New Delhi: Despite posting a dull year on year performance shares of ICICI Bank rose more than 6 percent in the opening trade on Tuesday.
At 10.50 am the shares of India's third largest lender by assets rose 6.76 percent to Rs 308.95 a piece. The company's market cap stood at Rs 1,98,620.09.
ICICI Bank on Monday reported a steep 45 percent drop in March quarter net at Rs 1,142 crore, driven down by fresh slippages of around Rs 10,000 crore due to changes in asset classification norms.
On a standalone basis, the bank, currently grappling with allegations of conflicts of interest involving chief executive Chanda Kochhar, saw its net profit halving to Rs 1,020 crore.
Asset quality worsened for the bank with the gross NPA ratio rising marginally to 8.84 percent but net NPA moved down marginally to 4.77 percent from from 4.89 percent in the year-ago period.
The bank had to set aside almost three times more in provisions at Rs 6,625 crore as slippages soared as against a low Rs 2,898 crore. But that helped the bank improve its provision coverage ratio to 60.5 percent from 53 percent.
Meanwhile, ICICI`s long-serving Chief Executive Chanda Kochhar has also been battling allegations of nepotism in a loan the bank gave to the Videocon conglomerate.
The board of ICICI Bank, which is also listed in New York, has backed Kochhar and denied any wrongdoing.
With PTI Inputs