Weathering adverse circumstances,Indias second largest bank,ICICI Bank,has come out with a better performance in the third quarter ended December. The bank has managed to post a 25 per cent growth in net profit to Rs 1,272 crore for the quarter ended December 2008 on a sequential basis as against Rs 1,014 crore in the quarter ended September 2008. Beating market expectations,on a year-on-year basis,the growth in profit works out to 3.41 per cent from Rs 1,230 crore in the same quarter of the previous year.
ICICI Bank shares had fallen 3.71 per cent to Rs 364.30 on Friday as the market was expecting a dip in profits. The growth was above above market expectations. Gains from investments in government bonds and a drop in operating expenses boosted its performance, said an analyst.
During the current year,the bank has pursued a strategy of lightening the balance sheet and prioritizing capital conservation,liquidity management and risk containment given the challenging economic environment. The bank has also placed strong emphasis on efficiency improvement and cost rationalisation, the bank said.