Edmonton-based Servus Credit Union reported net income (after dividends, patronage and taxes) of $22.7 million for the second quarter of its fiscal year, up 7.1 per cent from last year’s second quarter.
The credit union’s assets grew three per cent to $16.4 billion; deposits increased by 3.6 per cent to $13 billion; loans expanded by 3.7 per cent to $14.5 billion; and retained earnings were boosted by 8.8 per cent to $877 million.
“Careful expense management, significantly lower loan loss provisions and credit card revenue were key to our financial performance in the second quarter,” said Garth Warner, president and CEO of Servus Credit Union, in a news release.
“We will see an increase in expenses in the second half of the year as member service and infrastructure investments come on line. Margin income is under some pressure, but overall we are on track for a solid financial year and more Servus Profit Share Rewards for members.
“Servus’s financial fitness is a reflection of the financial fitness of our members. Our results suggest member financial fitness is improving, especially in savings and debt management. Strong deposit growth indicates members are saving more, while lower loan loss provisions speak to how well our members are managing their debts.”
Servus has 100 branches in 59 communities; online, mobile and telephone banking; and 1,900 no-fee ATMs across Canada.