ICBC and Reliance Industries expected to report higher quarterly profit

what happened

China's ICBC is due to report third-quarter results on Friday, and India's Reliance Industries its second-quarter results. According to Earnings Preview, citing a poll of analysts by Visible Alpha, ICBC's net profit for the three months to September is expected to rise 2.2% to 104.00 billion yuan, equivalent to $15.60 billion. The bank earned 101.805 billion yuan a year earlier.

The same outlet, citing a poll by LSEG, says Reliance Industries' net profit may rise 18% to 213.48 billion rupees, or $2.24 billion. The stock is down 25% so far this year, partly on concerns about disruption to its petrochemical business amid the Middle East conflict.

why it matters

For ICBC, investors will watch net interest income, which rose 8.8% to 341.24 billion yuan in the first half, and credit impairment losses, which widened to 127.02 billion yuan. The nonperforming-loan ratio fell to 1.29%. For Reliance, the Iran conflict's effect on its oil-to-chemicals business and its debt burden are key. Both reports offer a read on the economies of China and India.

market impact

Chinese banks and Indian petrochemicals: results will shape sentiment toward ICBC and Reliance shares

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