India’s largest private lender ICICI Bank’s net profit grew 12 per cent to ₹3,030 crore for the July-September quarter, compared with ₹2,709 crore in the corresponding quarter last year.

“Growth was lower due to subdued corporate activity…We expect NPA (non-performing asset) additions to be lower than the total additions last year and we are on track,” said Chanda Kochhar, MD and CEO of the bank.

Net interest income (difference between interest earned and expended) increased to ₹5,251 crore, up 13 per cent from last year. Other income grew 10 per cent to ₹3,007 crore, driven by fee and treasury income.

ICICI Bank’s asset quality deteriorated as gross NPAs increased to 3.77 per cent of total loans as against 3.12 per cent a year ago and 3.68 per cent in the previous quarter. Year-on-year, net NPAs also worsened to 1.65 per cent from 1.09 per cent in the September last year. Sequentially, net NPAs improved marginally from 1.68 per cent.

As of September end 2015, total advances rose 9 per cent on the back of retail growth at 25 per cent. Corporate loan growth remained marginal at 7 per cent.

The ICICI Bank chief expects corporate growth to remain unchanged for the rest of the year. She however, seesit improving next (fiscal) year. On branch expansion, Kochhar said, “We will continue to set up the branches as planned. Only the size and the number of people required changes, and it reduces the cost of operations and helps profitability.”

Consolidated results Consolidated profit increased 12 per cent to ₹3,419 crore during the quarter, compared with ₹3,065 crore in the year-ago period. Consolidated numbers include banking and other businesses, such as life insurance, general insurance and ICICI Securities, among others.

On Friday, shares of ICICI Bank closed 2 per cent higher at ₹277, on the BSE.