SASKATCHEWAN, Canada (4/16/12)--By generating record-high net income of nearly $92 million, credit unions in the Canadian province of Saskatchewan posted a record year in 2011.
The credit unions also returned $18 million to members through patronage and dividend programs (TheStar Phoenix April 12).
In 2010, credit unions posted a net income of $88 million and returned roughly $20 million to members.
Last year, assets grew 11.3% to $15.6 billion, and deposits rose 9% to $13.8 billion.
Also, loans grew by 10.5% $11.7 billion from $10.5 billion in 2010, with the increase coming mostly from consumer loans--75% of the growth. Loan delinquencies decreased to historic lows of 0.75% in 2011 from 1.09% in 2010. The five-year average is 0.98%.
The numbers reflect a strong business model, Ken Anderson, CEO of SaskCentral, the umbrella organization for the provinces 60 credit unions, told the publication.
As a support organization, SaskCentral recorded a consolidated net income of $27.2 million. Assets grew to $2.2 billion, compared with $1.9 billion in 2010. SaskCentral's return on equity was 8.4 %, compared with 11.8 % in 2010.
SaskCentral is owned by 60 Saskatchewan credit unions that serve about 500,000 members in 270 communities through 303 service outlets.