Peer Data for New England Credit Unions: 2019 Q4

Attached is our compilation of financial information for New England credit unions. Click PEER REPORT to view the December 31, 2019 data. In the data, each New England state has its own tab and there is a final tab that includes all of the credit unions in New England.

The data includes a number of key credit quality, performance and capital adequacy ratios. We then break-out certain ratios that we consider important in determining financial performance and long-term viability of credit unions. These key ratios are:

• Return on assets
• Net interest margin
• Yield on investment portfolio
• Ratio of expenses to gross income
• Loans to shares

From there, we rank the credit unions across each of these key ratios and determine an overall ranking based on the average of all of these ratios.

On the “all New England” tab, we have included comparable ratios for all credit unions in the U.S. and the December 31, 2018 information for comparison.

Some quick observations on the results are as follows:

Performance

New England credit unions experienced somewhat slower financial results in the 4th quarter. Net interest spreads increased just five basis points in the 4th quarter as compared to 3.29% in the 4th Quarter of 2018. The average ROA was 43 basis points in 2019 compared to 42 in the Q4 2018.

Credit Quality

Credit quality remains very strong and improving with the delinquent loans to total loans ratio at 1.04% and the net change-off to total loans ration at 0.31%.

This information is publicly available, so it may be shared with others in your credit union, including board members.

If you would like to discuss the information in further detail, we would be happy to assist.