PROJECT REPORT ON “FINANCIAL ANALYSIS” OF

ICICI Bank
Submitted to H.P university, Shimla In the partial fulfillment of Award of the degree of Bachelor of business administration

Submitted by: Guidance of:

Under the

GAURAV NARANG University Roll no. 4329

MR. ANKUR MAHAJAN Lecturer, B.B.A, Govt. college, Dharmshala.

Dept. of business administration Govt. post graduate college, Dharmshala(H.P) 2007-10

CERTIFICATION LETTER Govt. College,Dharmshala

TO WHOM IT

MAY CONCERN

This is to certify that the Project Report entitled “FINANCIAL ANALYSIS OF ICICI Bank” has been completed by: GAURAV NARANG” under my supervision. To the best of my knowledge, this is his own work and he has not submitted the same elsewhere for the award of any other degree or diploma. I approve it for submission in the partial fulfillment of the requirement for the degree of Bachelor of Business Administration. Date Place Mr.Ankur Mahajan (Project Guide) Lecturer B.B.A, Govt.College,Dharmshala

ACKNOWLEDGEMENT
No task is single man’s effort .Any job in this world however trivial or tough cannot be accomplished without the assistance of others. An assignment puts the knowledge and experience of an individual to litmus test. There is always a sense of gratitude that one likes to express towards the persons who helped to change an effort in a success. The opportunity to express my indebtness to people who have helped me to accomplish this task.

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I deem it a proud privilege to extend my greatest sense of gratitude to my Project Guide MR. ANKUR MAHAJAN (lecturer B.B.A) for the keen interest, inspiring guidance, continuous encouragement, valuable suggestions and constructive criticism throughout the pursuance of this report. I am thankful to Coordinator sir DR. UTTAM CHAND for giving me the opportunity to undertake the study. I am highly indebted to MR. DINESH JAMWAL (PROF. REGIONAL CENTRE,H.P.U,SHIMLA) for sparing time from their busy schedule for providing me with their able guidance at the time of need and helping me to achieve the ultimate goal of the study. I would also like to thank MR. RAJ (Branch Manager, ICICI Bank, Dharmshala) for their valuable support in helping me to gain this opportunity of being associated with an organization of such esteem. Last but not the least, it would be unfair if I don’t express my indebtness to my parents and all my friends for their active cooperation which was of great help during the course of my training project.

PREFACE
In any organization, the two important financial statements are the Balance Sheet and Profit & Loss Account of the business. Balance Sheet is a statement of financial position of an enterprise at a particular point of time. Profit & Loss account shows the net profit or net loss of a company for a specified period of time. When these statements of the last few year of any organization are studied and analyzed, significant conclusions may be

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Therefore it is very necessary for every organization whether it is a financial or manufacturing.arrived regarding the changes in the financial position. Company’s Profile 19-55 21 4 . management executives and the bankers all analyze these statements. the important policies followed and trends in profit and loss etc. to make financial statement and to analyze it. Analysis and interpretation of financial statement has now become an important technique of credit appraisal. Introduction to ICICI Bank………… Page no. 3 4 6-18 7 8 11 17 18 2. Though the basic technique of appraisal remains the same in all the cases but the approach and the emphasis in the analysis vary. PARTICULARS Acknowledgement Preface Introduction Of Banking a. The investors. c. History of banking in India……………… Banks in India…………………………… Fact files of banks in India……………… Indian banking industry…………………. 1. d. Table of content Chapter no. a. the liquidity position and the profitability or the earning capacity of borrowing concern. financial experts. A banker interprets the financial statement so as to evaluate the financial soundness and stability. Analysis of financial statements helps in making the future decisions and strategies. Analysis of financial statements is necessary because it helps in depicting the financial position on the basis of past and current records. b. Introduction of banking…………………. e.

b. c. d. e. f. g. h. i. 3. a. b. c. d. e. f. g. h. 4. a. b. c. d.

ICICI Bank today…………………… Business profile……………………... Board of directors…………………… Board committee……………………. Business objective…………………… Technology used in ICICI Bank…….. Products and services………………... Awards and recognition……………… Objective of study…………………… Importance of study…………………. Meaning of research………………… Research problem…………………… Research design……………………... Data collection method……………… Analysis and interpretation of data….. Limitation of study…………………..

27 28 29 30 31 32 34 54

Research Methodology

56-62
58 58 59 59 60 61 62 62

Financial Analysis
Introduction of the topic………………. Method/Tools of financial analysis……. Balance sheet of ICICI Bank….. Profit and Loss Account of ICICI Bank…………………………….. e. Financial statement analysis…………… 1) Comparative financial statement………………………. 2) Trend analysis……………………. 3) Ratio analysis……………………..

63-92
64 67 73 75 76 76 79 80 93-98 99-100

5. 6.

Findings ,Suggestions And Conclusion………………………. Bibliography…………………………………………

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Chapter 1

INTRODUCTION OF BANKING

INTRODUCTION OF BANKING
Definition Of Bank: Banking Means "Accepting Deposits for the purpose of lending or Investment of deposits of money from the public, repayable on demand or otherwise and withdraw by cheque, draft or otherwise."

-Banking Companies (Regulation) Act,1949

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ORIGIN OF THE WORD “BANK”:The origin of the word bank is shrouded in mystery. According to one view point the Italian business house carrying on crude from of banking were called banchi bancheri" According to another viewpoint banking is derived from German word "Branck" which mean heap or mound. In England, the issue of paper money by the government was referred to as a raising a bank.

ORIGIN OF BANKING :
Its origin in the simplest form can be traced to the origin of authentic history. After recognizing the benefit of money as a medium of exchange, the importance of banking was developed as it provides the safer place to store the money. This safe place ultimately evolved in to financial institutions that accepts deposits and make loans i.e., modern commercial banks.

Banking system in India
Without a sound and effective banking system in India it cannot have a healthy economy.The banking system of India should not only be hassle free but it should be able to meet new challenges posed by the technology and any other external and internal factors. For the past three decades India's banking system has several outstanding achievements to its credit. The most striking is its extensive reach. It is no longer confined to only metropolitans or cosmopolitans in India. In fact, Indian banking system has reached even to the remote corners of the country. This is one of the main reasons of India's growth process.

 HISTORY OF BANKING IN INDIA
Banking in India has its origin as early or Vedic period. It is believed that the transitions from many lending to banking must have occurred even before Manu, the great Hindu furriest, who has devoted a section of his work to deposit and advances and laid down rules relating to the rate of interest. During the mogul period, the indigenous banker played a very important role in lending money and financing foreign trade and commerce. During the days of the East India Company it was the turn of agency house to carry on the banking business. The General Bank of India was the first joint stock bank to be established in the year 1786. The other which followed was the Bank of Hindustan and Bengal Bank. The Bank of Hindustan is reported to have continued till 1906. While other two failed in the meantime. In the first half of the 19th century the East India Company

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In the wake of Swadeshi Movement. Bank of Baroda Ltd. 6 more commercial private sector banks were taken over by the government. Next came Bank of Hindustan and Bengal Bank. the Bank of Bombay in 1840 and the Bank of Bombay in1843. Bank of Bombay (1840) and Bank of Madras (1843) as independent units and called it Presidency Banks. The Central office of RBI is in Mumbai and it controls all the other banks in the country. Phase I The General Bank of India was set up in the year 1786. These three banks also known as the Presidency banks were the independent units and functioned well. Canara Bank. The first bank in India.the journey of Indian Banking System can be segregated into three distinct phases. The bank of Bengal in 1809. The Reserve Bank of India (RBI) which is the Central bank was established in April. I prefix the scenario as Phase I. These three banks were amalgamated in 1920 and new bank. was established in 1786. mostly Europeans shareholders. Punjab National Bank Ltd. 1921. Bank of India Ltd. From 1786 till today. though conservative.  New phase of Indian Banking System with the advent of Indian Financial & Banking Sector Reforms after 1991. With the passing of the State Bank of India Act in 1955 the undertaking of the Imperial Bank of India was taken over by the newly constituted SBI. The East India Company established Bank of Bengal (1809). the Imperial Bank of India was established on 27th January. number of banks with the Indian management were established in the country namely. 1935 by passing Reserve bank of India act 1935. Phase II and Phase III. on 19th July 1969... These three banks were amalgamated in 1920 and Imperial Bank of India was established which started as private shareholders banks. 14 major banks of the country were nationalized and on 15th April 1980. Ltd. To make this write-up more explanatory. 8 . They areas mentioned below:  Early phase from 1786 to 1969 of Indian Banks  Nationalization of Indian Banks and up to 1991 prior to Indian banking sector Reforms..established there banks.

and Bank of Mysore were set up.In 1865 Allahabad Bank was established and first time exclusively by Indians. It was the effort of the then Prime Minister of India. Bank of Baroda. This step brought 80% of the banking segment in India under Government ownership. 1980: Nationalization of seven banks with deposits over 200 crore.1969. During the first phase the growth was very slow and banks also experienced periodic failures between 1913 and 1948. 14 major commercial banks in the country was nationalized. 1975: Creation of regional rural banks. Moreover. major process of nationalization was carried out. it nationalized Imperial Bank of India with extensive banking facilities on a large scale especially in rural and semi-urban areas. Reserve Bank of India was vested with extensive powers for the supervision of banking in India as the Central Banking Authority. It formed State Bank of India to act as the principal agent of RBI and to handle banking transactions of the Union and State Governments all over the country. 1955: Nationalization of State Bank of India. Canara Bank. 1949 which was later changed to Banking Regulation Act 1949 as per amending Act of 1965 (Act No. funds were largely given to traders. 1969: Nationalization of 14 major banks. 1961: Insurance cover extended to deposits. Between 1906 and 1913. 1971: Creation of credit guarantee corporation. Second phase of nationalization Indian Banking Sector Reform was carried out in 1980 with seven more banks. There were approximately 1100 banks. The following are the steps taken by the Government of India to Regulate BankingInstitutions in the Country:         1949: Enactment of Banking Regulation Act. In1955. Punjab National Bank Ltd. Phase II Government took major steps in this Indian Banking Sector Reform after independence. Mrs. To streamline the functioning and activities of commercial banks. mostly small. 23 of 1965). During those day’s public has lesser confidence in the banks. 1959: Nationalization of SBI subsidiaries. Bank of India. Indian Bank. 9 . Indira Gandhi. As an aftermath deposit mobilization was slow. Seven banks forming subsidiary of State Bank of India was nationalized in 1960 on 19th July. the Government of India came up with The Banking Companies Act. Central Bank of India. Reserve Bank of India came in 1935. was set up in 1894 with headquarters at Lahore. Abreast of it the savings bank facility provided by the Postal department was comparatively safer.

10 . The RBI has shown certain interest to involve more of foreign banks than the existing one recently. BANKS IN INDIA In India the banks are being segregated in different groups. One more section has been taken note of is the upcoming foreign banks in India. the capital account is not yet fully convertible. their mode of operation. The country is flooded with foreign banks and their ATM stations.After the nationalization of banks. Time is given more importance than money. The banks and its relation with the customers. Each has their own dedicated target market. the names of banks under different groups and other such useful information’s are talked about. Many even are only catering in cities. The financial system of India has shown a great deal of resilience. Phone banking and net banking is introduced. Efforts are being put to give a satisfactory service to customers. This is all due to a flexible exchange rate regime.000%. All these details and many more is discussed over here. the foreign reserves are high. and banks and their customers have limited foreign exchange exposure. This step has paved a way for few more foreign banks to start business in India. Banking in the sunshine of Government ownership gave the public implicit faith and immense confidence about the sustainability of these institutions. under the chairmanship of M Narasimham. The entire system became more convenient and swift. Few of them only work in rural sector while others in both rural as well as urban. Some are of Indian origin and some are foreign players. Phase III This phase has introduced many more products and facilities in the banking sector in its reforms measure. In 1991. It is sheltered from any crisis triggered by any external macroeconomics shock as other East Asian Countries suffered. Each group has their own benefits and limitations in operating in India. a committee was set up by his name which worked for the liberalization of banking practices. the branches of the public sector bank India rose to approximately 800% in deposits and advances took a huge jump by 11.

In India 14 banks were nationalized in 1969 & in 1980 another 6 banks were also nationalized. Welfare is their primary objective.BANKING STRUCTURE IN INDIA SCHEDULED BANKS IN INDIA (1)Scheduled Commercial Banks Public Sector Banks (26) Private Sector Banks (25) Foreign Banks In India (29) Regional Rural Banks (95)  Nationalized Bank  Other Public Sector Banks (IDBI)  SBI And Its Associates  Old Banks  New Banks Private Private (2) Scheduled Cooperative Banks Scheduled Urban Cooperative Banks Scheduled State Cooperative Banks Public Sector Banks Public sector banks are those banks which are owned by the Government. runs these Banks. Of these 19 are nationalised banks. 6(STATE BANK OF INDORE ALSO MERGED RECENTLY) belong to SBI & associates group and 1 bank (IDBI Bank) is classified as other public sector bank. The Govt. At present there are total 26 Public Sector Banks in India (As on 26-09-2009). 11 . Therefore in 1980 the number of nationalized bank 20.

The first private bank in India to be set up in Private Sector Banks in India was IndusInd Bank.Nationalised banks • • • • • • • • • • • • • • • • • • • Allahabad Bank Andhra Bank Bank Of Baroda Bank Of India Bank Of Maharastra Canara Bank Central Bank Of India Corporation Bank Dena Bank Indian Bank Indian Overseas Bank Oriental Bank Of Commerce Punjab & Sind Bank Punjab National Bank Syndicate Bank UCO Bank Union Bank Of India United Bank Of India Vijaya Bank Other Public Sector Banks IDBI (Industrial Development Bank Of India)Ltd. 12 . SBI & its Associates • • • • • • State Bank of India State Bank of Hyderabad State Bank of Mysore State Bank of Patiala State Bank of Travancore State Bank of Bikaner And Jaipur (State Bank of Saurastra merged with SBI in the year 2008 and State Bank of Indore In 2010) Private Sector Banks These banks are owned and run by the private sector. It is one of the fastest growing Bank Private Sector Banks in India. HDFC Bank etc. Various banks in the country such as ICICI Bank. IDBI ranks the tenth largest development bank in the world as Private Banks in India and has promoted world class institutions in India. An individual has control over there banks in preparation to the share of the banks held by him. Private banking in India was practiced since the beginning of banking system in India.

Lakshmi Vilas Bank Ltd. ING Vysya Bank Ltd. It was incorporated in August 1994 as HDFC Bank Limited with registered office in Mumbai and commenced operations as Scheduled Commercial Bank in January 1995. New Private Sector Banks • • • • • • • • • Bank of Punjab Ltd. South Indian Bank Ltd. ING Vysya. SBI Commercial and International Bank Ltd. yet another Private Bank of India was incorporated in the year 1930 Private sector banks have been subdivided into following 2 categories:- Old Private Sector Banks Bank of Rajasthan Ltd. Karur Vysya Bank Ltd. Nainital Bank Ltd. to set up a bank in the private sector banks in India as part of the RBI's liberalization of the Indian Banking Industry. United Western Bank Ltd. Dhanalakshmi Bank Ltd. Karnataka Bank Ltd. Tamilnad Mercantile Bank Ltd. IndusInd Bank Ltd. Federal Bank Ltd. Kotak Mahindra Bank Ltd. (since merged with Centurian Bank) Centurian Bank of Punjab (since merged with HDFC Bank) Development Credit Bank Ltd. Catholic Syrian Bank Ltd. Foreign Banks In India 13 . HDFC Bank Ltd. Axis Bank (earlier UTI Bank) Yes Bank Ltd. Ratnakar Bank Ltd. Jammu and Kashmir Bank Ltd.The first Private Bank in India to receive an in principle approval from the Reserve Bank of India was Housing Development Finance Corporation Limited. ICICI Bank Ltd. City Union Bank Ltd.

 Abu Dhabi Commercial Bank Ltd  American Express Bank  Antwerp Diamond Bank  Arab Bangladesh Bank  Bank International Indonesia  Bank of America  Bank of Bahrain & Kuwait  Bank of Ceylon  Bank of Nova Scotia  Bank of Tokyo Mitsubishi UFJ  Barclays Bank  BNP Paribas  Calyon Bank  ChinaTrust Commercial Bank  Citibank  DBS Bank  Deutsche Bank  HSBC (Hongkong & Shanghai Banking Corporation)  JPMorgan Chase Bank  Krung Thai Bank  Mashreq Bank  Mizuho Corporate Bank  Oman International Bank  Shinhan Bank  Société Générale  Sonali Bank  Standard Chartered Bank  State Bank of Mauritius Cooperative banks in India 14 . ABN AMRO Bank N.V.

The cooperative bank is also regulated by the RBI. in the state and giving service to its depositors. NABARD National Bank for Agriculture and Rural Development (NABARD) is a development bank in the sector of Regional Rural Banks in India. Apart from SBI.The Cooperative bank is an important constituent of the Indian Financial System. the expectations the co operative is supposed to fulfil.475 rural banks in the country of which 2126 (91%) are located in remote rural areas. The businessess of cooperative bank in the urban areas also has increased phenomenally in recent years due to the sharp increase in the number of primary co-operative banks. Till date in rural banking in India. but the importance of such banks have assumed in India is rarely paralleled anywhere else in the world. 15 . rural artisans. They are governed by the Banking Regulations Act 1949 and Banking Laws (Co-operative Societies) Act. The total number of SBIs Regional Rural Banks in India branches is 2349 (16%). 1965. It provides and regulates credit and gives service for the promotion and development of rural sectors mainly agriculture. their number. Haryana State Cooperative Apex Bank Limited The Haryana State Cooperative Apex Bank Ltd. The cooperative banks in India plays an important role even today in rural financing. judging by the role assigned to co operative. agricultural labourers. and the number of offices the cooperative bank operate. etc. SBI has 30 Regional Rural Banks in India known as RRBs. entrepreneurs. The rural banks of SBI is spread in 13 states extending from Kashmir to Karnataka and Himachal Pradesh to North East. there are other few banks which functions for the development of the rural areas in India. commonly called as HARCOBANK plays a vital role in rural banking in the economy of Haryana State and has been providing aids and financing farmers. Though the co operative movement originated in the West. Few of them are as follows. there are 14. Regional rural banks in India penetrated every corner of the country and extended a helping hand in the growth process of the country. Rural banks in India Rural banking in India started since the establishment of banking sector in India. Co operative Banks in India are registered under the Co-operative Societies Act. Rural Banks in those days mainly focussed upon the agro sector.

It also finance rural crafts and other allied rural economic activities to promote integrated rural development.small scale industries. popularly known as SUCO BANK is the first of its kind in rural banks of India. Sindhanur Urban Souharda Co-operative Bank Sindhanur Urban Souharda Co-operative Bank. It has expanded its branch network in a big way to actively participate in the developmental of the rural and semi-urban areas in conformity with the objectives of nationalisation.  Fact Files of Banks in India The first Bank in India to be given an ISO certification. It helps in securing rural prosperity and its connected matters. The first Bank in Northern India to get ISO 9002 certification Canara Bank Punjab and Sind 16 . Its progress has been abreast of the phase of progressive banking in India especially in rural banks. United Bank of India United Bank of India (UBI) also plays an important role in regional rural banks. handicrafts. cottage and village industries. The impressive story of its inception is interesting and inspiring for all the youth of this country. Syndicate Bank Syndicate Bank was firmly rooted in rural India as rural banking and have a clear vision of future India by understanding the grassroot realities.

Bank Punjab Bank National The first among the Private Sector Banks in Kerala to become Scheduled South Indian Bank Bank in 1946 under the RBI act. with Assets expected to reach US$1 trillion by 2010. The first Indian Commercial Bank which was wholly owned and managed by Central India Indians.mostly European Imperial Bank of India shareholders. founded in 1906 in the first to open a branch in continental Europe at Paris in 1974 Mumbai.international and NRI products and services. 17 . The first Indian Bank to open a branch outside India in London in 1946 and Bank of India. The oldest Public Sector Bank in India having branches all over India and Allahabad Bank serving the customers for the last 132 years. middleclass.largest and the most successful commercial bank offering the State Bank of India widest possible rang of domestic. India’s second largest Private Sector Bank and is now the largest scheduled The Federal Bank Limited commercial bank in India. The first Indian Bank to have been started solely with Indian capital.through its vast network in India and overseas. Bank of INDIAN BANKING INDUSTRY The Indian banking market is growing at an astonishing rate. An expanding economy. India’s oldest. and technological innovations are all contributing to this growth. Bank which started as Private Shareholders Banks.for their selected branches.

The country’s middle class accounts for over 320 million People. which has resulted in innovative methods of offering new banking products and services. and affordability of banking products are promising factors for continued expansion. In correlation with the growth of the economy. Banks are now realizing the importance of being a big playerand are beginning to focus their attention on mergers and acquisitions to take advantage of economies of scale and/or comply with Basel II regulation. 18 . rising income levels. increased standard of living. “The banking industry should focus on having a small number of large players that can compete globally rather than having a large number of fragmented players. Focusing on the expansion of retail and rural banking.” says Prathima Rajan.“Indian banking industry assets are expected to reach US$1 trillion by 2010 and are poised to receive a greater infusion of foreign capital. The Indian banking Industry is in the middle of an IT revolution. Players are becoming increasingly customer -centric in their approach. analyst in Celent's banking group and author of the report.

06 billion ▲ USD 120. Kamath.61 billion (at March 31.com .S. Savings. 2009. Executive Director Sonjoy Chatterjee. Ramkumar. ICICI Bank Towers. Kannan. Credit Cards. Mumbai.) Industry Founded Headquarters Key people Products Revenue Total assets 19 Website www. Executive Director Loans. ▲ USD 15..Chapter 2 COMPANY’S PROFILE Type Private BSE & NSE:ICICI.V. Investment vehicles. Insurance etc. NYSE: IBN Banking Insurance Capital Markets and allied industries 1955 (as Industrial Credit and Investment Corporation of India) ICICI Bank Ltd. Bandra Kurla. Deputy Managing Director N. Executive Director & CFO K. Managing Director & CEO Sandeep Bakhshi.icicibank.Chairman Chanda Kochhar. India K.

 1986 : ICICI became the first Indian institution to receive ADB Loans.  1958 : Mr.  1961 : The first West German loan of DM 5 million from Kredianstalt obtained. T.Ramaswami Mudaliar elected as the first Chairman of ICICI Limited. Mr. Backbay Reclamation. along with UTI. N. Nadkarni appointed the sixth Chairman of ICICI. S.G. Besides funding from the World Bank and other multi-lateral agencies.INTRODUCTION TO ICICI BANK  History Of ICICI  1955: The Industrial Credit and Investment Corporation of India Limited (ICICI) was incorporated at the initiative of World Bank. : ICICI commences leasing business.Siddharth Mehta appointed the fifth Chairman of ICICI. : ICICI.A. with the objective of creating a development financial institution for providing medium-term and long-term project financing to Indian businesses.6 crore.  1978 : Mr.5%. ICICI was also among the first Indian companies to raise funds from international markets.  1969 : The first two regional offices in Calcutta and Madras set up. which was oversubscribed. inaugurated.  1956 : ICICI declared its first dividend of 3.  1979 : Mr. H.  1972 : The second entity in India to set up merchant banking services. the Government of India and representatives of Indian industry. India's first professional credit rating agency.  1982 : 1982 : ICICI became the first ever Indian borrower to raise European Currency Units.L.  1977 : ICICI sponsored the formation of Housing Development Finance Corporation. set up Credit Rating Information Services of India Limited. Managed its first equity public issue. ICICI emerges as the major source of foreign currency loans to Indian industry. : Mr. : ICICI promotes Shipping Credit and Investment 20 .  1960 : ICICI building at 163.Vaghul appointed the seventh Chairman and Managing Director of ICICI. James Raj appointed the fourth Chairman of ICICI.  1984 : Mr. Parekh appointed the third Chairman of ICICI.Mehta appointed the second Chairman of ICICI Ltd.  1985 : Mr.  1967 : ICICI made its first debenture issue for Rs.

Later. : ICICI Asset Management Company set up. car loans etc. : The Corporation made a public issue of Swiss Franc 75 million in Switzerland. : The name The Industrial Credit and Investment Corporation of India Ltd changed to ICICI Ltd. K. the first public issue by any Indian entity in the Swiss Capital Market. house loans and loans for consumer durables.  2000 : ICICI Bank became the first commercial bank from India to list its stock on NYSE. : SCICI merged with ICICI Ltd. credit cards. ICICI Bank.Kamath appointed the Managing Director and CEO of ICICI Ltd  1997 : ICICI Ltd was the first intermediary to move away from single prime rate to three-tier prime rates structure and introduced yield-curve based pricing. to undertake normal banking operations . and had acquired Chettinad Mercantile Bank (est.  1996 : ICICI Ltd became the first company in the Indian financial sector to raise GDR.  1998 : Introduced the new logo symbolizing a common corporate identity for the ICICI Group. 1933) and Illanji Bank (established 1904) in the 1960s. the first loan by CDC for financing projects in India. : Mr. the Boards of Directors of ICICI and ICICI Bank approved the merger of ICICI and two of its wholly owned retail 21 . : ICICI announced takeover of Anagram Finance. : ICICI Ltd announced the takeover of ITC Classic Finance.  2001: ICICI acquired Bank of Madura (est.Company of India Limited. Morgan set up.  1987 : ICICI signed a loan agreement for Sterling Pound 10 million with Commonwealth Development Corporation (CDC). : ICICI becomes the first Indian Company to list on the NYSE through an issue of American Depositary Shares.formerly Industrial Credit and Investment Corporation of India. 1943).taking deposits. ICICI founded a separate legal entity. ICICI Banking Corporation was renamed as 'ICICI Bank Limited'.  1994: ICICI established Banking Corporation as a banking subsidiary.  1993 : ICICI Securities and Finance Company Limited in joint venture with J. Bank of Madura was a Chettiar bank. P.car loans.V. In October 2001.India's first venture capital company.  1988 : Promoted TDICI .  1999 : ICICI launched retail finance .

The MFI would undertake the promotional role of identifying. . ICICI Bank’s representative office inaugurated in Dubai. Representative office set up in China. have been integrated in a single entity. ICICI Personal Financial Services Limited and ICICI Capital Services Limited. both wholesale and retail. by the High Court of Gujarat at Ahmadabad in March 2002. and by the High Court of Judicature at Mumbai and the Reserve Bank of India in April 2002. In India. : ICICI Bank’s UK subsidiary launched. introduced. : India’s first multi-branded credit card with HPCL and Airtel launched.finance subsidiaries. the ICICI group's financing and banking Operations. . It also opened an Offshore Banking Unit (OBU) in Singapore and representative offices in Dubai and Shanghai. . India’s first ever "Visa Mini Credit Card". ICICI Bank bought the Shimla and Darjeeling branches that Standard Chartered Bank had inherited when it acquired Grindlays Bank. Mumbai. ICICI Bank subsidiary set up in Canada. training and promoting the micro-finance clients and 22 . launched. . ICICI Bank became the market leader in retail credit in India. Consequent to the merger.  2004 : Max Money. low-cost ATMs in rural India launched.  2003 : The first Integrated Currency Management Centre launched in Pune. . : Mobile banking service in India launched in association with Reliance Infocomm. : ICICI Bank opened its 500th branch in India.2% stake in ICICI Bank. : ICICI Bank introduced partnership model wherein ICICI Bank would forge an alliance with existing micro finance institutions (MFIs). : ICICI Bank and CNBC TV 18 announced India’s first ever awards recognizing the achievements of SMEs. ICICI Bank announced the setting up of its first ever offshore branch in Singapore. : Kisan Loan Card and innovative. . .  2002 : The merger was approved by shareholders of ICICI and ICICI Bank in January 2002. ICICI started its international expansion by opening representative offices in New York and London. In the UK it established an alliance with Lloyds TSB. with ICICI Bank. a 43% smaller credit card in dimensions launched. a pioneering initiative to encourage the contribution of Small and Medium Enterprises to the growth of Indian economy. a home loan product that offers the dual benefit of higher eligibility and affordability to a customer. The first offshore banking unit (OBU) at Seepz Special Economic Zone. . Temasek Holdings acquired 5. At the same time.

to 8 p. ICICI established a branch in Dubai International Financial Centre and in Hong Kong. in Belgium . First Indian company to make a simultaneous equity offering of $1. ICICI opened a representative office in Bangladesh to tap the extensive trade between that country. Andhra Pradesh. Financial counseling centre Disha launched. India and South Africa. . Bhoomi puja conducted for a regional hub in Hyderabad. a nationwide Golf tournament for high networth clients of the private banking division launched. Hardoi. 23 . : ICICI Bank introduced the concept of floating rate for home loans in India.  2005 : First rural branch and ATM launched in Uttar Pradesh at Delpandarwa. this became an effective delivery option for ICICI Bank’s micro finance institution partners. ICICI renamed the bank ICICI Bank Eurasia. ICICI Bank became the first private entity in India to offer a discount to retail investors for its follow-up offer. "Free for Life" credit cards launched wherein annual fees of all ICICI Bank Credit Cards were waived off. Private Banking Masters 2005. This event is the largest domestic invitation amateur golf event conducted in India. : ICICI Bank introduced 8-8 Banking wherein all the branches of the Bank would remain open from 8a. ICICI Bank and Visa jointly launched mChq – a revolutionary credit card on the mobile phone. Disha provides free credit counseling.  2006 : ICICI Bank became the first Indian bank to issue hybrid Tier-1 perpetual debt in the international markets. financial planning and debt management services. and with a branch in Moscow. . a Russia bank with about US$4mn in assets. .‘NRI smart save Deposits’ – a unique fixed deposit scheme for nonresident Indians. from Monday to Saturday.8 billion in India. . At the same time.ICICI Bank would finance the clients directly on the recommendation of the MFI. ICICI acquired Investitsionno-Kreditny Bank (IKB). head office in Balabanovo in the Kaluga region. A low-cost solution. Indonesia and Malaysia. ICICI Bank UK opened a branch in Antwerp.m.m. ICICI Bank became the largest retail player in the market to introduce a biometric enabled smart card that allow banking transactions to be conducted on the field. Introduced a new product . . . : ICICI Bank subsidiary set up in Russia. Also. . . the United States and Japan.ICICI Bank became the largest bank in India in terms of its market capitalization. . : Representative offices opened in Thailand. .

ICICI Bank became the first private bank in India to offer both floating and fixed rate on car loans. nation wide initiative to attract bright graduate students to pursue a career in banking.Launched Bank@home services for all savings and current a/c customers residing in India . ICICI Bank Eurasia opened a second branch. Petersburg. Russia. . . ICICI Bank’s GBP 350 million international bond offering marked the inaugural deal in the sterling market from an Indian issuer and also the largest deal in the sterling market from Asia. . . Introduced SME Toolkit. an online resource centre. . With respect to the international sphere. In a first of its kind. to help small and medium enterprises start. which was headquartered in Sangli. commercial vehicles loans. 24 .000 crore (approx $5 billion) from both domestic and international markets through a follow-on public offer. Launched India’s first ever jewellery card in association with jewelry major Gitanjali Group.The Visa Signature Credit Card. and which had 158 branches in Maharashtra and another 31 in Karnataka State. ICICI Bank became the first bank in India to launch a premium credit card -. ICICI also received permission from the government of Qatar to open a branch in Doha. . finance and grow their business. . ICICI amalgamated Sangli Bank. Foundation stone laid for a regional hub in Gandhinagar. Sangli Bank had been founded in 1916 and was particularly strong in rural areas. . ICICI Bank launched the "Probationary Officer Programme". 2007 : ICICI Bank‘s USD 2 billion 3-tranche international bond offering was the largest bond offering by an Indian bank. Also. Gujarat. ICICI Bank Eurasia LLC inaugurated its first branch at St Petersburg.5 billion syndication loan agreement in Singapore. this time in St. ICICI Bank raised Rs 20. . ICICI Bank signed a multi-tranche dual currency US$ 1. in Maharashtra State. construction equipment loans and professional equipment loans. . .

ICICI Bank Limited acting through its Hong Kong Branch (ICICI Bank) signed an agreement on Export Credit Line totaling up to US$100 million with the Japan Bank for International Cooperation (JBIC) which constitutes the international wing of Japan Finance Corporation.along with DISHTV. to facilitate mChek services to all ICICI Bank Debit and Credit Card customers. which is designed to earn accelerated reward points to the card holders with every British Airways flight or by spending on everyday purchases. ICICI Bank launched iMobile. It is also the largest deal in Asia (exJapan) in 2008 till date and the second largest deal in Asia (exJapan & Australia) since the beginning of 2007. ICICI bank ties up with BSNL Cell One for bill payments.com across all the 27 circles of BSNL. 2008 : ICICI Bank enters US The US Federal Reserve permitted ICICI to convert its representative office in New York into a branch. . ICICI Bank enters Germany.96 billion (equivalent of USD 1. ICICI Bank launches ICICIACTIVE . . ICICI Bank is the first Indian Bank to have entered into this arrangement with China Exim . These are electronic cards issued to the customers with mChek application on their mobile phone.  2009: ICICI Bank Board appoints Mr K. .Banking Interactive Service . ICICI Bank announced an association with mChek. 2009 . 48. the Card has exclusive privileges especially designed for the members. .. while the existing nonexecutive Chairman Mr N Vaghul retires after completing his term on April 30. . ICICI Bank and British Airways launch co-branded credit card.21 billion) in a multi-tranche issue backed by four different asset categories. ICICI Bank with Singapore Airlines launched “ICICI Bank Singapore Airlines Visa Platinum Credit Card”. opens its first branch in Frankfurt . . India’s leading mobile payment solutions provider.icicibank. a breakthrough innovation in banking where practically all internet banking transactions can now be simply done on mobile phones. . ICICI Bank concluded India's largest ever securitization transaction of a pool of retail loan assets aggregating to Rs. Kamath as nonexecutive Chairman and Ms Chanda Kochhar as Managing Director & CEO effective May 1. 2009. which will allow viewers to see information about the Bank's products and services and contact details on their DISHTV screens. Ms 25 . ICICI Bank Limited acting through its Hong Kong Branch (ICICI Bank) signed a loan agreement with the Export-Import Bank of China (China Exim) for USD 98 million under the Two.step Buyer Credit (Export Credit) arrangement. it will facilitate bill payment for BSNL Cell One users through www. V.

Russia and the UK (the subsidiary through which the HiSAVE savings brand is operated). the United Arab Emirates and USA.2009. the Bank is targeting the NRI (Non-Resident Indian) population in particular. ICICI Bank has got its equity shares listed on the stock exchanges at Kolkata and Vadodara. 2009. ICICI Bank offers a wide range of banking products and financial services to corporate and retail customers through a variety of delivery channels and specialised subsidiaries and affiliates in the areas of investment banking.8 million) for the nine months ended December 31. branches in Belgium. The Bank also has a network of 1. 2009 and profit after tax Rs. This includes wholly owned subsidiaries in Canada. Mumbai and the National Stock Exchange of India Limited. 2009. South Africa. ICICI Bank is one of the Big Four Banks of India with State Bank of India. Hong Kong and Sri Lanka. including an offshore unit in Mumbai.286 crore in CASA deposits in quarter ended March 31. The Bank is expanding in overseas markets and has the largest international balance sheet among Indian banks. offshore banking units in Bahrain and Singapore.Chanda Kochhar took charge as the Managing Director & CEO of ICICI Bank from May 1. an advisory branch in Dubai. China.758 crore (US$ 741 million) for FY2009. 2010) and about 4. Increase of Rs.7% at March 31. ICICI Bank now has wholly-owned subsidiaries. venture capital and asset management.19 billion (US$ 648. Axis Bank and HDFC Bank ICICI Bank Group 26 . life and non-life insurance. Trotal assets of Rs.28 billion (US$ 77 billion) at December 31.) ICICI Bank is also the largest issuer of credit cards in India. ICICI BANK TODAY ICICI Bank (BSE: ICICI) (formerly Industrial Credit and Investment Corporation of India) is India's largest private sector bank by market capitalisation and second largest overall in terms of assets.721 ATMs in India and presence in 18 countries. Thailand. 30.640+ branches (as on February 11. as well as some 24 million customers (at the end of July 2007). Malaysia. Indonesia.562. ICICI reported a net profit of Rs. 2009 from 26. 3. and representative offices in Bangladesh. Overseas. (These data are dynamic. The bank's Current and savings account (CASA) ratio increased to 28.1% at March 31. 5. 3. and its ADRs on the New York Stock Exchange (NYSE). branches and representatives offices in 18 countries. 2008.

South Towers ICICI Towers Bandra Kurla Complex Bandra (E) Mumbai. BUSINESS PROFILE Products & Services Personal Banking • • • • • • • Deposits Loans Cards Investments Insurance Demat Services Wealth Management NRI Banking • • • • • • Money Transfer Bank Accounts Investments Property Solutions Insurance Loans Business Banking • • • • • • • Corporate Net Banking Cash Management Trade Services FXOnline SME Services Online Taxes Custodial Services Head Office ICICI Bank 9th Floor.com Capital structure 27 . Phone: 91-022-653 7914 Website: www.icicibank.

........................................... Ms..... Mr..................................... Ramachandran .... Mr. Narendra Murkumbi ........ Mr........................... Marti G. Kamath......... N.. Mr....... Sridar Iyengar ........... Ramkumar........... Homi R........... Kochhar...... M...... Managing Director & CEO ........................75 Crores. Prem Watsa . Anup K..... Sharma .... Mr.................... Chanda D................ Mr.................. S........S........................ Subscribed and Paid Up Capital is divided into 1113250642 equity shares @ Rs......... Executive Director & CFO .... Mr................................... Executive Director .. Mr............................................................ Sandeep Bakhshi.................................................The Authorized Capital of ICICI Bank is 214............10/.......... Subrahmanyam ........................ V........ Deputy Managing Director . V.......... V................. Mr.................... Mr........ K............. Khusrokhan ...... Board of Directors  Board Members Mr......... Mr..................................................... Sridar Prof.... The Issued.......K....... Lakshmi N. 28 .. K........................ Kannan.....................each.............................. Dr................................. Mittal ... Anupam Puri .... M..... Pujari .. Mr................................ Chairman ...

V. V. Sharma. K. Marti G. Anupam Puri Prof. Sridar Corporate Social Responsibility Committee Mr. Narendra Murkumbi Mr. K. V. Kochhar Fraud Monitoring Committee Mr. V. Anup K. Narendra Murkumbi Dr. Anup K. N. M . V. Ramachandran Mr. Chairman Mr. S. Chanda D. Kamath. Pujari Ms. Pujari Prof. Chanda D. S. S. Sharma. S. K. Alternate Chairman Mr. M. Ramachandran Mr. K. K. Marti G. Sharma. Kochhar Risk Committee Mr. Chairperson Mr. Sharma Ms. Kannan Mr. Kochhar Mr. Kochhar Committee of Executive Directors Ms. Chairman Mr. Sharma. K. M. Pujari Mr. Kamath Mr. Chanda D. Subrahmanyam Mr. Kannan Credit Committee Mr. Sharma Ms. Kochhar. M. V.Mr. Kamath Mr. M. M. Ramkumar 29 .K. M. Prem Watsa Ms. Narendra Murkumbi Mr. M. Sandeep Bakhshi Share Transfer & Shareholders'/ Investors' Grievance Committee Mr. K. Anup K. Sridar Iyengar Dr. Kochhar Board Governance Remuneration & Nomination Committee Mr. K. Narendra Murkumbi Mr. Sandeep BakhshiMr. Chanda D. Kamath. Sridar Iyengar. Subrahmanyam Customer Service Committee Mr. Chairman Dr. V. Chairman Mr. K. Narendra Murkumbi Ms. K. N. Chanda D. M. Sharma. Chairman Mr. Chairman Mr. Chairman Mr. Chanda D. Kamath. Sonjoy Chatterjee. Chairman Mr. Executive Director  Board committee Audit Committee Mr. K.K.

 Mission • • • • • • • We will leverage our people. Maintain a healthy financial profile and diversify our earnings across businesses and geographies. Maintain high standards of governance and ethics. Play a proactive role in the full realisation of India’s potential. Expand the frontiers of our business globally. Contribute positively to the various countries and markets in which we operate. Create value for our stakeholders. world-class service.Mr. technology. speed and financial capital to: be the banker of first choice for our customers by delivering high quality. 30 . Sonjoy Chatterjee BUSINESS OBJECTIVE  Vision To be the leading provider of financial services in India and a major global bank.

"What impressed us wasthat even with overall lower costs. so queries may not reflect the most current data. but accommodate future growth expectations and business requirements. The solution would have to address not only current issues. ICICI bank says. However. Amit Sethi. pharmaceuticals.TECHNOLOGY Used In ICICI Bank ICICI use many type of advance technological software like Pinnacle 7. Secondly. Oracle 9i database. Windows 2003 server and costs about Rs 9.0 and Pinnacle7. querying and loading could not happen simultaneously. ICICI Infotech officials told a press conference here today that Orion Advantage offered a set of business practice solutions for industry segments such as engineering.comes bundled with an HP dual processor Xeon server. upgrades and administration was soaring. Queries could only be run during business hours because the loading of data had to take place during off business hours. Sybase IQ delivered faster results on independent hardware and operating systems with minimum infrastructure. core banking. the 31 . the cost of procurement. SAS and Netezza.016. An ERP package helps a manufacturer or any other business implementing it to manage all the important parts in the company such as product planning. The ERP package . During this rigorous testing. we could achieve significantly better query performanceafter implementing the Sybase enterprise warehouse solution. auto ancillary.Orion Advantage . and developed a shortlist of alternatives for its migration proof-of-concept: Sybase. maintaining inventory and interacting with suppliers and customers. parts purchasing. This meant that the refresh rate of EDW was delayed. ICICI Bank was also dependent on Teradata for support and other activities: The bank was completely tied down to that solution. Besides the cost advantage. Commending the improvements achieved. ICICI Bank evaluated numerous data warehousing solutions in the pursuit of solving its issues.90 lakh and has a 15-user license. due to its proprietary hardware. mobile banking electronic display sy ICICI Bank was using Teradata for its data warehouse. The closed box architecture of Teradata imposed restrictions on scalability. The primary criteria for evaluation was the price-to-performance ratio where Sybase IQ emerged the clear winner." ICICI Infotech today launched an enterprise resourceplanning (ERP) solution for the small and medium enterprises. These issues compelled ICICI Bank to look for more efficient and flexible solutions.Among from this software ICICI bank uses the e-banking. chemicals and IT distribution. Joint General Manager.

ICICI Infotech had signed up six customers so far for the package and hoped to garner a 15 per cent market share of the SME segment. an insurance package. said that the company had tried three other ERP packages.K. Mr Kunkalienkar said that ICICI Infotech planned to move the two development centers in Chennai into a single location and double the staff strength from 300 now in the next two years. Mr. their implementation time as far as SMEs were concerned was also long. These type of technology gives the freedom to retail customers.ERP package also came pre-configured. There are drastically changes seen in the use of Internet banking. Orion Advantage could be installed in 45 days. Centralized Processing Units Electronic Straight through Processing Data Warehousing.Cross Sell Provide New Or Superior Products The country’s middle class accounts for over 320 million people. Deputy General Manager. K. That was the advantage ICICI Infotech offered to SMEs as Orion Advantage came bundled and preconfigured.CRM Innovative Technology Application     Derived Economies Of Scale Reduced Transaction Cost Improve Cost Efficiency. Mr. 32 . In correlation with thegrowth of the economy. Mr. ICICI Infotech had mapped the processes specific to each industry segment into the package. Trident Pneumatics Pvt Ltd of Coimbatore. rising income levels. Executive Director and President. and affordability of banking products are promising factors for continued expansion.S. Managing Director. The Chennai centers were involved in research and development of Orion ERP solutions and Premia. said there was no ERP packagefor the SMEs that bundled the server. We can see that the how technology gives the best results in the below diagram. increased standard of living. one of the companies that had installed Orion Advantage. Manoj Kunkalienkar. before settling on Orion Advantage. whose number in the country was estimated at 2. ICICI Infotech. all of which had failed. Kanthi. said that smalland medium enterprises (SMEs) offered a good market and ICICI Infotech hoped to become a leading solution provider to this segment. in a year 2001 (2%) and in the year 2008 (25%). R.30 lakh. Besides the high cost of generic ERP packages. Natarajan. database and operating system right now. ICICI Infotech.

PRODUCTS AND SERVICES PERSONAL BANKING Loan Product • • • • • • • • • • • • • • • • Auto loan Loan against security Loan against property Personal loan Credit card 2.wheeler loan Commercial vehicles finance Home loans Retail business banking Tractor loan Working capital finance Construction Equipment finance Health care finance Education loan Gold loan Deposit Product • • • • • Savings A/C Current A/C Fixed Deposits Demat A/C Safe Deposit Lockers Investment & Insurance • • • • • • • Mutual Funds Bonds Knowledge Centre Insurance General And Health Insurance Equity And Derivatives Mudra Gold Bar Cards • • • Credit Card Debit Card Prepaid Card Payment Services • • • • • • Net Safe Merchant Prepaid Refill Bill Pay Visa Bill Pay InstaPay Access To Bank • • • • • Net Banking One View InstaAlert Mobile Banking ATM Phone Banking -------------------------------Forex services 33 .

Ups Corporate Salary A/C Tax Collection • • • • Funded Services Non Funded Services Value Added Services Internet Banking Financial Institutions Mutual Funds Stock Brockers Insurance Companies Commodities Business Trusts 34 .-------------------------------• Product And Services • Trade Services • Forex Service Branch Locater • RBI Guidelines • • • • Direct Pay VisaMoney Transfers E-Monies Electronic Funds Transfer Online Payment Of Direct Tax • • Email Statements Branch Network WHOLESALE BANKING Corporate Small and Medium Enterprises • • • • • Funded Services Non Funded Services Specialized Services Value Added Services Internet Banking Financial Institutions and Trusts BANKS • • • • • • Clearing Sub-Membership RTGS Sub-Membership Fund Transfer ATM Tie.

NRI SERVICES Accounts & Deposits • • • • • Rupee Saving A/C Rupee Current A/C Rupee Fixed Deposits Foreign Currency Deposits Accounts For Returning Indians Remittances • • • • • • • North America Uk Europe South East Asia Middle East Africa Others Quick Remit India Link Check Lock Box Telegraphic/ Wire Transfer Fund Transfer Cheques/Dds/Tcs Investment & Insurances • • • • Mutual Funds Insurance Private Banking Portfolio Investment Scheme • • • • Loans Home Loans Loans Against Securities Loans Against Deposits Gold Card Credit Payment Services • • • • • • Net Safe Bill Pay InstaPay DirectPay VisaMoney Online Donation Access To Bank • • • • • • • Net Banking One View InstaAlert ATM Phone Banking Email Statements Branch Networks 35 .

So now customers can bank at their convenience. SAVING ACCOUNTS ICICI Bank offers customers a power packed Savings Account with a host of convenient features and banking channels to transact through. ICICI Bank brings banking at your doorstep.designed keeping your unique financial requirements in mind. Councils. Money multiplies facility. “LIFE PLUS”Senior citizens savings account LIFE PLUS. Higher interest rate on FD/RD:avail the combined benefits of safety. Special Savings Account: The Special Savings Account has been designed keeping in mind the specific needs of organizations such as Trusts. Societies. • Special senior citizens desk to cater to all banking transactions.felexibility and attractive returns with ICICI Bank Fixed Deposit and Recurring Deposit.as per your convenience.PRODUCTS ICICI Bank offers wide variety of Deposit Products to suit your requirements. Free special senior citizen LIFE PLUS debit card. Coupled with convenience of networked branches/ ATMs and facility of E-channels like Internet and Mobile Banking. • • • • 36 . Clubs etc. so that you don’t wait in queues. Associations. Select any of its deposit products and provide your details online and their representative will contact you for Account Opening. It provides organizations solutions with added value and is ideal for tax exempted entities. Extended banking hours allows you to visit our branches.a special savings account for senior citizens from ICICI Bank is packed with a host of benefits. without the stress of waiting in queues.

aged 1day -18 years.Advantage Woman offers a specially designed woman's debit card which helps you shop and save simultaneously.Young Stars will guide your child through the world of banking -through checking the account balance. Payable-at-par cheque book. 10. Zero balance facility with an RD of Rs. Quarterly physical statements are delivered to your doorstep to absolutely free of cost. Nomination facility available.With the pocket money that you transfer to your child's account. fun zones and special pages on the internet.including branches. brought to you by ICICI Bank to help the parents meet the present and future aspirations that they hold for their child.• • • • • Anywhere banking access to various services.ATMs and phone banking. Enjoy your present and plan for the future with ICICI Bank’s Advantage Woman Savings Account. you can even shop with him / her at Young Stars very own shopping page. Quarterly average balance(QAB) requirement of Rs. Besides the core ICICI Bank advantage. Current Accounts: 37 . Free unlimited access to any bank’s ATM. Young Stars Account: Young Stars is a banking service for children. the Advantage Woman Savings Account is packed with special benefits for our women customers. Once you are done with your 'banking'.2000 or Quarterly Average Balance (QAB) requirement of Rs. Bill Pay facility & Multi Channel Access. you can access your child's account with all the fun links to special zones designed to suit your child's area of interests and also impart knowledge on the current events of the world. manages your household expenditures and comes with a bag full of offers attached to it.anywhere and from any place.ICICI Bank has to offer – anytime. Advantage woman savings account The ICICI Bank Advantage Woman Account enables today’s independent women to enjoy hassle-free banking services. Nomination facility available.5000. • • • • • • Special International Woman’s Debit Card with lots of offers. It makes banking a pleasure and of course teaches your child to manage their personal finances.000. It offers various savings and investment options to the parent along with teaching the child to manage his/her personal finance in a more responsible and independent manner. Passbook on request. You can even open a recurring deposit in your child's name.

With technology leadership and service the bank is able to meet some of the most challenging financial needs of clients. Salary Accounts Salary Account is a feature rich corporate payroll account with benefits for both corporates and its employees. Joint stock companies.Every business requires efficient banking facilities to support its business activities. Public authorities. • • • • The process of drawing cheques for salaries is replaced by sending a single ASCII file to the bank and the amount is directly credited into the employees salary account Cuts down payroll processing workload Salary Account can be opened with minimum 10 employees Instant credit of salaries ICICI Bank Salary Account is a benefit-rich payroll account for Employers and Employees. unfolding a wide array of class products. Roaming Current Account Only Roaming Current Account from ICICI Bank travels the distance with customers business. you can opt for our Salary Accounts to enable easy disbursements of salaries and enjoy numerous other benefits too. etc) for the total salary amount along with the salary details of the designated employees in a soft and hard copy format and we will credit the respective employees' accounts as per your statement of advice. With advanced technological features such as MCC and LCC.With ICICI Bank Salary Accounts your employees will enjoy the convenience of : • • • Having the largest network of ATMs at their command. All that the organization would require to do is to send ICICI Bank an advice (in form of a cheque/debit instruction. Free 24 hour Phone Banking. ICICI Bank offers premium quality service. Any business that has numerous banking tranactions need a current account as it • • Allows running account supporting unlimited withdrawals and deposits. So while customers take care of their business.A Current Account is one that is required by Businessman.As an organization. ICICI Bank’s Roaming Current Account simplifies banking for them. banking needs are well taken care of. Institutions. Is meant for convenience and not to save money. customers can access their accounts at over 500 networked branches across the country. ecs.ICICI Bank Salary Accounts benefits you in more than one ways:- 38 . public corporations etc. Free Internet Banking.

• •

Reduces paperwork. Saves remittance costs.

Employees receive instant credit of salaries. More convenient than ECS. Besides all of the above, employees automatically become ICICI Bank account holders with special benefits and privileges of 8-8 banking, Investment advisory and much more...

Fixed deposits:
Fixed deposits are options which help you grow your money thus creating wealth in a safer and secure way. ICICI provides its customers with various kinds of Fixed deposit facilities that are flexible and cater to customers who have different needs and wants in their fixed deposits. ICICI provides a Fixed Deposit that allows customers to deposit their money for just as long as you wish. • • • • • • • Wide range of tenures – 15 days to 10 years. Choice of investment plan – traditional and cumulative deposits. Partial withdrawal allowed. Loan facility available – you can avail loan up to 90% of principal and accrued interest. Auto renewal facility – you can choose this option so that the deposit can be renewed on maturity. Interest compounded quarterly. Additional interest rate of 0.5% for senior citizens.

Recurring Deposits:
ICICI Bank Recurring Deposits are an ideal way to invest small amounts of money every month and end up with a large kitty on maturity.High recurring billing and recurring payments can be a drain on your finances and hence large investments may seem a plan away. Recurring deposits aims to encourage savings without putting any stress on customers finances by making them to put a lump sum amount in fixed deposit in one go.The recurring deposit also attracts high rate of return that are identical to the fixed deposit rates and most importantly no TDS is applicable in it .the minimum balance of deposit is of Rs.500 and thereafter in multiples of Rs.100 the minimum period is 6 months and thereafter in multiples of 3 months,nomination facility is also available.

Security Deposits:
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A few Corporates stipulate to their new employees to provide Security Deposit to reduce attrition. ICICI Bank’s proposal for the employee is to keep the Security Deposit in the form of a Fixed Deposit (FD) with the Bank. The employee cannot withdraw such FDs without the consent of the company and the company has the right to withdraw the FD in the event of employee leaving the organization before a certain stipulated period.

ICICI Bank Tax-Saver Fixed Deposit
ICICI Bank’s Tax-Saver Fixed Deposit enables you to save tax and earn high returns. A dual benefit option structured to maximise your advantage. ICICI Bank’s Tax Saver FD is the perfect solution for your investment needs.

EEFC Account
Indian exports have surged over the last decade owing to an unprecedented boom in sectors like software, biotechnology, gems, jewellery, textiles etc. As a result of this, the volume of inward remittances has also increased significantly. To shield the firms engaged in regular export and import from the exchange rate fluctuations RBI has allowed parking of foreign currency by exporters in an account designated as Exchange Earners Foreign Currency Account (EEFC). EEFC accounts are Current Accounts held in foreign currency with authorized dealers of foreign exchange in the country.

Resident Foreign Currency (Domestic) Account
Do you want to save money while buying foreign currency for travelling abroad? You can buy traveller’s cheques, foreign currency in cash and foreign currency demand draft for your expenses overseas. If you are a frequent traveller, you may not want to go through the hassles of buying foreign currency every time you travel abroad. The Reserve Bank of India has now made it easier for you to access foreign currency by permitting a foreign currency account (domestic) for resident Indians. In line with RBI guidelines, ICICI Bank has come up with a scheme that helps you get rid of all your forex worries. You can park your foreign currency in ICICI Bank under RFC (D) account. Non-interest bearing Resident Foreign Currency (D) (RFC (D)) with ICICI Bank can be maintained in four major currencies (USD, EURO, GBP and Japanese Yen)

PRIVILEGE BANKING:
Privilege banking service ensures preferential treatment to its customers.

Silver privilege A/c
• • Waiver of multi-city cheque book usage up to Rs. 1,00,000 per month. Waiver of DD/PO charges for upto Rs.50,000 per day. Preferential rates of gold coins,deposits lockesr &foreign exchange.

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Quarterly average balance requirement of Rs.25000.

Gold privilege A/c
• • • • • • Priority processing at all ICICI Bank branches and customer care. Free usage of payable -at-par chequebook. Free international gold debit card with higher daily withdrawal and spend limit. Waiver of DD/PO charges for up to Rs.100,000 per day. Free anywhere banking facility. Prefrential rates for gold coins,deposit lockers and foreign exchange. Quarterly Average Balance(QAB) requirement of Rs.50000.

Titanium privilege A/c
• • • • • • • • • Branch relationship manager supported with phone banking relationship manager. Priority processing at ICICI Bank brancghes and customer care. Free international titanium debit card with higher daily withdrawal and spend limit. Free anywhere banking facility. Free usage of multy-city cheque book. Free physical monthly account statement. Complete waiver on DD/PO charges. Preferential rates for gol coins,deposit lockers and foreign exchange. Quarterly average balance (QAB)requirement of Rs.75000 and Total Relationship Value(TRV)of Rs. 5,00,000.

Family banking:
Superior product benefits of privilige banking,wealth management and global private client(GPC) available to all the members of your family while the required minimum balance can be maintained in any of the accounts. • Access to superior benefits for the entire family. Flexibility to maintain balances across account. Lower minimum balance requirement at individual customer level. Single family bank – convenience for the entire family and easier funds management.

• •

Outward Remittance:
Send money to your loved ones abroad

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customers can replace their existing old high interest loan by a cheaper (equal to applicable current rates) loan. Quite a price to pay. Individuals who opted for housing loans in the years gone by. promoted by the PFRDA (Pension Fund Regulatory and Development Authority. gift money or maintenance for loved ones or donation for a cause. The scheme will empower a subscriber to plan his own retirement and pension. ICICI Bank’s Outward Remittance is the solution for your all your needs. Government of India). Under this scheme. Advantage Deposit Advantage Deposit is a combination of fixed deposit and mutual fund investment. Automatic debits to account through Standing Instruction / ECS debit mandate. offering you the safety of a fixed deposit and the returns of an equity fund. New Pension System of Government of India ICICI Bank with 49 branches is a Point of Presence (POP) for the NEW PENSION SYSTEM launched on May 1. is a first of its kind in India and is being launched pan-India by 22 other POP's as well. you can opt for a balance transfer. The purpose of this pension scheme is to promote security of income to its subscribers in their old age. Advantage Deposit counters equitymarket fluctuations through Systematic Investment Plans. 2009 by the Government of India.ICICI Bank offers you a simple way to send money outside India. and reliable. The scheme. Re-investment of monthly interest payout of Fixed Deposit into systematic investment plan of Mutual Fund. For optimum returns. ICICI Home Finance will not only finance the balance amount of outstanding loan but also your prepayment charges to the old housing finance company. the Government has appointed six fund managers for subscribers to choose from. In such a case. The result: 42 . Be it money for education. since one can get a loan today for around 12% per annum. • • • Combination of a Fixed Deposit (with monthly interest payout) and Systematic Investment Plan (SIP) of a Mutual Fund. Our Outward Remittance facilities make remitting money abroad quick.  LOANS HOME LOAN Interest rates on home loans have come down considerably in the last few years. Our extensive network gives us reach to most parts of the world. It not only will help him save for life after retirement but also is a good investment tool as the returns are market-driven. are still servicing them at 17% to 21% per annum.

• • • • A lower EMI with the same tenure . Flexible schemes & quick processing. Funding of various products like HCVs. No Security. Loans are available from Rs. Buses. PERSONAL LOANS ICICI Bank Personal Loans are easy to get and absolutely hassle free. Repayment tenures from 12 . Loans can be used for any purpose with no questions asked regarding the end use of the loan.000 to Rs. Range of products under one umbrella. 15 lakhs.Collateral or Guarantors required. With minimum documentation you can now secure a loan for an amount up to Rs. All loan repayments are done via equated monthly instalments (EMI). 15 Lakhs. The same EMI and tenure but an additional amount as a loan. Hassle-free application process on the click of a mouse. Network of more than 1500 channel partners in over 780 locations. 20. • • • • • • • Loans for salaried & self employed individuals. A balance transfer facility available for those who want to retire any higher debt. A reduced tenure with the same EMI. A reduced tenure and EMI . 3 wheelers & used vehicle. CAR LOAN The NO. 1 financier for car loans in the country. Tie-ups with all leading automobile manufacturers to ensure the best deals. MCVs.60 months. 43 . LCVs. COMMERCIAL VEHICLE LOAN • • • Reaches you through more than 700 locations across the country.

ICICI Bank offers attractive financial packages through their excellent distribution network. In an unlikely case of your not meeting our norms NO PROBLEM . • Flexible repayment options in tandem with the farmer's seasonal liquidity.• • • • • Range of services on existing loans & extended products like funding of new vehicles. Quick turn around time. FARM EQUIPMENT LOANS: ICICI is the preferred financier for almost all leading tractor manufacturers in the country.. working capital loans & other banking products. • • • • • Finance facility available for all two wheelers ranging from mopeds to motor bikes.a facility to get an instant loan over the phone!! Apply for loan online. any blood relative can be your co-applicant. The products are customised for new entrepreneur to large business houses. balance transfer on high cost loans. top up on existing loans. Ride Easy Pay Easy with ICICI Bank Two Wheeler Loans. Existing ICICI Bank Customers ride away on your favourite Two Wheeler by availing Loan On Phone*-. TWO WHEELER LOANS: "Zoom" away in your favourite two wheeler. repayable in convenient tenure options ranging from 6 months to 36 months*. Preferred financier status with most of the leading manufacturers. ICICI provides attractive schemes at competitive interest rates. ICICI understands the need of the customers better. • Provides fast processing of files with easy documentation. Simple documentation. refinance on used vehicles. • ICICI finances farm equipments in over 381 locations spread across the country. Xtend product. • CONSTRUCTION EQUIPMENT LOAN Having funded infrastructure for over 4 decades. Comfortable repayment tenures from 1 year to 6 years.you can still avail our loan. Flexible financing solutions to meet the individual requirement. ICICI has tie-up with leading construction equipment manufacturers for wide range of products. The Bank take over existing high cost loans at competitive terms resulting in huge savings and is quick 44 . call or through sms. • Monthly. Quarterly and Half-yearly repayment patterns to choose from. Now avail Finance upto 90%* of the On Road Cost of the vehicle.

Funding in more than 150 locations across the country. LOAN AGAINST SECURITIES Loans against Securities enables customers to obtain loans against their securities. ►Hassle-free application process with the click of a mouse. A current account will be opened and customer can withdraw money as and when they require. ICICI offer loans against: • • • • • • Demat Shares RBI Relief Bonds Mutual Funds Units India Millennium Deposits (IMDs) ICICI Bank Bonds Life Insurance Policies (Single Premium) 45 . All customers have to do is pledge your securities in favour of ICICI Bank The Bank will then grant them an overdraft facility upto a value determined on the basis of the securities pledged by them. ►Details on your application status online.in processing due to easy formalities and one time sanction of loans for disbursement over a period of time. Our Key features are: • • • • Doorstep Service. It's our humble way of being involved in a noble profession. Loans are offered for: • • Purchase of New equipments. The bank provides Competitive interest rates. ►Flexible repayment structure. ICICI also offers flexible repayment structure. ►Competitive Interest rates. So they get instant liquidity without having to sell their securities. Takeover of Existing loans. OFFICE EQUIPMENT LOAN: ► Minimum documentation required . Interest will be charged only on the amount withdrawn and for the time span utilised. ICICI Bank Medical Equipment Loans supports professionals in their effort to give the best to their patients. ► Doorstep Service. MEDICAL EQUIPMENT LOAN: Professional doctors are aware of the distinct advantages that the latest medical equipment can give their patients.

000 merchants in India and 13 million merchants worldwide. The Hassle Free way to Travel the world. TRAVEL CARD: Presenting ICICI Bank Travel Card.CREDIT CARDS: ICICI Bank Credit Cards give you the facility of cash. gifting & small ticket transactions. anywhere in the world. utility payments. take ICICI Bank Travel Card.The ICICI Bank Debit Card can be used for shopping at more than 100. global emergency assistance service. ICICI Bank prepaid cards are a safe &convenient way for associate payments.discounts. 46 . convenience and a range of benefits. Looking for security and convenience. Pre-paid cards are available on a VISA platform thus providing accessibility to over one lakh merchant establishments & cash withdrawal from all VISA ATMs in India. travel discounts and much more. Offers the Pin based security. Issued in duplicate. Insurance benefits. around the world. Euro. These benefits range from life timefree cards. disbursements. PRE PAID CARDS: ICICI Bank brings to you a complete bouquet of pre-paid cards providing payment solutions at your fingertips. Has the convenience of usage of Credit or Debit card. DEBIT CARDS: The ICICI Bank Debit Card is a revolutionary form of cash that allows customers to access their bank account around the clock. Traveling with US Dollar. Pound Sterling or Swiss Francs.

Low risk. Along with Deposit products and Loan offerings. 2004 Customers can invest in above products through any of ICICI bank branches. Nomination facility available. ICICI Bank facilitates following investment products: • • • • • • • ICICI Bank Tax Saving Bonds Government of India Bonds Investment in Mutual Funds Initial Public Offers by Corporate Investment in "Pure Gold" Foreign Exchange Services Senior Citizens Savings Scheme. 2003. For select products ICICI Bank also provides the ease of investing through electronic channels like ATMs and Internet (ICICIdirect. NSE.  Bonds are listed on BSE. GOI BONDS     8% Savings Bonds (Taxable). INVESTMENTS ICICI Bank cares about all needs. 47 .  Investment in ICICI Bank Bonds are eligible for tax rebate under Sec 88 to the full extent possible.com) ICICI BANK BONDS  All ICICI Bank Bonds have been rated "AAA" by CARE and "LAAA" by ICRA indicating the highest degree of safety for your money. Reasonable investment tenure. ICICI Bank assists people to manage their finances by providing various investment options ranging from ICICI Bank Tax Saving Bonds to Equity Investments through Initial Public Offers and Investment in Pure Gold.

All officers in charge of Mutual Funds are certified professionals by AMFI (Association of Mutual Funds in India) 48 . investor can take the aid of ICICI Bank’s various research reports on mutual funds and their schemes before choosing a scheme for investment. • • Before being deputed. G-sec schemes.  Interest income taxable. investor can invest in Mutual Funds through following channels. Cannot be traded in secondary market. Monthly Income Schemes etc. Mutual Funds Mutual Funds pool money of various investors to purchase a wide variety of securities while pursuing a specific goal. Types of Funds Sold ICICI Bank helps investor determine which types of funds you need to meet your investment goals. once deputed. Child education Schemes etc. they receive thorough instructions in financial planning skills and techniques Throughout their careers officers also attend programs to update their skills. • ICICI Bank Branches • ICICI Bank ATM’S • ICICIdirect. Mutual Fund Companies offer various schemes. Hybrid Funds: Balanced Schemes.com And provide a Dedicated workforce to serve clients. With ICICI Bank. ICICI Bank helps investors identify an appropriate mix of Mutual Fund schemes for their portfolio using asset allocation strategies. Special Schemes . Investment is done on the basis of prevailing Net Asset Values of various schemes. Returns generated are distributed to the Investors. Selection of Securities for the purpose is done by specialists from the field.Pension Schemes. Equity: Diversified Equity Schemes. Sector Schemes. This may include the following types of funds: Debt: Liquid schemes. ICICI Bank offers investment in Mutual Funds through Multiple Channels. Through ICICI Bank investor can invest in various schemes of multiple mutual funds with decent performance record. Index Schemes etc. Mutual Funds Investments are subject to Market Risks. Income schemes. Investors can choose any particular Fund/Scheme or mix of Funds/Schemes depending upon their perception towards risk. our officers complete a comprehensive training program and.

ICICI also send out a monthly magazine on investments to their customers. ICICI Bank Pure Gold Gold has been traditionally the most favored form of investment for Indians. -Asset Products. Fixed Deposits. However. signifying highest level of purity. In fact. -Investments. Loan Against Securities etc. gold is available in 2.5g.icicidirect. Reliability 24 Carat ICICI Bank Pure Gold is imported from Switzerland.ICICI Bank with its `Pure Gold' offer attempts to bridge the gap between the need of the customers for buying gold and availability of an organized avenue to satisfy that need. ICICI keeps the investors updated on the latest happenings in the Mutual Fund industry and the various financial markets through regular electronic updates (daily & weekly) through Emails. get in-depth analyses of new IPOs issues (Initial Public Offerings) which are about to hit the market. IPO calendar. Also. even today is amongst the highest consumers of Gold in the world. Car & Personal Loans.hassle-free and with zero paper work.MBA. This Gold carries a 99. Currently. PRIVATE BANKING Benefits: Comprehensive range of products and services -Savings Account. the Gold market remains largely unorganized with reliability and convenience remaining the key issues for gold buyers in the country. India.Home Loans. Quantum Optima.99% Assay Certification. Convenience ICICI Bank Pure Gold is competitively priced based on daily prices in the international bullion market. -Insurance -Web Trade and Demat Accounts -Gold Coins & Bureau de Change 49 . Capital Gain Bond etc. by taking care of the two key components:Reliability and Convenience. ICWA. Recurring Deposits. Current Accounts. as per international standards. 8g. 20g and 50g categories.Government of India Bonds. 5g. prospectus/offer documents and live prices will help you keep on top of the IPO markets. CA. and CFA etc. Initial public offerings (IPO) Investor can invest in IPOs online through www.com with same convenience of investing in equities . -Resident Foreign Currency (Domestic) Accounts etc. Mutual Funds. recent IPO listings.• Many of these officers also hold professional degrees like .

guaranteeing you its purity. which ICICI Bank brings to you.-International Debit and Credit cards -And many more. a basket of mutual funds. FOREX SERVICES 50 .. Refined to 99. Each coin comes to you straight from Switzerland... • ReliefBonds/MutualFunds/Insurance Salary Account customers can now invest in Government of India relief and savings bonds. Exclusivity and Convenience -Dedicated Officer -Separate interaction area in the branch -Anywhere Banking facility -Exclusive Phone Banking service -Competitive Pricing -Reduced rates for products and services -Several Complimentary Offers -Value-linked benefits Competitive Pricing -Reduced rates for products and services -Several Complimentary Offers -Value-linked benefits SERVICES INVESTMENT SERVICES • DematServices A Demat Account allows employees transact in shares instantaneously in a safe and secure manner.99% fine gold and sealed with a unique Certificate of Authencity. foreign exchange facilities and Insurance products through ICICI Bank. • GoldCoin Employees can buy 24 karats Pure Gold.

ICICI Bank has created a wide range of products and services that provide customers complete financial solutions. The Account helps customers take care of all their financial needs. This account to offers high returns and liquidity. The money in the account and the interest earned on it can be sent back outside India without any authorization from RBI. RFC Account: By opening a Resident Foreign Currency Account (RFC Account) customers can maintain funds as Term deposits in various foreign currencies even after they have returned to India. Whether its Foreign Currency. Both the principal and the interest can be remitted outside India. The Account can be opened and funded in any permissible currency. However. quickly and conveniently. NRO account offers attractive exchange rates upon conversion of foreign currency into Indian Rupees. Travelers Cheques or Travel Card. The tenures range from 1month to 36months. easy access for the customer as well as for his/her family back in India. The tenures range from 12 to 36 month 4. FCNR Account:A Foreign Currency Non Resident Account (FCNR Account) allows customers to maintain funds as Term Deposits in various foreign currencies. NRE Account: An NRI can open a Non-Resident External Account(NRE Account)with any bank in India. in India or abroad. They can open the account and can fund it in any permissible currency and is later converted into Indian Rupees. 2 . thereby guarding customers against fluctuating exchange rates. Under this account both the principal amount and the interest can be sent back fully. Deposit Products: 1. In addition to attractive rupee interest rates customers get free money transfers. the interest earned on the principal amount in the account can be sent back after the deductions of tax in India. and are taxable in India. The account not only lets customers manage their money that they earn in India (as permitted by FEMA Regulations) but also of the money earned abroad. pensions etc. NRI SERVICES Wherever people may be. dividends. This Account offers dual benefits of high returns as offered by the fixed deposits and liquidity as offered by the savings account. and is later converted into Indian Rupees. ICICI Bank Foreign Exchange Services is a one-stop solution to your foreign exchange requirement. Helping them to make the right decisions at the right time and can be rest assured that they are in the safe and trustworthy hands of ICICI bank. NRO Account: The Non-Resident Ordinary Account (NRO Account) allows customers to hold the money they have earned in India such as rent. 51 . 3.ICICI Bank's Foreign Exchange Services will help you organize your foreign exchange in the most hassle free manner. and a free mandate card for the loved ones in India.

sending a money order and doing lots more. We at ICICI Bank provide assistance on both buy side and sell side transaction. Special Situation Solutions Backed by institutional legacy. 52 . booking your rail/air tickets. fully understand this and help clients raise equity to fund growth. The ICICI Bank Edge • • • Capital Raising At times for a growing company. more than 10.now these is no need of walking up to the bank branch. ICICI Bank can bring in the best synergy partner to conclude a sell side or buy side advisory assignment. With a large client franchise built. Buy And Sell Side Advisory Inorganically adding growth to a business or hiving off non-core activities or opportunity to realize right value for the business created or an instance of taking a company on a bigger scale are the ways to strategize today.000 asset clients and international linkages in developed economies. ICICI Bank's Investment Banking team can design solutions for special situations like CDR. From paying your bills to transferring funds.Advisory Services Private Equity Placement ICICI Bank's Small Enterprises Group's (SEG) Investment Banking team is dedicated to provide you niche and exclusive investment banking services. in-depth understanding and linkages with key stakeholders in the process of turnaround. the amount of capital that a promoter can infuse in the business becomes limited. external capital is imperative. Businesses can be self sufficient for capital needs in their nascent and initial growth phases. every time you need to do your banking. BIFR. However to meet expansion and growth plans. Count on us to turn around the capital structure of your company and bring in additional capital for growth. OTS. . We at ICICI Bank. etc. As you can do a lot of it online. We have developed a strong network of domestic and international investors who are keen to partner with such success stories in India and these players solicit our advice for investing into such companies. shopping. with our lending experience. Online Services ICICI Bank provides a variety of online services.

K. APAC Region. ICICI Bank received two awards in CNBC Awaaz Consumer Awards. ICICI Bank won the first place in "Maximizing Enterprise Intellectual Capital" category.. 2009. ICICI bank won in three categories at World finance Banking awards on June 16. October 28. In addition ICICI Bank were Highly commended . honoured Mr. AWARDS & RECOGNITION  For the third year in a row ICICI Bank has won The Asset Triple A Country Awards for Best Domestic Bank in India. ICICI Bank Mobile Banking was adjudged "Best Bank Award for Initiatives in Mobile Payments and 53 . Kamath. ICICI Bank won Asset Triple A Investment Awards for the Best Derivative House. ICICI Bank won the Most Admired Knowledge Enterprises (MAKE) India 2009 Award. 2009 • Best NRI Services bank • Excellence in Private Banking. October 26. Ms Chanda Kochhar. Chairman with the Lifetime Achievement Award . on September 30.V. July 2009. 2009. 2009. August 2009. Local Currency Structured product. Ms. India for 1. Managing Director & CEO ranked in the top 20 of the World's 100 Most Powerful Women list compiled by Forbes. one for the most preferred auto loan and the other for most preferred credit Card. APAC Region • Excellence in Remittance Business. Chanda Kochhar. Financial Express at its FE India's Best Banks Awards. 2009. July 25. India. MD and CEO was awarded with the Indian Business Women Leadership Award at NDTV Profit Business Leadership Awards .5 year ADR GDR linked Range Accrual Note.

The award was given to ICICI Bank its long-standing support to 54 . ICICI Bank has been awarded the following titles under The Asset Triple A Country Awards for 2009: • Best Transaction Bank in India • Best Trade Finance Bank in India • Best Cash Management Bank in India • Best Domestic Custodian in India ICICI Bank has bagged the Best Cash Management Bank in India award for the second year in a row. ICICI Bank bags the “Best bank in SME financing (Private Sector)” at the Dun & Bradstreet Banking awards 2009. The ICICI Bank was awarded the runner's up position in Gartner Business Intelligence and Excellence Award for Asia Pacific for its Business Intelligence functions. ICICI Bank is ranked 2nd amongst 57 savings products across 19 banks ICICI Bank Germany won the yearly banking test of the investor magazine €uro in the “call money”category.“Rural Marketing programme of the year” and “Small Budget On Ground Promotion of the Year”.Banking" by IDRBT. ICICI Bank NRI services wins the “Excellence in Business Model Innovation Award” in the eighth Asian Banker Excellence in Retail Financial Services Awards Programme. ICICI Bank Canada received the prestigious Canadian Helen Keller Award at the Canadian Helen Keller Centre's Fifth Annual Luncheon in Toronto. The other awards have been bagged for the third year in a row. ICICI Bank's b2 branchfree banking was adjudged "Best E-Banking Project Implementation Award 2008" by The Asian Banker. ICICI Bank's Rural Micro Banking and Agri-Business Group wins WOW Event & Experiential Marketing Award in two categories . ICICI Bank's Germany Branch has been certified by “Stiftung Warrentest”. on May 11. 2009 at the China World Hotel in Beijing. The scope of certification comprised processes around consulting and capability building on methods of quality & improvements. 2009 in Hyderabad. These awards were given for Cattle Loan 'Kamdhenu Campaign' and 'Talkies on the move campaign' respectively. ICICI Bank's Organisational Excellence Group was recently awarded ISO 9001:2008 certification by TUV Nord. on May 18.

Chapter 3 RESEARCH METHODOLOGY 55 .this unique training centre for people who are deaf-blind.

Research Methodology is a way to systematically study and solve the research problems.  Research Problem. It is due to this reason that research methodology. If a researcher wants to claim his study as a good study. So. reliability and adequacy of results obtained. the research methodology not only talks about the research methods but also considers the logic behind the method used in the context of the research study. It may be understood as a science of studying how research is done scientifically.  Data Collection method. needs to be elaborated upon. which we used at the time of conducting the research. The Research Methodology here includes: Objective of study  Meaning of Research. he must clearly state the methodology adapted in conducting the research the research so that it way be judged by the reader whether the methodology of work done is sound or not.  Analysis and interpretation of Data  Limitation of study 56 .  Research Design.Research methodology The procedure adopted for conducting the research requires a lot of attention as it has direct bearing on accuracy.

Secondary objective 1. 2. By showing the financial performance to various lenders and creditors it is possible to get credit in easy terms if good financial condition is maintained in the company with assets outweighing the liabilities. 57 . Every study must have an objective for which all the efforts have been done. IMPORTANCE OF THE STUDY • • By “FINANCIAL PERFORMANCE ANALYSIS OF ICICI Bank” we would be able to get a fair picture of the financial position of ICICI Bank. I have two objectives regarding my research project. Secondary objective :1) To find out the shortcomings in ICICI Bank. These are shown below :1. The objective of the study gives direction to go through the research problem. Primary objective :- 1) To study the software used in ICICI Bank. 2) To analyse the financial statements of the corporation to assess it’s true financial position by the use of ratios. Primary objective 2. 2) To see whether ICICI Bank is going well or not in different areas. Objectives are the main aspect of every study.OBJECTIVE OF THE STUDY Objectives are the ends that states specifically how goal be achieved. It guides the researcher and keeps him on track. On the basis of objective all the research process is followed. Without objective no research can be conducted and no result can be obtained.

The problem statement here is:“TO MAKE A FINANCIAL ANALYSIS OF FINANCIAL STATEMENTS OF ICICI BANK” 58 . formulating hypothesis or suggested solutions. Research is an art of scientific investigation. It is said that. Research is a systematized effort to gain now knowledge. Meaning of Research: Research is defined as “a scientific and systematic search for pertinent information on a specific topic”. Research is thus. Compliances with legal requirement.• • Protecting the property of the business. which researcher experiences in the context of either a theoretical or practical situation and wants to obtain the solution for the same. Research is an academic activity and this term should be used in a technical sense. Every researcher has to face many problemswhich conducting any research that’s why problem statement is defined to know which type of problems a researcher has to face while conducting any study. “Problem well defined is problem half solved.” Basically. a problem statement refers to some difficulty. an original contribution to the existing stock of knowledge making for its advancement. “To ERR IS THE HUMAN” is a proverb which indicates that no one is perfect in this world. Research Problem The first step while conducting research is careful definition of Research Problem. Research comprises defining and redefining problems. It is a careful investigation or inquiry especially through search for new facts in any branch of knowledge. Making deductions and reaching conclusions to determine whether they if the formulating hypothesis. The search for knowledge through objective and systematic method of finding solutions to a problem is research.

The design is such studies must be rigid and not flexible and most focus attention on the following:          What is the study about? Why is the study being made? Where will the study be carried out? What type of data is required? Where can be required data be found? What period of time will the study include? What will be sample design? What techniques of data collection will be used? How will the data be analyzed? In what style will the report be prepared? TYPES OF RESEARCH DESIGN :  EXPERIMENTAL RESEARCH DESIGN  EXPLORATORY RESEARCH DESIGN  DESCRIPTIVE& DIAGNOSTIC RESEARCH Exploratory Research Design: This research design is preferred when researcher has a vague idea about the problem the researcher has to explore the subject. Research Design is the conceptual structure with in which research in conducted.Research Design A research designs is the arrangement of conditions for collection and analysis data in a manner that aims to combine relevance to the research purpose with economy in procedure. 59 . It constitutes the blueprint for the collection measurement and analysis of data. It is a strategy specifying which approach will be used for gathering and analyzing the data. It also include the time and cost budget since most studies are done under these two cost budget since most studies are done under theses tow constraints. Research Design includes and outline of what the researcher will do form writing the hypothesis and it operational implication to the final analysis of data. A research design is a framework for the study and is used as guide in collection and analyzing the data.

Primary data is collected by various approaches so as to get a precise. Researcher has to analyze the data and interprets the results. Hence by making the type of the research conducted to be both Descriptive and Analytical in nature. adequate and specific knowledge. what. From the study. It provides reliable. It is based on some previous understanding of the matter. Research has got a very specific objective and clear cut data requirements The researcher had to use fact and information already available through financial statements of earlier years and analyse these to make critical evaluation of the available material. There are two types of data – PRIMARY DATA It is first hand data. TYPE OF DATA USED IN THE STUDY The required data for the study are basically secondary in nature and the data are collected from  The audited reports of the company. SECONDARY DATA . accurate. where. the type of data to be collected and the procedure to be used for this purpose were decided. realistic and relevant data. Diagnostic Research Design It determines the frequency with which something occurs or its association with something else. which is collected by researcher itself. It was achieved by a direct approach and observation from the officials of the company. Descriptive Research Design – It seeks to determine the answers to who. suitable. 60 . RESEARCH DESIGN USED IN THE STUDY: Descriptive research design is used in this study because it will ensure the minimization of bias and maximization of reliability of data collected.it is the data which is already collected by someone else. Descriptive study is based on some previous understanding of the topic. when and how questions. The main tool in gathering primary data was investigation and observation. It has always been important for the completion of any report. Data Collection Method The process of data collection begins after a research problem has been defined and research design ahs been chalked out.Experimental Research Design – The research design is used to provide a strong basis for the existence of casual relationship between two or more variables.

Cash Flow Statement. Ratio Analysis.dharmshala contributed a lot to fulfill the requirements in the collection of data in order to complete the project.com and some other websites on the internet for the purpose of getting all the required financial data of the bank and to get detailed knowledge about ICICI Bank for the convenience of study. Branch manager was reluctant for giving financial data of the bank. classified and tabulated for analysis. Methods of data analysis The data collected were edited. the study has been confined for a period of 5 years (2005-2009).   INTERNET – which includes required financial data collected form ICICI Bank’s official website i. 61 . The analysis and interpretation are based on secondary data contained in the published annual reports of ICICI Bank for the study period. The valuable cooperation extended by staff members and the branch manager of ICICI bank. 4. Limited knowledge about the bank in the initial stages. Brouchers of ICICI Bank. 2. Inter firm comparison was not possible due to the non availability of competitors data. 3.e www.icici. The study of financial performance can be only a means to know about the financial condition of the company and cannot show a through picture of the activities of the company     . Due to the limited time available at the disposable . The analytical tools used in this study are: ANALYTICAL TOOLS APPLIED: The study employs the following analytical tools: 1. Trend Percentage. Ratio itself will not completely show the company’s good or bad financial position. Comparative statement. Limitations of study     Difficulty in data collection.

Chapter 4 FINANCIAL ANALYSIS 62 .

and so on and the Profit And Loss account shows the results of operations during a certain period of time in terms of the revenues obtained and the cost incurred during the year.INTRODUCTION OF THE TOPIC Meaning Of Financial Statements Financial statements refer to such statements which contains financial information about an enterprise. The first task of financial analysis is to select the information relevant to the decision under consideration to the total information contained in the financial statement. The two statements are: • • The Balance Sheet Profit And Loss Account They provide some extremely useful information to the extent that balance Sheet mirrors the financial position on a particular date in terms of the structure of assets. relation and evaluation. The final step is interpretation and drawing of inference and conclusions. Profit and Loss account and other operative data. They report profitability and the financial position of the business at the end of accounting period. Financial statement is the process of selection. The second step is to arrange the information in a way to highlight significant relationship. Thus the financial statement provides a summarized view of financial positions and operations of a firm. Meaning Of Financial Analysis The term financial analysis is also known as ‘analysis and interpretation of financial statements’ refers to the process of determining financial strength and weakness of the firm by establishing strategic relationship between the items of the Balance Sheet. The team financial statement includes at least two statements which the accountant prepares at the end of an accounting period. liabilities and owners equity. 63 .

To know the financial strengths. Purpose of Analysis of financial statements         To know the earning capacity or profitability. if financial position is to be studied then balance sheet analysis will be necessary. To know the solvency. On the other hand. To provide useful information to mgt. Earning capacity of the enterprise then analysis of income statement will be undertaken.  The financial data be given in statement should be recognized and rearranged. o To classify the items contained in the financial statement in convenient and rational groups.Features of Financial Analysis o To present a complex data contained in the financial statement in simple and understandable form. o To make comparison between various groups to draw various conclusions. To make comparative study with other firms. Breaking down of 64 . Procedure of Financial Statement Analysis The following procedure is adopted for the analysis and interpretation of financial statements: The analyst should acquaint himself with principles and postulated of accounting. To know the efficiency of mgt.  The extent of analysis should be determined so that the sphere of work may be decided. He should know the plans and policies of the management so that he may be able to find out whether these plans are properly executed or not. To know the capability of payment of interest & dividends. If the aim is find out. To know the trend of business. It will involve the grouping similar data under same heads.

b) Vertical Analysis : This is used when financial statements of a particular year or on a particular date are analyzed. trends.investors.  The information is interpreted in a simple and understandable way.Hence internal analysis is made by the management.  The conclusions drawn from interpretation are presented to the management in the form of reports. This type of analysis is static analysis because this is based on the financial results of one year. common size. For this type of analysis we generally use common size statements and the ratio analysis.  Types Of Financial Analysis There are different ways of analysis the financial statements: 1.  A relationship is established among financial statements with the help of tools & techniques of analysis such as ratios. On The Basis Of Process Of Analysis a) Horizontal Analysis: This is used when the financial statement of a number of years are to be analysed. This analysis is also called as dynamic analysis because it also shows the trend of the business. external analysis is less 65 . This analysis is made by external parties such as creditors. This analysis indicates the strengths and weaknesses of the firm. horizontal analysis is more useful because it brings out more clearly the trends of working of a firm.banks. On The Basis Of Information Available a) Internal Analysis: This analysis is based on the information available to the business firm only . Vertical analysis is useful when we have to compare the performance of different departments of the same company. This gives us more concrete bases for future planning.reports and informations. Internal analysis is more reliable and helpful for financial decisions. fund flow etc. The significance and utility of financial data is explained for help in decision making. Such analysis indicates the trends and the increase or decrease in various items not only in absolute figures but also in percentage form. b) External Analysis : This analysis is made on the basis of published statements.individual components of statement according to nature. It involves a study of quantitative relationship among various items of balance sheet and profit and loss account. Among these two types of analysis. The data is reduced to a standard form.financial analysis etc. 2.

These are also termed as techniques or tools of financial analysis. Similarly when financial statements of two or more years of the same firm are analyzed and compared it is also called as intra-firm analysis. e. On The Basis Of Objectives a) Accounting Analysis: Accounting analysis is analysis of past financial performance and involves examining how generally accepted accounting principles and conventions have been applied in arriving at the values of assets. 4. Comparative financial statements Common-size statements Trend analysis Ratio analysis Funds flow analysis Cash flow analysis Break even point analysis Comparative Financial Statements: When financial statements figures for two or mote years are placed side-side to facilitate comparison. This is quite complicated analysis. g. liabilities. b) Prospective Analysis : Prospective analysis involves developing forecasted financial statements keeping in view the changes that are likely to shape and affect the business given the assumptions about these changes and the limitation of the forecasting technique used. d. On The Basis Of Number Of Firms a) Inter-Firm Analysis : When financial analysis of two or more companies or firms are analyzed and compared over a number of accounting period. c. Methods/Tools Of Financial Analysis A number of methods can be used for the purpose of analysis of financial statements. b.reliable in comparison to internal analysis because of limited and often incomplete information. 3. revenues and expenses. these are called ‘comparative Financial Statements’. Such statements not only show the absolute figures of various years but also provide for columns to indicate 66 . it is called inter-firm analysis. Out of these. and enterprise can choose those techniques which are suitable to its requirements. a. The principal techniques of financial analysis are:a. b) Intra -Firm Analysis : intra-firm analysis is concerned with the analysis of financial performance of different units or departments or segments of the same enterprise or company. f.

The main purpose of comparative balance sheet is to measure the short.To compare the performance 7.e %)and other individual items are converted as percentage of this.Compartative income statements facilitate the horizontal analysis since each accounting variable is analysed horizontally.total assets are assumed to be 100 (i.To indicate the trends 4. Such cooperative statements are of great value in forming the opinion regarding the progress of the enterprise.Size Statements: Common size statements are such statements in which the items of financial statements are covered into percentage of common base. A comparative analysis of balance sheets of two periods provides information regarding progress of the business firm.liabilities and capital. 2.term and longterm solvency position of the business. 67 . In addition. Comparison and analysis of financial statements may be carried out using the following tools: 1.To indicate the strengths and weaknesses of the firm 6.e %) and individual assets are expressed as percentage.To analyse expenses 8.To simplify data 2.in various assets .Comparative Balance Sheet : The comparative balance sheet shows increase and decrease in absolute terms as well as percentages .to enable the analyst to have definite knowledge about the progress of the business. b. by assuming net sales as 100(i.To enable forecasting 5.To make inter period/inter-firm comparison 3. Objectives purpose or significance of comparative financial statements 1. In common-size income statement. these statements may also show the change from one year to another on percentage form. Common. Comparative Income Statement : Comparative income statement is prepared by taking figures of two or more than two accounting periods. in common –size balance sheet .to increase ort decrease in these figures from one year to another. taking the item in preceding accounting period as base.To analyse profits Tools for comparison of financial statements Comparative financial statement is a tool of financial analysis that depicts change in each item of the financial statement in both absolute amount and percentage term. Similarly.

Common-size balance sheet facilitate the vertical analysis since each item of the Balance Sheet is analyzed vertically. Each item of bease year is assumed to be equal to 100 and on that basis the percentage of item of each year calculated.this statement facilitate the vertical analysiss since each accounting variable is analyzed vertically. 2. These indicate the direction of movement over a long tine and help an analyst of financial statements to form an opinion as to whether favorable or unfavorable tendencies have developed. Ratio Analysis: Meaning : 68 . This helps in future forecasts of various items. Establishing a relationship. Common-Size Income Statement: Common-size income statement is a statement in which the figures of net sales is assumed to be equal to 100 and all other figures of “profit and loss A/c” are expressed as percentage of net sales. Presenting the change in various items in relation to total assets or total liabilities or net sales. 2.Objectives of common size statements 1. For calculating trend percentages any year may be taken as the ‘base year’. c. That is why it is known as percentage balance sheet. d. Trend Analysis: Trend percentage are very useful is making comparative study of the financial statements for a number of years. 3. One can draw conclusion. Providing a common base for comparison. Common-Size Balance Sheet : A common –size balance sheet is a statement in which total of assets or liabilities is assumed to be equal to 100 and all the figures are expressed as percentage of the total. Types of common size statements 1. regarding the behaviour of expenses over period of time by examining these percentages.

Ratio alone are not adequate for proper conclusions 69 . 4. Lack of proper standards. Helpful in forecasting Estimate about the trend of the business Fixation of ideal standards Effective control Study of financial soundness. it can be say that the relationship between two figures.” “A ratio is simply one number expressed in terms of another. 3. Ratio analysis becomes less effective due to price level 5. 7.Absolute figures expressed in financial statements by themselves are meaningfulness. Percentage Fraction. Rate or so many Times. It is found by dividing one number into the other. “According to R. LIMITATION OF RATIO ANALYSIS 1. change 6. Thus. 5. 7. Helpful in comparative study. expressed in arithmetical terms is called a ratio. 4. Ratios may be misleading in the absence of absolute data. Helpful in analysis of financial statements.” TYPES OF RATIOS 1. Anthony. Limited use of a single Ratio. These figures often do not convey much meaning unless expressed in relation to other figures. 9. Comparisons not possible of different firms adopt different 3. 8. 4. 2. False accounting data gives false ratios 2. accounting policies. 8. 2. Window-Dressing 9. 6. OBJECTS AND ADVANTAGES OR USES OF RATIO ANALYSIS 1. Helpful in locating the weak spots of the business. Simplification of accounting data.N. Proportion or Pure Ratio or Simple ratio. 10. 3.

These ratios are also called turnover ratios because they indicate the speed with which assets are being turned over into sales e. Operating Profit Ratio. These ratios are calculated to comment upon the short-term paying capacity of a concern or the firm’s ability to meet its current obligations. (a) In relation to Sales. Net Profit Ratio. Debit Equity Ratio and Interest Coverage Ration. Profitablity Ratios: These ratios measure the results of business operations or overall performance and effective of the firm e. Leverage Ratios. -Absolute liquid or -Cash Ratio. Gross Profit Ratio. CLASSIFICATION OF RATIOS In view of the financial management or according to the tests satisfied. Generally. Equity Ratio -Debt to Total Capital Ratio -Interest Coverage Ratio Inventory Turnover Ratio. Activity Ratios: Activity ratios are calculated to measure the efficiency with which the resource of a firm have been employed. Long –Term Solvency and Leverage Ratios : Long-term solvency ratios convey a firm’s ability to meet the interest cost and repayment schedules of its long-term obligation e.g. Effect of personal ability and bias of the analyst. Debtors Turnover Ratio Fixed Assets Turnover Ratio Total Asset Turnover Ratio Profitability Ratios In Relation to Sales. various ratios have been classifieds as below: Liquidity Ratios : These are the ratios which measure the short-term solvency or financial position of a firm.11. gross profit ratio.g. operating ratio or capital employed. Expenses Ratio In relation to 70 . and (b)In relation in Investment FUNCTIONAL CLASSIFICATION IN VIEW OF FINANCIAL MANAGEMENT OR CLASSIFICATION ACCORDING TO TESTS Liquidity Ratios Long-term Activity Ratios Solvency and Leverage Ratios -Current Ratio -Liquid Ratio (Acid) Test or Quick Ratio. debtors turnover ratio. two types of profitability ratios are calculated.g. Operating Ratio. -Debtors Turnover Ratio Financial Operating Composite -Debt.

5. Useful in Preparing the Cash Budget. it is a summary of sources and applications of each during a particular span of time. CASH-FLOW STATEMENT A cash – flow statement is a statement showing inflows (receipts) and outflows (payments) of cash during a particular period. In other words. 4. 7.-Creditors Turnover Ratio -Inventory Turnover ratio -Capital Gearing Ratio Working Capital Turnover Ratio. Helpful in Making Dividend Decisions. Return on Equity Capital. Payables Turnover Ratio Capital Employed Turnover Ratio investments Return on Investments. 6. Study of the Trend of Cash Receipts and Payments. Return on capital. It explains the Deviations of Cash from Earnings. Comparison with the Cash Budget. Helpful in Ascertaining Cash Flow from various Separately. 2. Useful for Short-Term Financial Planning. 3. Return on total Resources Earning per share. Objectives of Cash Flow Statement : 1. Price Earning Ratio. 71 .

84 6.113.08 111.605.16 0.766.616.413.57 296.205. In crores) Balance Sheet Mar '06 12 mths Capital and Liabilities: Total Share Capital Equity Share Capital Share Application Money Preference Share Capital Reserves Revaluation Reserves Net Worth Deposits Borrowings Total Debt Other Liabilities & Provisions Total Liabilities 1.29 0.083.227.12 Mar '07 12 mths 1.443.555.228.33 12.17 38.22 38.91 203.72 Mar '10 12 mths 18.68 0.39 5.in Rs.00 350.114.00 22.462.00 350.503.85 146.12 72 .43 379.359.658.671.419.19 51.514.26 230.746.00 46.263.34 7.60 94.00 21.114.536.11 71.89 1.29 11.82 67.377.00 48.648.08 25.521.895.00 49.501.88 251.663.00 0.80 7.BALANCE SHEET OF ICICI BANK LTD.99 165.96 Mar '09 12 mths 1.547.357.60 225.02 218.865.39 399.89 0.430.310.316.17 15.105.036.431.34 0.112.00 24.239.31 7.00 45.163.83 889.00 350.53 8.968.892.92 0.298.68 1.Mar2009.300.Mar 2007.706.323.08 Mar '08 12 mths 1.57 ------------------. Money at Call Advances Investments Gross Block 8.48 42.Mar2008.03 281.71 27.23 218.399.114.016. ------------------Mar '07 12 mths Mar '08 12 mths Mar '09 12 mths Mar '10 12 mths 1.00 51.00 17.454.60 91.48 0.618.88 18.37 8.934.40 181.414.51 43. Mar 2010 (Rs.29 1.463.85 103.60 120.95 Mar '06 12 mths Assets Cash & Balances with RBI Balance with Banks.883.64 344.00 23.43 310. Cr.388.18 363.83 0.347.795.663.34 899.73 0.00 50.257.256.37 202.079.56 29.05 65.249.280.53 0.058.45 195.21 244.00 350.69 285.510.820. As On Mar 2006.

94 3.948.63 0.72 678.801.821.36 463.227.00 1.55 2.509.78 0.957. Cr.37 2.642.18 1.73 0.Accumulated Depreciation Net Block Capital Work In Progress Other Assets Total Assets Contingent Liabilities Bills for collection Book Value (Rs) 1.29 2.14 1.597.37 Mar '10 12 mths 4.00 998.95 29.90 5.36 ------------------.788. Profit & Loss account Mar '06 12 mths Income Interest Earned Other Income Total Income Expenditure Interest expended Employee Cost Selling and Admin Expenses Depreciation Miscellaneous Expenses Preoperative Exp Capitalised Operating Expenses Provisions & Contingencies Total Expenses 9.780.01 PROFIT AND LOSS ACCOUNT OF ICICI BANK.00 1.300.00 0.616.616.78 3.737.991.60 4.93 1.078.157.980.64 3.81 28.108.170.85 39.23 270.17 Mar '09 12 mths 3.21 249.717.05 35.35 3.70 22.847.47 Mar '08 12 mths 4.62 379.994.292.07 0.17 23.23 1.054.725.24 30.540.35 16.19 31.72 623.86 1.962.in Rs.22 0.18 22.55 8.76 39.484.00 2.00 10.58 2.22 2.163.360.809.10 35.00 901.00 188.13 -0.99 1.895.678.098.706.193.849.795.597.03 Mar '06 12 mths Net Profit for the Year Extraordionary Items Profit brought forward Total Preference Dividend Equity Dividend 2.224.69 0.31 25.85 3.84 38.79 6.728.34 8.426.03 0.784.72 147.358.509.00 10.337.300.210.43 32.24 2.71 444.212.036.11 177.375.658.00 19.09 3.29 0.221.00 5.667.409.638.92 36.834.26 344.93 7.056.50 5.57 1.971.927.00 293.281.117.403.931.36 29.900.274.00 8.156.62 0.11 4.27 5.03 0.377.00 24.95 13.78 15.71 694.925.758.45 1.388.93 363.00 20.878.592.12 22.50 1.452.32 6.795.89 0.14 3.70 5.00 10.024.79 2.42 189.07 371.436.025.62 18.66 0.33 16.50 2.43 3.092.834.57 251.32 0.87 0.95 119.58 17.67 544.63 399.399.98 0.855.75 4.66 26.214.94 12.96 803.923.082.44 3.95 578. ------------------Mar '07 12 mths Mar '08 12 mths Mar '09 12 mths Mar '10 12 mths 73 .00 759.65 6.55 417.574.29 6.22 0.533.159.901.66 16.974.110.999.02 Mar '07 12 mths 3.987.48 619.00 1.977.

04 28.01 2.728.436.37 110.55 85.69 1.42 0.50 153.67 151.31 0.44 2.10 120.809.00 417.12 0.83 293.156.193.501.27 3.38 6.04 1.63 Comparative Balance Sheet Of ICICI Bank From 2005-2006 To 20082009 PARTICULARS 2005-2006 2006-2007 2007-2008 (Rs.00 444.59 100.79 2.30 1.94 36. in crores) 2008-2009 74 .Corporate Dividend Tax Per share data (annualised) Earning Per Share (Rs) Equity Dividend (%) Book Value (Rs) Appropriations Transfer to Statutory Reserves Transfer to Other Reserves Proposed Dividend/Transfer to Govt Balance c/f to Balance Sheet Total 106.377.351.834.00 270.00 1.00 249.10 149.64 33.66 1.464.32 5.342.37 2.00 463.76 110.867.01 1.22 1.65 6.55 34.375.21 164.01 1.99 3.01 248.320.34 865.054.008.27 998.403.37 37.87 1.

This shows that there is fluctuation in the rate of increase in the capital.5 213.23 (307.5) 0.1) ASSETS: Investments Advances Fixed assets Capital Work In Progress Current assets TOTAL ASSETS: Interpretation 21060.1)  The capital of bank increased by 14% in 2005-06.Absolut e change % of chang e Absolut e change % of chang e Absolut e change % of chang e Absolute change % of chang e CAPITAL AND LIABILITIES: Capital Reserves and surplus Deposits Borrowings Other Liabilities and Provisions TOTAL CAPITAL AND LIABILITIES 153.47 (189.55 50 93269.72 23871.00 (4485.and an increase of 6% in 2007-08.66) 5194. 75 .2 (26083.5) (3.08 9502.5 2 83729.0.32) 51.4 4666.96 22 15 5 -100 10 16 (8396.04 .03) (7305.27) 0.34 21943.in 2006-07 it increased by 40%.61 3062.11) (7.in 2008-09 deposits fall by 11%.5 29750.76 0.58) (20494.41 3831.2 81 37 20196.this shows that the bank has repayed its deposits in this year.8% in 2006-07.3) 41.45 49702.23 83729.96 16 (20494. In 2005-06 and 2007-08 the rate of increase in capital is more than that of 2006-07 and 2008-09. This shows that bank is effectively utilizing its reserves and surplus.61 13920.26 851.4) 54 37 50 19710.75 17 94 6 28 12 0.48 185.17 37 55136.49 (57.and .8 10 40 33 51.55 42 60 (1.  There is a huge fluctuation in the rate of increase in reserves and surplus also.12) (5.00 (8) (5.12 13000.04 % in 2008-09.39 4977.8 93269.64 7917.51 2097.4) 28.17 55136.96 (57.04 54757.16 27.96 65264.  In 2005-06 deposits increase by 65%.86 14392.23) 1675.25) (7.17% in 2007-08.02 12734.76 65427.71 14 80 65 15 18 9.04 7 (11) 2.5 34 (1.

in crores) 2008-2009 Absolut e change % of change INCOME: 76 .5% in 2008-09. Comparative Income Statement Of ICICI Bank From 2005-2006 To 2008-2009 PARTICULARS 2005-2006 Absolute change % of change 2006-2007 Absolut e change % of chang e 2007-2008 Absolut e change % of chang e (Rs.15% increase in 2007-08 and finally decresed by 3.  The investments are also increasing but with lower rates compared to the preceding years. it increased by 37% in 2005-06.  A huge fluctuation is revealed from current assets. The borrowings are also showing a fluctuating rate of increase.an increase of 34% in 2006-07.25% in 2008-09.this is mainly due to the repayment of deposits in the years 2008-09.this shows that the bank is effectively ustilising its working capital.there is a fall in current assets in 2008-09 by 8 %.rate of increase rose to 80% in 2006-07 and then the it increased at a much lower rate i.e at 10%. 1.this is mainly due to increase in the rate of depreciation in the subsequent years.this shows that bank has repaid a large amount of borrowings in this year and thereby reducing the dependence on outside debt.  Thre has been a consistent decline in the fixed assets over years.4 % .  Similarly advances rose by 60% in 2005-06.in 2008-08 the borrowings have increased at a very low rate.increased by 5% in 2007-08 and again decreasing by 7.in 2005-06 and 2006-07 it decreased by 1.

58) 1438.4 0.1 1199.4 49. 2.14 (399.13 670 126.9) 12.67 46 36 43 59 6761.05 8972.Operating income EXPENDITURE: 5941 46.73 70.22.05 1037.62 8589.00 21 51.00 135.1 27 0.00 144 20 Net profit for the year Extraordinary items Profit brought forward TOTAL PROFIT/ (LOSS): Interpretation:-  The net profit shows a fluctuating trend i.4 1364.92 1734.87 0.3 10156 54.and increased by 34% in 2007-08 and finally if falls by 10% in2008-09.54 (3) (14) (5.56 1180.1 1183.83 1752.2 35.22 675.6) (0.TREND ANALYSIS Trend Percentage Of ICICI Bank From 2004-2005 To 2008-2009 (base year 2004 -05) Percentage(%) figures Particulars Deposits Advances 2005 100 100 2006 165 160 2007 231 214 2008 245 247 2009 219 239 77 .36 4206.31) (1109.00 704.3 64 25.2 7125.5 32.15 0.e it increased by 27% in 2005-06.05 2211.87 36 (10) 0.29 43.00 105.58 570.00 56 25 1038.34 37.74 1463.5 34 0.00 254.84) (2.this may be due to decline in operating income and inresed tax liability in the year 2008-09.07 (1867.5 22 37.38) 964.55 613.36 2086.5 22.5 (758.78 1047.8 534.37 28.  The interest expenses from the period 2005 to 2008 showed an increasing trend but decresed in 2008-09 due to repayment of borrowings.51 0.3) Interest expended Operating expenses Total expenses Operating profit Provision and contigencies 3026.1 10676 37 (902.4% increase in 2006-07.

then the company may have problems meeting its short-term obligations. then that company is generally considered to have good short-term financial strength. 3. the higher the ratio.In four years it has been more than double. CURRENT RATIO: RATIO ANALYSIS An indication of a company's ability to meet short-term debt obligations.Net profit 100 127 155 207 187 T ren d g ra ph o f IC ICI B an k 300 250 percentage(%) 200 150 100 50 0 2005 2006 20 07 Years 2008 2009 D E P O S ITS A D V A NC E S NE T P RO F IT Interpretation:  There is a continous increase in the deposits till the year ending 2008 followed by a downfall in the year ending 2009 due to repayment od deposits in this year.  There has been a substantial increase in net profit till the year year ending 2008. the more liquid the company is. If current liabilities exceed current assets. 78 .  Similarly advances also shows as increasing trend till the year ending 2008 followed by a slight downfall in the year ending 2009. The overall performance of the bank is satisfactory. If the current assets of a company are more than twice the current liabilities. Current ratio is equal to current assets divided by current liabilities.

59 58615.01 1. LIQUID RATIO: Liquid ratio is also known as ‘Quick’ or ‘Acid Test ‘Ratio.) 1 instead of 2.39 1.39 1.16 25227. In crores) Current Ratio 1.CURRENT RATIO = CURRENT ASSETS / CURRENT LIABILITY Current Ratio of ICICI Bank for the period of 2005-2009 1. Quick Ratio = Total Quick Assets Total Current Liabilities Quick Assets = Total Current Assets – Inventory 79 . But here the current ratio is less than 2 and more than 1 which shows that the bank have current assets just equal to the current liabilities which is not satisfactory as the safety margin is very less or zero.4 1.36 1.18 21396. The ratio of 2 is considered as a safe margin of solvency due to the fact that if current assets are reduced to half (i.01 Current Ratio 1.56 29549.76 54130.17 1. In crores) Current Liabilities (Rs.23 21632.79 53421.2 1 Ratio 0. Therefore the bank should keep more current assets so that it can maintain a satisfactory safety margin.88 38228.23 Year 2005 2006 2007 2008 2009 Current Assets (Rs.6 0.36 1.64 42895.43  Interpretation: An ideal solvency ratio is 2.8 0.e.38 43746.4 0. then also the creditors will be able to get their payments in full. Current Assets other stock and prepaid expenses are considered as quick assets.17 1.6 1.2 0 2005 2006 2007 Years 2008 2009 1. Liquid assets refer to assets which are quickly convertible into cash.

68  Interpretation: A quick ratio of 1:1 is considered favourable because for every rupee of current liability.Liquid Ratio of ICICI Bank for the period of 2005-2009 1.60 0.97 0.2 0 2005 2006 2007 Years 2008 2009 0.33 38041. This means the bank has not managed its funds properly in this particular period.64 42895.97 0.4 0.2006 & 2009 but in 2007 & 2008 it is close to 1 which is not satisfactory.13 29966.97 17040.56 21396.Therefore bank should rationally utilise its funds to maintain an ideal liquid ratio. EARNING PER SHARE: In order to avoid confusion on account of the varied meanings of the term capital employed.88 38228. A comparison of earning per share of the company with 80 .2 1 0.43 0.67 0.16 25227.22 37121.88 0.6 0.6 0. the overall profitability can also be judged by calculating earning per share with the help of the following formula: Earning Per Equity Share = Net Profit after Tax –Prefrence Dividend No.88 0. A higher value of ratio is considered favourable.68 Liquid Ratio 2005 2006 2007 2008 2009 12929.8 Ratio 0.67 0.there is atleast one rupee of liquid assets.38 43746. Here this ratio is less than 1 in 2005. of Equity shares The earning per share of the company helps in determining the market price of the equity shares of the company.

Of Equity Shares (Rs.22 28. In crores) No.2 2540. of equity shares. It also helps in estimating the company’s capacity to pay dividend to its equity shareholders.22 28.13 73.22 4157.78 2005.It affects the market value of the company.55 34.9823 89.It affects the market price of shares.this shows the per share dividend given to equity shareholders.325  Interpretation: Earning Per Share is the most commonly used data which reflects the performance and prospects of the company. Of Equity Shares 81 .another will also help in deciding whether the equity share capital is being effectively used or not.It is very helpful for potential investors to know the dividend paying capacity of the company.9266 111. Dividend Per Share = Dividend Paid To Equity Shareholders No. Here the Earning Per Share is shows a persistent increase till the year 2008 after that in the year 2009 Earning Per share is followed by a downfall due to decline in profits.59 37.55 34.59 37.37 33. In crores) EPS 27. DIVIDEND PER SHARE : It is expressed by dividing dividend paid to equity shareholders by no.2687 111. Earnings Per Share Ratio of ICICI Bank for the period of 2005-2009 40 35 30 25 Ratio 20 15 10 5 0 2005 2006 2007 Years 2008 2009 Earnings Per Share 27.07 3110.73 3758.6716 88.78 Year 2005 2006 2007 2008 2009 Net Income Available For Shareholders (Rs.37 33.

An increase in the ratio over the previous period indicates improvement in the operational efficiency of the business.02 11.59 8.9266 111.otherwise the dividend per share ratio of the bank is quite satisfactory which shows the bank has a good dividend paying capacity.17 1227.6716 88.9823 89.325  Interpretation: Here the Dividend Per Share is increasing year after year except a little decline in 2009. In crores) No.58 73. In crores) DPS 8. 82 .100.02 8.53 Dividend Per Share Ratio 11.03 11 Year 2005 2006 2007 2008 2009 Dividend Paid (Rs.Dividend Per Share Ratio of ICICI Bank for the period of 2005-2009 12 10 8 Ratio 6 4 2 0 2005 2006 2007 Years 2008 2009 10.2687 111.59 8.7 1224. It is calculated as follows: Net Profit Ratio = Net Profit X 100 Net Sales This ratio helps in determining the efficiency with which affairs of the business are being managed.03 11 632.96 759. The ratio is thus on effective measure to check the profitability of business.33 901.53 10. Of Equity Shares (Rs. NET PROFIT RATIO: This ratio indicates the Net margin on a sale of Rs.

42 13. In crores) Sales (Rs.73 3758. Higher operating profit ratio enable the organization to recoup non-operating expenses out of operating profits and provide reasonable return. OPERATING PROFIT RATIO: This ratio is calculated as follows: Operating Profit Ratio = Operating Profit Net Sales X100 The difference between net profit ratio and net operating profit ratio is that net operating profit is calculated without considering non-operating expenses and non-operating incomes.29 30788.3 18.Net Profit Ratio of ICICI Bank for the period of 2005-2009 25 21.5 Ratio(%) 15 12.49 22994. If we deduct this ratio from 100.13 9409.22 4157.34 31092.42 13. This is because of the reason that net profits have not increased in the same proportion as of the sales.55 Net Profit Ratio (in %) 21. In crores) 2005.08  Interpretation: Although both the sales and net profit have increased during the above period but the Net Profit Ratio of the bank is declining continuously.52 13.2 2540.07 3110. 83 .9 13784.08 Net Profit Ratio 10 5 0 2005 2006 2007 Years 2008 2009 Year 2005 2006 2007 2008 2009 Net Profit (Rs.the result will be operating ratio.52 13.5 12.3 20 18.

02% respectively.41 28. After that it has been consistently declined from the year 2007 till 2008 and again gaining momentum in 2009.4 7960.29 30788. RETURN ON NET WORTH: It measures the profitability of the business in view of the shareholders.55  Interpretation: In the year 2005 & 2006 the operating profit is 31. In crores) Operating Profit Ratio (in %) 31.54 25. This may be due to the reason that operating expenses have been increased more as compared to sales during the above period consequently reducing the operating profits.It is calculated as below: Return On Net Worth = Net Profit After Interest And Tax x 100 Shareholder’s Funds 84 .67 5874. In crores) Sales (Rs.85 Year 2005 2006 2007 2008 2009 Operating Profit (Rs.23 9409.54 25.34 31092.7 2956 4690.49 22994.Therefore the bank should check on unnecessary operating expenses to correct this situation and to provide a sufficient return.02 25.02 31.41% & 34.Operating Profit Ratio of ICICI Bank for the period of 2005-2009 40 35 30 Ratio 25 20 15 10 5 0 2005 2006 2007 Y ears 2008 2009 Operating Profit R atio 34.85 28.9 13784.Shareholders and potential investors are interested in this ratio. It judges the earning capacity of the company and the adequacy of return on proprietor’s funds.41 34.7 25.69 8925.

comparison of one unit with that of the other or performance in one year with that of the same unit is possible.consequently the networth ratio has declined considerably and has reduced to more than half in the year 2009 than it was in 2005. In crores) 12899.26 15.88 7. It is calculated as below: 85 . In crores) 2005.2 2540.26 46820.Return On Net Worth Ratio of ICICI Bank for the period of 2005-2009 18 16 14 12 Ratio 10 8 6 4 2 0 2005 2006 2007 Years 2008 2009 11.88 7.02 Return On Net Worth (in %) 15.This ratio is also known as Return On Investment.73 3758.21 49883. It also shows how efficiently the resources are used in the business.53  Interpretation: The net profit after interest and tax have increased slowly till the year 2008 followed by a downfall due to high interest payments.53 Return On Net Worth Year 2005 2006 2007 2008 2009 Net Profit After Interest And Tax (Rs. It measures the overall efficiency and profitabilityof the business in relation to investment made in business.61 8.97 22555.99 24663. It indicates the percentage of return on the total capital employed in the business.operating expenses and taxation liability. RETURN ON CAPITAL EMPLOYED: It establishes relationship between profit before interest and tax and capital employed.07 3110.54 11.26 12.13 Shareholder's Fund (Rs.61 8.22 4157.54 12.

22% in year 2005.Return On Capital Employed of ICICI Bank for the period of 2005-2009 9 8 7 6 Ratio 5 4 3 2 1 0 2005 2006 2007 Years 2008 2009 Return On Capital Employed 6.It also helps to determine the relative stakes of outsiders and shareholders. DEBT.48 356899.17 306429.6. The ratio was 6.25 226161.05 20006.it indicates to what extent a firm depends upon lenders to 86 .99 8.52%.61%. In crores) 9098.29% in year 2006. 2007.22 5.EQUITY RATIO: The Debt-Equity ratio is calculated to find out the long-term financial position of the firm.52 7.9 Capital Employed (Rs.52 7.22 5. It helps to assess the soundness of long-term financial policies of a business.53 Return On Capital Employed (in %) 6.34 27842.54 28540.61 6.29  Interpretation: The above table exhibit the return on capital employed ratio of the bank for last five years. 2008 and year 2009 respectively. After that it rised to the tune of 5. It lead to the conclusion bank rising but very little proportion of return on capital employed.61 6.99% and 8.This ratio indicates the relationship between long-term debts and shareholder’s funds.09 12694.99 8.Long-term creditors can assess the security of their funds in a business. In crores) 146263.The soundness of long-term financial policies of a firm can be determined with the help of this ratio.7.29 Year 2005 2006 2007 2008 2009 Net Profit Before Interest And Tax (Rs.69 335554.This ratio measures the earning of the net assets of the business.

It compares the shareholder’s funds to total assets.6 Debt Equity Ratio Year 2005 2006 2007 2008 2009 Debt (Rs.26 46820.Here the Debt-Equity ratio for the above period is always high.86 352974.in its capital structure. Proprietory Ratio = Shareholder’s Fund Total Assets 87 .99 10.meet its long-term financial requirements.21 49883. Debt Equity ratio of ICICI Bank for the period of 2005-2009 14 12 10 Ratio 8 6 4 2 0 2005 2006 2007 Years 2008 2009 11.87 329417.99 24663.this shows that the bank is more relying on outside funds as compared to internal sources of capital.6 154759.A low Debt-Equity ratio is considered better from the point of view of creditors. PROPRIETORY RATIO: It is also called shareholders equity to total equity ratio or net worth to total assets ratio or equity ratio.53 12.99 10. In crores) Debt Equity Ratio 11.97 22555. In crores) Equity (Rs.97 7.53 6. From the long-term lenders point of view this ratio is not satisfactory.96 319994.14 7.02  Interpretation: The ratio shows the extent to which funds have been provided by long-term creditors as compared to the funds provided by the owners.45 228832.94 12899.97 6.14 12.It is calculated by dividing shareholder’s funds by total assets.

11 399795.08 0.08 0. After 2007 it registered increase and was 12% and 13% in the year 2008 and 2009 respectively.After that was 8% in year 2006.this ratio is of great importance to the creditors. In crores) Total Assets (Rs.95 344658.07 0.96  Interpretation: Above table exhibits the proprietary ratio of the bank for last five years .99 24663. Proprietory Ratio of ICICI Bank for the period of 2005-2009 0.14 0.lesser is the likelihood of insolvency in future.1 Ratio 0.07 Proprietory Ratio Years 2005 2006 2007 2008 2009 Shareholder's Funds (Rs.12 0.13 12899.07 0.07 379300.it is calculated as: Fixed Assets Turnover Ratio = Cost of goods sold or Sales Net Fixed Assets 88 .13 0.97 22555.This ratio measures the protection available to the creditors. Hence it leads to the conclusion owners have less than 13% stake in the total assets of the bank.21 49883.06 0.Higher the ratio. It is not a good sign as far the long term solvency is concerned.08 0.Thus.12 0.4 251388.02 0 2005 2006 2007 Years 2008 2009 0.This ratio is a measure of efficient use of fixed assets.07 0.04 0. In crores) Proprietory Ratio 0. FIXED ASSETS TURNOVER RATIO: It is also called as Sales to Fixed Assets Ratio.It helps to determine the long-term solvency of a company.12 0.as the management has to use lessor debts and vice versa.02 167659. Similarly it was once again reduced to 7 % in the year 2007.It measures the efficient use of fixed assets. It was 7% in 2005.26 46820.

Higher credit deposit ratio shows overall good efficiency and performance of any banking institution. Neverthless. CREDIT-DEPOSIT RATIO: This ratio is very important to assess the credit performance of the bank.This may be due to increase in rate of depreciation in subsequent years. In crores) 9409.86 3.42 4108.is vey high and the profitability is significantly dependent on the utilization of these assets.33 3.46 5.62 Fixed Assets Turnover Ratio 2.It indicates that fixed assets have been effectively used in the business without much additional investment in the period of study and also the capital is not blocked in fixed assets. In crores) Net Fixed Assets (Rs.89 3801. 89 .17  Interpretation: Here the fixed assets employed in the business shows a decreasing trend except in the year 2008 where fixed assets have again increased.17 Ratio 2005 2006 2007 Years 2008 2009 Year 2005 2006 2007 2008 2009 Sales (Rs.72 3923.9 13784.29 30788. Fixed assets Turnover Ratio of ICICI Bank for the period of 2005-2009 9 8 7 6 5 4 3 2 1 0 7.It measures the efficiency and profit earning capacity of the business. The ratio shows the relationship between the amount of deposit generated by the bank has well as their deployment towards disbursement of loan and advances.This ratio has a special importance for manufacturing concerns where investment in fixed assets.55 4038.04 3980.49 22994.34 31092.the fixed assets turnover ratio has been consistently increasing.49 8.46 2.Higher the ratio.86 7.33 Fixed assets Turnover Ratio 8.49 5.greater is the intensive utilization of fixed assets and a lower ratio shows under utilization of the fixed assets.

8 0.19 244431.88 0.08 218310.82  Interpretation: Above table exhibits credit deposit ratio of the bank during last 5 years.78 165083.Credit Deposit Ratio = Credits ×100 Deposits Credit means disbursement of advances Deposit mean sum of fixed deposit.99 Year 2005 2006 2007 2008 2009 Advances (Rs.05 218347.95 Ratio 0. it leads to conclusion that credit performance of the bank is very good. Saving deposit and current deposit.17 230510.84 0.85 0.11 195865.6 225616.15 146163. In the year 2008 and 2009 ratio was increased to 92% and 99% respectively.05 1 0.92 Credit Deposit ratio 0.91 0. 90 .85 99818. Credit Deposit ratio of ICICI bank for the period of 2005-2009 1. In the year 2005 ratio was 91% and it declined to 88% and 84%in the year 2006 and 2007 respectively. In crores) Credit Deposit Ratio (in%) 91 88 84 92 99 91405. In crores) Deposits (Rs.9 0.75 2005 2006 2007 Years 2008 2009 0.

82 683. Cr.11 29964.10 17040.22 37121.13 Mar '09 12 mths 5116.90 4110.57 38041.32 1869.04 23061.55 37357.62 8907.CASH FLOW STATEMENT OF ICICI BANK Cash Flow Mar '06 12 mths Net Profit Before Tax Net Cash From Operating Activities Net Cash (used in)/from Investing Activities Net Cash (used in)/from Financing Activities Net (decrease)/increase In Cash and Cash Equivalents Opening Cash & Cash Equivalents Closing Cash & Cash Equivalents 3096.88 1625.13 29966.32 Mar '08 12 mths 5056.4.95 -18362.21 6150.97 -14188.73 1382.56 38873.61 4652.13 29966.69 91 .93 -7893.in Rs.36 -8074.58 20081.22 ------------------. ------------------Mar '07 12 mths 3648.25 12929.49 3857.58 38041.98 7350.15 -17561.67 15414.10 -11631.56 Mar '10 12 mths 5345.97 17040.

Chapter 5 FINDINGS. 5.117 crore (US$ 1. 3. 5. 2009 (FY2009) was Rs.009 million).SUGGESTIONS & CONCLUSION Findings  Profit before tax for the year ended March 31.758 crore (US$ 741 million) compared to 92 .  Profit after tax for FY2009 was Rs. compared to Rs.056 crore (US$ 997 million) for the year ended March 31. 2008 (FY2008).

2006 and 2009 is 0. 7.0 billion).7% of total deposits at March 31. This is reflected in the Bank’s strong capital adequacy and its focus on reducing its wholesale term deposit base and increasing its CASA ratio.367 crore (US$ 1.158 crore (US$ 820 million) for FY2008 due to the higher effective tax rate on account of lower proportion of income taxable as dividends and capital gains.286 crore (US$ 1. or about 57%. of which Rs.60.5 billion) at March 31. 218. compared to Rs. The cost/average asset ratio for FY2009 was 1.68 respectively and the year 2007 and 2008 liquid ratio is 0.  Net interest income increased 15% from Rs. In line with the strategy of prioritizing capital conservation and risk containment.67and 0.88 respectively 93 .2 billion) at March 31.0 billion) at March 31. the total deposits of the Bank were Rs. 2009 from 26. the loan book of the Bank decreased marginally to Rs.0. 2008. liquidity management and risk containment given the challenging economic environment.  Operating expenses (including direct marketing agency expenses) decreased 14% to Rs.283 crore (US$ 1. The Bank has also placed strong emphasis on efficiency improvement and cost rationalization.2% in FY2008 to 2. 8. giving the Bank a wide distribution reach in the country.304 crore (US$ 1.835 crore (US$ 1.440 million) for FY2008 to Rs.9 billion) was primarily due to the Bank’s conscious strategy of paying off wholesale deposits. 2007 to 1.  Liquidity position The liquid ratio of the bank in the year 2005.572 million) in FY2008.650 million) for FY2009.2% for FY2008. the net interest income increased due to improvement in net interest margin from 2.311 crore (US$ 43. the Bank has pursued a strategy of prioritizing capital conservation. The Bank is also in the process of opening 580 new branches which would expand the branch network to about 2.0 billion) at March 31. The Bank continues to invest in expansion of its branch network to enhance its deposit franchise and create an integrated distribution network for both asset and liability products.438 branches at April 24. 6.348 crore (US$ 43. 5.616 crore (US$ 44. In line with the above strategy.1% at March 31. 9.8% compared to 2.8 billion). 2008. 2009.97 and 0. total deposits increased by Rs. 2009. The Bank is maintaining excess liquidity on an ongoing basis.431 crore (US$ 48.348 million) in FY2009 from Rs. 2009 from Rs. The reduction in term deposits by Rs. While the advances declined marginally year-on-year. was in the form of CASA deposits. 218. 24. 7. During Q4-2009. 2008.000 branches.972 crore (US$ 1.Rs. 225.  The branch network of the Bank has increased from 755 branches at March 31.  During the year. The CASA ratio improved to 28.4% in FY2009. 4.970 crore (US$ 4. 244.

It suggests that credit performance is good and the bank is doing its business good by fulfilling its major objective as regards to granting loans and accepting deposits. it can be concluded that the liquidity position of the bank is quite satisfactory. Conclusion 94 . well above RBI’s requirement of total capital adequacy of 9.0%.  Higher trends of credit deposit ratio – A positive sign High trends of credit deposit ratio reveals that bank has performed satisfactorily as regard to granting loans and advances to generate income.5% and Tier-1 capital adequacy was 11.Though it is not equal to the ideal liquid ratio of 1:1 but still its under control. The above capital adequacy takes into account the impact of dividend recommended by the Board. So in nut shell.  Capital adequacy and return on capital employed The Bank’s capital adequacy at March 31. During the year the Bank restructured loans aggregating to Rs.  Earnings per share The earnings per share for the period under study also shows a promising increase.96%.it suggests that bank has better profitability position and in future it can be a better or attractive channel of investment for shareholders. the Bank’s net non-performing asset ratio was 1.It shows that the bank is following a sound dividend policy and is capable of distributing higher dividends.115 crore (US$ 220 million). 2009 as per Reserve Bank of India’s revised guidelines on Basel II norms was 15.0% and Tier-1 capital adequacy of 6. 2009.  Asset quality At March 31. 1.in this way the investors will feel investing in capital of the bank a much beneficial option and will be reluctant to withdraw capital for a long time.which is close to 1.  Dividend on equity shares Since the dividend per share has shown a promising increase for the period under study.8%. Also the capital is being effectively utilized in the bank as it shows better return on capital employed over years.

which has always been its main objective. As far as the ratio of external and internal equity is concerned. it is clear that bank has been using more amount of external equity in the form of loans and borrowings than owner’s equity.On the basis of various techniques applied for the financial analysis of ICICI Bank we can arrive at a conclusion that the financial position and overall performance of the bank is satisfactory. Suggestions 95 . Equity shareholders are also enjoying an increasing trend in the return on their capital. the interest received by the bank from such advances is proving to be the major source of income for the bank. Though the income of the bank has increased over the period but not in the same pace as of expenses. Though current assets and liabilities (current liquidity) of the bank is not so satisfactory but bank has succeeded in maintaining a stable solvency position over the years. Fixed and current deposits have also shown an increasing trend. The bank has succeeded in increasing its share capital also which has increased around 50% in the last 5 years. Individuals are the major shareholders. Due to increase in advances. But the bank has succeeded in maintaining a reasonable profitability position. Bank’s investments are also showing an increasing trend. The major achievement of the bank has been a tremendous increase in its deposits.

the interest expenses will decline and profits will increase which is good for the bank. It will help to give a kind of confidence to the public and build a better public image. So in order to remedy this situation bank should increase its focus on internal equities and other sources of internal financing.So the bank should make efforts to increase its current assets to maintain a safety margin and to maintain a better liquidity position.  To achieve the objective of Rural development it should open more and more branches in different rural areas of the country. Similarly non productive expenses should be curtailed to improve profitability. the bank should reduce its dependence on external equities for meeting capital requirements. Such schemes can be in the form of higher rate of interest and shorter maturity period for FD’s etc.  Though the bank has been successful in increasing it’s deposits but to further improve upon such situation it can introduce some new and attractive schemes for public. So in order to have more creditability in the market the bank should maintain its credit deposit ratio.  The profitability of the bank for the period under study is not satisfactory.  Higher trend of credit deposit ratio reveals that the bank has performed satisfactorily as regard to granting loans and advances to generate income.  The bank should simplify the procedure of advances for quick disbursement. So in order to improve profitability. The increasing reliance on external equities may prove hazardous in the long run. Although the short term liquidity position is quite satisfactory as per revealed by liquid ratio but the current ratio is below the ideal ratio of 2:1.  Bank should try to finance more and more projects. Profits are increasing but not with same pace as of the expenditure due to higher reliance on debt capital in the form of borrowings and loans for financing capital structure.  Bank can also think for improving it’s day-to -day service to its clients. Consequently. It will facilitate in providing help to rural poor farmers and other living below the poverty line. Financing will help it to earn higher amount of profits. It suggests that the credit performance of bank is good and it is performing its business well by fulfilling the major objective of granting credit and accepting deposit.  The bank is having a greater reliance on debt capital. Bank can appoint commission agents for different area who can encourage general public to invest in the capital of the bank and make more deposits in ICICI Bank. Such service can be improved by providing prompt service and showing an attitude of co-operation to its clients. 96 .

 To achieve organizational success a proper independent working atmosphere should be developed to achieve desired objective more effectively. bank should adopt branch automation experiment to control the operational cost.  Last but not least. 97 .

CHAPTER 6 BIBLIOGRAPHY 98 .

Money.Com  WWW.Managementparadise.Irwin /McGraw-Hill.Com  Www.K.. S.Com  Www.K.Jain.W. Scott.Keown.Org  Www. R.F.  Financial Management. J.Com  Www.BIBLIOGRAPHY Books Reffered:  Accountancy.R.K. R.Theory and Practice. Sharma. D.D Martin. Jordan.  Essentials of Corporate Finance 2nd edition .Moneycontrol.8th edition .Com  Www.Com 99 .Inc.Wikipedia.W.K.A.  Basic Financial Management .D.Icicibank.Ross.Gupta . Petty and A. Westerfield and B. Internet websites:  Www.Prentice -Hall. Shashi.Google.A.Scribd..Rediff. Mittal. J.

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