ICICI Bank's profit dipped 4% due to doubled provisions from RBI loan classification issues, despite stronger loans, deposits, and improved asset quality.

ICICI Bank's standalone net profit fell 4% year-on-year to 113.18 billion rupees for the quarter ended December 2025, missing forecasts, due to a more than doubling of provisions to 25.56 billion rupees following an RBI supervisory review that found agricultural loans were inaccurately classified as priority sector, requiring additional provisions. Despite the profit decline, net interest income rose 7.7%, loans and deposits grew, and asset quality improved with gross NPAs falling to 1.53%. The bank confirmed CEO Sandeep Bakhshi’s reappointment for a two-year term starting October 2026.