Slippage in Q2 from watchlist will be seen closely. Provisions may remain elevated in Q2 despite stake sale in ICICI Pru life. Q1 provision was at Rs 2514.5 crore while ICICI had created contingent provision in Q4FY16 of which Rs 2734.6 crore is available with them after Q1.
ICICI Bank is likely to see net profit falling 18.3 percent to Rs 2476.9 crore in July-September quarter from Rs 3030.1 crore in corresponding quarter last fiscal. Earnings expected to remain under pressure due to high provisions.
Bank will have income from ICICI Prudential Life stake sale. Movement of stressed assets will be seen closely. Management commentary on stressed loans will be very important. Loan growth is expected to be at around 12 percent on annual basis.
