ICICI Securities Expects Non-Core Business To Aid Growth Ahead

ICICI Securities Ltd. will focus on non-core businesses such as distribution and advisory going forward, Managing Director and Chief Executive Officer Shilpa Naval Kumar said. “We expect a proportion of non-broking business to witness an uptick,” she told BloombergQuint in an interaction.

Here are the key highlights from the conversation:

On Broking Business:

• Broking business for the June quarter was muted.
• Focus was on building things for the future even as the broking business market was muted.
• Added more than one lakh clients during the April-June period.

Outlook:

• Expect proportion of non-broking business to witness an uptick.
• ICICI Securities benefits from operating leverage.
• Mutual funds, insurance, managed funds provides diversification and commissions to business.

Key earnings highlights (Q1, YoY):

• Net profit up 13 percent at 133.8 crore.
• Revenue up 9 percent at Rs 435.9 crore.
• Revenue from broking income up 1 percent at Rs 229.8 crore.
• Income from services up 16 percent at Rs 153.8 crore.
• Interest and other operating income up 31 percent at Rs 46.7 crore.

Shares of ICICI Securities declined for the fourth straight trading session. The stock fell as much as 4.1 percent to Rs 330.50 in early trade.

Watch the full interview here: