MUMBAI: ICICI Bank’s profit growth slowed in the September quarter as a steep drop in treasury income offset gains from its core banking business. The lender’s standalone net profit rose 5.2% year-on-year to Rs 12,359 crore for the three months ended September 30, 2025.The bank’s underlying performance remained strong, with steady loan growth, higher fee income, and improving asset quality. But non-core income proved a drag on the bottom line.Treasury income fell 67.6% to Rs 220 crore from Rs 680 crore a year earlier. Excluding treasury, profit before tax rose 9.1% to Rs 16,164 crore, while core operating profit grew 6.5% to Rs 17,078 crore, showing that operational momentum remained firm despite market volatility.Net interest income increased 7.4% to Rs 21,529 crore, supported by steady credit demand. Net interest margin stood at 4.3%. Non-interest income excluding treasury rose 13.2% to Rs 7,356 crore, led by a 10.1% rise in fee income to Rs 6,491 crore. Around 78% of fee income came from retail, rural, and business banking.Provisions excluding tax fell 25.9% to Rs 914 crore as asset quality improved. The gross NPA ratio declined to 1.58% and the net NPA ratio to 0.39% at the end of September.Domestic loans grew 10.6% year-on-year to Rs 13,75,260 crore, driven by a 24.8% rise in business banking loans and a 6.6% increase in retail loans, which formed 52.1% of the total portfolio. Average deposits rose 9.1% to Rs 15,57,449 crore, with current account deposits up 12.6%. Vehicle loans grew by only 2% as customers delayed purchases until the announced GST cut, which came into effect in the last week of September 2025.The fall in treasury income, though temporary, weighed on quarterly profit growth, even as the bank’s core business continued to expand steadily across segments.