasury 2,070 1, , Fee income 1,728 1, ,791 (3.5) Treasury income 158 (65) (343.1) (196) (180.6) Other income Operating income 5,333 4, , Operating expenses 2,222 1, , Employee expenses 1, Other Opex 1,119 1, Preprovision Profit 3,112 2, , Provisions & Contingencies PBT 2,642 2, , Provision for Tax PAT 1,902 1, , Effective Tax Rate (%) bp bp Exhibit 2: 4QFY2012 Actual vs. estimates Particulars (` cr) Actual Estimates Var. (%) Net interest income 3,105 2, Other income 2,228 2, Operating income 5,333 4, Operating expenses 2,222 2, Preprov. profit 3,112 2, Provisions & cont (1.5) PBT 2,642 2, Prov. for taxes PAT 1,902 1, April 28,

3 Exhibit 3: 4QFY2012 performance analysis Particulars 4QFY12 3QFY12 % chg (qoq) 4QFY11 % chg (yoy) Balance sheet Advances (` cr) 253, , , Deposits (` cr) 255, ,589 (2.0) 225, CredittoDeposit Ratio (%) bp bp Current deposits (` cr) 34,973 40,039 (12.7) 34, Saving deposits (` cr) 76,046 73, , CASA deposits (` cr) 111, ,537 (2.2) 101, CASA ratio (%) (12)bp 45.1 (165)bp CAR (%) (36)bp 19.5 (102)bp Tier 1 CAR (%) (45)bp 13.2 (49)bp Profitability Ratios (%) Reported NIM bp bp Costtoincome ratio bp 44.5 (281)bp Asset quality Gross NPAs (` cr) 9,475 9,723 (2.5) 10,034 (5.6) Gross NPAs (%) (20)bp 4.5 (85)bp Net NPAs (` cr) 1,861 2,048 (9.1) 2,407 (22.7) Net NPAs (%) (10)bp 1.1 (38)bp Provision Coverage Ratio (%) bp bp Provision exps. to avg. assets (%) bp 0.4 2bp Overall NIMs improve 27bp sequentially During 4QFY2012, advances for the bank increased by healthy 17.3% yoy (3.1% qoq), aided by a strong 29.5% yoy (16.2% qoq) growth in SME book, 26.6% yoy growth in corporate book and 26.0% yoy growth in Overseas book (excl. the positive impact of INR s depreciation, the growth in international advances would have been much lower at 10.4% yoy). Rural segment loans grew at 6.4% yoy (27.8% qoq on account of year ending phenomena of higher priority sector lending in the last quarter). Retail loans grew by 7.6% yoy (9.2% qoq), partly due to the bank s conscious strategy to reduce the share of unsecured personal and credit card loans. Personal loans came off by a sharp 57.7% yoy, while credit card debt declined by 8.7% yoy. Secured vehicle and housing advances grew by 18.0% and 6.9% yoy, respectively. Consequently, the retail segment s overall contribution to the advances book came at 35.5% as of 4QFY2012 as against 38.7% as of 4QFY2011 (33.5% in 3QFY2012). Deposits accretion moderated during the quarter with growth of 13.2% yoy (sequential decline of 2.0%), mainly on account of subdued current deposits growth and moderate 13.7% saving deposits growth. Consequentially, credit to deposit ratio for the bank rose sharply to 99.3% in 4QFY2012 from 95.9% in 4QFY2011 and 94.5% in 3QFY2012. Muted growth in current deposits and moderate growth in saving deposits led the CASA ratio for the bank to decline 160bp yoy (10bp sequentially) to 43.5%. April 28,

4 Reported overall NIM improved by 27bp sequentially to 3.01%, on account of improvement in both domestic and international NIMs. Domestic NIMs improved by 33bp qoq to 3.3%, aided by higher investment income on account of no securitization loss during the quarter and higher yield on advances on account of full impact of base rate hike. Overseas NIM improved by 12bp qoq to 1.52% mainly on account of higher yield on advances. Going ahead, Management expects the banks domestic loan book to grow by ~20% in FY2013 mainly driven by corporate and secured retail loans. They anticipate the bank s consolidation in overseas loan book to continue in current year as well. According to the management, while 1QFY2013 NIMs are likely to be sequentially lower due to priority sector lending, overall NIMs are expected to improve by 1015bp in FY2013 as compared to FY2012. Exhibit 4: Consolidation in unsecured retail advances continue Particulars (` cr) 4QFY12 3QFY12 % chg (qoq) 4QFY11 % chg (yoy) % to total Rural 22,328 17, , Overseas 69,521 69,663 (0.2) 55, Corporate 58,357 64,986 (10.2) 46, SME 13,448 11, , Retail 90,073 82, , Housing 57,647 54, , Vehicle 26,572 22, , Personal ,345 (57.7) 0.4 Credit cards 2,522 2, ,763 (8.7) 1.0 Other retail 2,342 2, , Total Advances 253, , , Exhibit 5: CDR picks due to moderation in deposits gr. Exhibit 6: CASA ratio remain flat sequentially Adv. qoq growth Dep. qoq growth CDR (%, RHS) CASA ratio (%) CASA yoy growth (%) (3.0) April 28,

5 Exhibit 7: NIMs improve sharply by 27bp qoq NIM (Reported, %) Exhibit 8: NII growth trends 3,200 3,050 2,900 2,750 2,600 2,450 2,300 2,150 2, NII (` cr) YoY growth (%, RHS) Fee income moderation continues During 4QFY2012, non interest income excl. treasury for the bank increased by 12.7% yoy to `2,070cr, on back of moderation in fee income. Fee income declined by 3.5% yoy due to moderation in corporate fee income despite traction witnessed in income from transaction banking and remittance segments. Treasury income came in at `158cr as against loss of `196cr in 4QFY2011, on account of higher proprietary trading income and improved performance on equity portfolio, despite MTM losses on security receipts. Other income for the bank grew to `342cr from `46cr in 4QFY2011, mainly aided by dividend income of `100cr received from ICICI Bank UK and ~`75cr from its life insurance subsidiary. Going ahead, the management expects fee income growth to be in low double digits in FY2013, on account of, continued traction anticipated in transaction banking and remittance business; while stabilization expected in corporate fee income. Exhibit 9: Other Income aided by dividends from subsidiaries Particulars (` cr) 4QFY12 3QFY12 % chg (qoq) 4QFY11 % chg (yoy) Fee income 1,728 1, ,791 (3.5) Treasury 158 (65) (343.1) (196) (180.6) Others Other income 2,228 1, , Other income excl. treasury 2,070 1, , April 28,

6 Exhibit 10: Fee income moderation continues 1,900 1,800 1,700 1,600 1,500 1,400 Fee Income (` cr) yoy growth (%, RHS) (3.5) 1,791 1,578 1,700 1,701 1,728 (5.0) (10.0) Exhibit 11: Still healthy share of fee income in RoA Fee income to average assets (%) Asset quality continues to improve The bank s asset quality improvement continued during 4QFY2012 as well, with both gross and net NPA ratio declining sequentially by 20bp and 10bp, respectively. As of 4QFY2012 gross NPA ratio stands at 3.6% (3.8% in 3QFY2012), while net NPA ratio stands at 0.7% (0.8% in 3QFY2012). Provision coverage ratio for the quarter remained healthy at 80.4%. Gross slippages ratio for FY2012 stood at 1.36%. During the quarter, the bank s restructured book grew by `1,186cr (38.6% qoq) to `4,256cr, in line with the management guidance and primarily included accounts such as GTL and 3i Infotech. The management indicated that no major restructuring is in the pipeline. They also specified that based on their past experiences, slippages from restructured assets is ~5%. Further they guided for credit cost to be 75bp for FY2013. Exhibit 12: Restructured loans rise during 4QFY2012 (` cr) 4,500 4,256 3,750 3,070 3,000 2,501 2,250 1,970 1,966 1, Exhibit 13: Declining NPAs with improving coverage Gross NPAs (%) Net NPAs (%) Coverage ratio (%, RHS) Operating costs rise due to higher employee bonus provisions Operating expenses increased by 20.5% yoy (16.0% qoq), primarily due to increase of `267cr in employee expenses on the back of higher bonus provisions. Consequently, the operating expenses to average assets ratio increased to 1.9% in 4QFY2012 compared to 1.8% in 4QFY2011 and 1.7% in 3QFY2012. Costtoincome ratio also inched up sequentially by 10bp to 41.7%. The management expects to contain costtoincome ratio below 42% in FY2013. April 28,

7 Exhibit 14: Staff expenses increased Total Opex Other opex Staff exps Opex yoy growth (RHS) (` cr) (%) 2,500 2,000 1,500 1, , , ,080 1,103 1, Exhibit 15: Opex to avg assets ratio increase in 4QFY12 Costtoincome ratio (%) Opex to avg assets (%, RHS) Underleveraged branch network The number of branches for the bank has almost doubled over the past three years. Branch network improvement was partly aided by the merger with the Bank of Rajasthan. This extensive pan India network of 2752 branches as of 4QFY2012 is underleveraged, as reflected in the falling CASA deposits/branch of ~`40cr compared to `65cr as of 3QFY2008 and the total assets/branch of `172cr compared to `394cr as of 3QFY2008. Further, management plans to maintain the branch addition rate in the range of in coming year as well. Going forward, we expect the bank to leverage this network to grow its CASA market share. Exhibit 16: Robust branch expansion Exhibit 17: Underleveraged branch network 2,700 2,250 1,800 1, ,308 1,438 1,741 2,529 2, Total Assets/Branch (` cr) CASA Deposits/Branch (` cr, RHS) QFY08 4QFY08 1QFY09 2QFY09 3QFY09 4QFY09 1QFY10 2QFY10 3QFY10 4QFY10 1QFY11 2QFY11 3QFY11 4QFY11 1QFY12 2QFY12 3QFY12 4QFY12 3QFY08 4QFY08 1QFY09 2QFY09 3QFY09 4QFY09 1QFY10 2QFY10 3QFY10 4QFY10 1QFY11 2QFY11 3QFY11 4QFY11 1QFY12 2QFY12 3QFY12 4QFY12 Overview of performance of subsidiaries Consolidated net profit for FY2012 rose by a healthy 25.4% yoy to `7,643cr (ex ICICI General additional third party motor pool losses, consolidated net profit would have grown by 33.6% to `8,146cr). Consolidated reported RoE s for FY2012 improved to 13.0% from 11.6% in FY2011. However, overseas subsidiaries of the bank (viz. ICICI Bank Canada and ICICI Bank UK) continue to remain a drag on the consolidated RoE s, as both remain over capitalized, reflecting bank s strategy of consolidating their April 28,

8 operations (CAR in excess of 31% in both), and profitability continue to decline for ICICI Bank UK (US$ 25.4mn in FY2012 vs. US$ 36.6mn in FY2011). The bank received ~`100cr as dividend from its UK subsidiary in 4QFY2012 and similar discussions are in progress with the Canadian regulator. In the short term, we expect the overcapitalized subsidiaries to drag the consolidated RoEs. ICICI Prudential Life reported PAT of `1,384cr for FY2012 (growth of 72.4% yoy) and maintained its leadership position with a market share based on retail weighted received premium of 5.9%. ICICI Lombard General Insurance reported loss after tax of `416cr for FY2012 (vs. loss after tax of `80cr in FY2011) after recognizing additional third party motor pool losses of `685cr. Management expects the company to turn profitable in FY2013, despite some more impact of third party motor pool liabilities on account of actuarial valuation anticipated in FY2013. FY2012 performance for other smaller subsidiaries was mixed. ICICI securities PD and ICICI AMC reported PAT growth of 62.3% and 22.2%, respectively. While ICICI securities and ICICI ventures reported PAT degrowth of 31.9% and 8.1%, respectively. Exhibit 18: Performance of subsidiaries Subsidiary Parameter FY2012 FY2011 % chg ICICI Bank UK PAT (USD mn) (30.6) ICICI Bank Canada PAT (CAD mn) ICICI Bank Eurasia PAT (USD mn) 4.3 ICICI Home Finance PAT (` cr) ICICI Prudential Life Insurance APE (` cr) 3,118 3,975 (21.6) NBP (` cr) (29.9) NBP margin (%) (10.6) AuM (` cr) 70,771 68, PAT (` cr) 1, ICICI Lombard Gen. Insurance Gross Premium (` cr) 5,358 4, PAT (` cr) (416) (80) ICICI Securities PAT (` cr) (31.9) ICICI Securities PD PAT (` cr) ICICI Venture PAT (` cr) (8.1) ICICI Prudential AMC PAT (` cr) April 28,

9 Investment arguments Well positioned to garner strong market share gains in CASA deposits In our view, the bank s substantial branch expansion from 955 branches at the end of 3QFY2008 to 2,752 branches by 4QFY2012, and strong capital adequacy, at 18.5% (TierI at 12.7%) have positioned it to gain both CASA and credit market share, respectively. In fact, the bank has once again started gaining market share in savings accounts since FY2010. During FY2011, the bank improved its market share of savings deposits by 10bp over FY2010, capturing a substantial 5.8% incremental market share. Improved deposit mix to lead to better NIM The bank s strategic transformation has expectedly resulted in significantly better balance sheet and earnings quality. The distinguishing feature of the bank s performance in FY2010 was the improvement in CASA ratio to 42.1% (transformative considering that the ratio was as low as 22% at the end of FY2007 and 29% even as recently as FY2009). CASA ratio has remained healthy at 43.5% even in 4QFY2012. Apart from the paradigm shift in the deposit mix reflected in its 43.5% CASA ratio, the bank has largely exited unattractive business segments such as smallticket personal loans in the domestic segment and most nonindia related exposures in its international business. Asset quality trends remain healthy The bank s asset quality continues to show further improvement, with a declining trend in additions to gross as well as net NPAs. For FY2012 gross slippages ratio stood at comfortable ~1.36%. Also, the bank has maintained a comfortable provision coverage ratio of 80.4% in 4QFY2012. Though the bank s restructured loans increased by 38.6% qoq during the quarter to `4,256cr, the management indicated that no major restructuring is in the pipeline. Management also specified that based on their past experiences, slippages from restructured assets is ~5%. The reduction in risk profile of advances has expectedly resulted in commensurate decline in NPA provisioning costs and reflected in improved RoA from 1.0% in FY2010 to 1.4% in FY2012. Valuations attractive We have a positive view on ICICI Bank, given its marketleading businesses across the financial services spectrum. Moreover, we believe the bank is decisively executing a strategy of consolidation, which has resulted in an improved deposit and loan mix and should drive improved operating metrics over the medium term. The bank s substantial branch expansion in the past 34 years is expected to sustain a far more favourable deposit mix going forward. Moreover, a lower risk balance sheet has driven down NPA provisioning costs, which we believe will drive 21.3% yoy growth in net profit for FY2013E and enable RoE of 16.0% by FY2014E (with further upside from financial leverage). At the CMP, the bank s core banking business (after adjusting `134/share towards value of the subsidiaries) is trading at 1.5x FY2014E ABV (including subsidiaries, April 28,

10 the stock is trading at 1.4x FY2014E ABV). We value the bank s subsidiaries at `134/share and the core bank at `1,049/share (2.1x FY2014E ABV). We maintain our Buy rating on the stock with a target price of `1,183. Exhibit 19: SOTP valuation summary Particulars Target multiple Value/share (`) ICICI Bank 2.1x FY2014E ABV 1,049 Life Insurance 15.5x FY2014E NBP 60 General Insurance 12x FY2012 PAT 12 Others (Home Fin, AMC, VC, Securities Securities PD and Overseas subsidiaries) 62 SOTP value 1,183 Source: Angel Research Exhibit 20: Key assumptions Particulars (%) Earlier estimates Revised estimates FY2013 FY2014 FY2013 FY2014 Credit growth Deposit growth CASA ratio NIMs Other income growth Growth in staff expenses Growth in other expenses Slippages Treasury gain/(loss) (% of investments) Source: Angel Research Exhibit 21: Change in estimates FY2013 Particulars (` cr) Earlier Revised Earlier Var. (%) estimates estimates estimates FY2014 Revised estimates Var. (%) NII 12,418 13, ,941 15, Noninterest income 9,191 9,029 (1.8) 11,164 11,051 (1.0) Operating income 21,609 22, ,105 26, Operating expenses 9,216 9, ,244 11,115 (1.1) Preprov. profit 12,393 12, ,862 15, Provisions & cont. 1,701 1, ,777 1, PBT 10,691 11, ,085 13, Prov. for taxes 3,168 3, ,069 4, PAT 7,524 7, ,016 9, Source: Angel Research April 28,

11 Exhibit 22: Angel EPS forecast vs. consensus Year (`) Angel forecast Bloomberg consensus Var. (%) FY2013E FY2014E Source: Bloomberg, Angel Research Exhibit 23: P/ABV band 2,000 1,800 1,600 1,400 1,200 1, Price (`) 1x 1.5x 2x 2.5x 3x Apr02 Sep02 Feb03 Jul03 Dec03 May04 Oct04 Mar05 Aug05 Jan06 Jun06 Nov06 Apr07 Sep07 Feb08 Jul08 Dec08 May09 Oct09 Mar10 Aug10 Jan11 Jun11 Nov11 Apr12 Sep12 Feb13 Exhibit 24: P/E band Price (`) 7x 17x 27x 37x 2,800 2,400 2,000 1,600 1, Apr05 Aug05 Dec05 Apr06 Aug06 Dec06 Apr07 Aug07 Dec07 Apr08 Aug08 Dec08 Apr09 Aug09 Dec09 Apr10 Aug10 Dec10 Apr11 Aug11 Dec11 Apr12 April 28,

12 Exhibit 25: ICICI Bank Premium/Discount to the Sensex (%) (20) (40) Premium/Discount to Sensex Avg. Historical Premium Apr06 Aug06 Dec06 Apr07 Aug07 Dec07 Apr08 Aug08 Dec08 Apr09 Aug09 Dec09 Apr10 Aug10 Dec10 Apr11 Aug11 Dec11 Apr12 Source: Bloomberg, Angel Research Exhibit 26: Recommendation summary Company Reco. CMP (`) Tgt. price (`) Upside (%) FY2014E P/ABV (x) FY2014E Tgt P/ABV (x) FY2014E P/E (x) FY201214E EPS CAGR (%) FY2014E RoA (%) FY2014E RoE (%) AxisBk Buy 1,121 1, FedBk Neutral HDFCBk Neutral ICICIBk* Buy 869 1, SIB Neutral YesBk Buy AllBk Buy (2.1) AndhBk Accumulate BOB Buy BOI Buy BOM Buy CanBk Buy CentBk Neutral CorpBk Buy DenaBk Buy IDBI# Buy IndBk Accumulate IOB Buy J&KBk Neutral OBC Buy PNB Buy 839 1, SBI* Buy 2,131 2, SynBk Buy UcoBk Neutral UnionBk Buy UtdBk Buy VijBk Neutral ; Note:*Target multiples=sotp Target Price/ABV (including subsidiaries), # Without adjusting for SASF April 28,

13 Income statement Y/E March (` cr) FY09 FY10 FY11 FY12 FY13E FY14E Net Interest Income 9,092 8,114 9,017 10,734 13,180 15,462 YoY Growth (%) 10.9 (10.8) Other Income 7,783 7,478 6,648 7,503 9,029 11,051 YoY Growth (%) (12.3) (3.9) (11.1) Operating Income 16,875 15,592 15,665 18,237 22,209 26,512 YoY Growth (%) (1.2) (7.6) Operating Expenses 7,045 5,860 6,617 7,850 9,274 11,115 YoY Growth (%) (13.6) (16.8) Pre Provision Profit 9,830 9,732 9,048 10,387 12,935 15,397 YoY Growth (%) 10.1 (1.0) (7.0) Prov. & Cont. 5,048 4,390 2,290 1,583 1,782 1,790 YoY Growth (%) 30.4 (13.0) (47.8) (30.9) Profit Before Tax 4,782 5,342 6,758 8,803 11,153 13,607 YoY Growth (%) (5.4) Prov. for Taxation 1,359 1,317 1,606 2,338 3,311 4,238 as a % of PBT PAT 3,423 4,025 5,151 6,465 7,843 9,369 YoY Growth (%) (17.7) Balance sheet Y/E March (` cr) FY09 FY10 FY11 FY12 FY13E FY14E Share Capital 1,463 1,465 1,502 1,505 1,505 1,505 Equity 1,113 1,115 1,152 1,155 1,155 1,155 Preference Reserve & Surplus 48,420 50,503 53,939 59,250 63,695 69,010 Deposits 218, , , , , ,975 Growth (%) (10.7) (7.5) Borrowings 67,324 60,947 72,813 90, , ,522 Tier 2 Capital 25,482 32,967 36,391 49,788 50,784 51,800 Other Liab. & Prov. 18,265 15,501 15,987 17,577 20,588 25,428 Total Liabilities 379, , , , , ,241 Cash Balances 17,536 27,514 20,907 20,461 18,243 22,439 Bank Balances 12,430 11,359 13,183 15,768 18,189 21,635 Investments 103, , , , , ,173 Advances 218, , , , , ,260 Growth (%) (3.2) (17.0) Fixed Assets 3,802 3,213 4,744 4,615 5,164 5,957 Other Assets 24,164 19,215 16,347 19,515 22,512 26,776 Total Assets 379, , , , , ,241 Growth (%) (6.3) (4.4) April 28,

14 Ratio analysis Y/E March FY09 FY10 FY11 FY12 FY13E FY14E Profitability ratios (%) NIMs Cost to Income Ratio RoA RoE B/S ratios (%) CASA Ratio Credit/Deposit Ratio CAR Tier I Asset Quality (%) Gross NPAs Net NPAs Slippages Loan Loss Prov. /Avg. Assets Provision Coverage Per Share Data (`) EPS ABVPS (75% cover.) DPS Valuation Ratios PER (x) P/ABVPS (x) Dividend Yield DuPont Analysis NII () Prov. Exp Adj. NII Treasury (0.1) (0.0) Int. Sens. Inc Other Inc Op. Inc Opex PBT Taxes RoA Leverage RoE April 28,

15 Research Team Tel: Website: DISCLAIMER This document is solely for the personal information of the recipient, and must not be singularly used as the basis of any investment decision. Nothing in this document should be construed as investment or financial advice. Each recipient of this document should make such investigations as they deem necessary to arrive at an independent evaluation of an investment in the securities of the companies referred to in this document (including the merits and risks involved), and should consult their own advisors to determine the merits and risks of such an investment. Angel Broking Limited, its affiliates, directors, its proprietary trading and investment businesses may, from time to time, make investment decisions that are inconsistent with or contradictory to the recommendations expressed herein. The views contained in this document are those of the analyst, and the company may or may not subscribe to all the views expressed within. Reports based on technical and derivative analysis center on studying charts of a stock's price movement, outstanding positions and trading volume, as opposed to focusing on a company's fundamentals and, as such, may not match with a report on a company's fundamentals. The information in this document has been printed on the basis of publicly available information, internal data and other reliable sources believed to be true, but we do not represent that it is accurate or complete and it should not be relied on as such, as this document is for general guidance only. Angel Broking Limited or any of its affiliates/ group companies shall not be in any way responsible for any loss or damage that may arise to any person from any inadvertent error in the information contained in this report. Angel Broking Limited has not independently verified all the information contained within this document. Accordingly, we cannot testify, nor make any representation or warranty, express or implied, to the accuracy, contents or data contained within this document. While Angel Broking Limited endeavours to update on a reasonable basis the information discussed in this material, there may be regulatory, compliance, or other reasons that prevent us from doing so. This document is being supplied to you solely for your information, and its contents, information or data may not be reproduced, redistributed or passed on, directly or indirectly. Angel Broking Limited and its affiliates may seek to provide or have engaged in providing corporate finance, investment banking or other advisory services in a merger or specific transaction to the companies referred to in this report, as on the date of this report or in the past. Neither Angel Broking Limited, nor its directors, employees or affiliates shall be liable for any loss or damage that may arise from or in connection with the use of this information. Note: Please refer to the important `Stock Holding Disclosure' report on the Angel website (Research Section). Also, please refer to the latest update on respective stocks for the disclosure status in respect of those stocks. Angel Broking Limited and its affiliates may have investment positions in the stocks recommended in this report. Disclosure of Interest Statement ICICI Bank 1. Analyst ownership of the stock No 2. Angel and its Group companies ownership of the stock No 3. Angel and its Group companies' Directors ownership of the stock No 4. Broking relationship with company covered No Note: We have not considered any Exposure below ` 1 lakh for Angel, its Group companies and Directors Ratings (Returns): Buy (> 15%) Accumulate (5% to 15%) Neutral (5 to 5%) Reduce (5% to 15%) Sell (< 15%) April 28,