"Coast Capital Savings President and CEO, Don Coulter attributes the credit union’s strong commitment to improving members' financial well-being to the institutions solid performance in 2014."
Surrey, B.C.: BC-headquartered Coast Capital Savings today reported an increase in earnings of 18 per cent and membership growth to more than 522,000, reaffirming its position as Canada’s largest credit union by membership.
Revenue for the credit union increased 4.1 per cent, from $313.6 million to $326.4 million, and net income rose by 18.7 per cent from $52.5 million to $62 million, after setting aside the one-time 2013 gains on the sale of general insurance and commercial properties.
This success resulted in the investment of $5.7 million, or seven per cent of pre-tax earnings, in community programs designed to help build a richer future for youth in the communities Coast Capital serves.
“Our performance reflects our strong commitment to providing our members with the products and advice they need to improve their financial well-being,” said Coast Capital Savings president and CEO Don Coulter. “Many Canadians are struggling with their personal financial management, and our unique Where You’re At Money Chat offers members a helpful, interactive guideline to manage, save, grow, and protect their money. To date, we have conducted 75,000 Money Chats, improving financial literacy and helping our members achieve financial well-being.”
Coast Capital’s results were shaped by the strong performance in its commercial and investment lines of business. Commercial loans increased by 7.9 per cent, from $2.7 billion in 2013 to $2.9 billion, and total investment services assets under administration improved by 18.6 per cent from $2.3 billion to $2.7 billion.
The credit union also expanded its commercial line of business in 2014 with the addition of the equipment financing business of Travelers Financial Corporation (TFC). The close collaboration of TFC with Coast Capital’s larger commercial division provides business members expanded options and a full range of financing services.
“The investments we have made to improve our capabilities to help BC business owners have resulted in a very successful year for our commercial division,” said Coulter. “The division has experienced substantial growth in deposits and direct operating income, and grown our business portfolio to more than 55,000 members this year. Our financing and cash management, as well as the products and services are assisting businesses to increase their customer base, create new jobs, and contribute to the growth of BC’s economy.”
Focusing on strengthening the core of the credit union through necessary technology upgrades, targeted growth and consistent member experience has resulted in a strong financial position as seen in improved regulatory capital, liquidity, profitability and asset quality for the credit union.
Highlights of Coast Capital’s 2014 performance:
- Net interest income increased from $240.7 million to $252.6 million
- Commercial loans, inclusive of commercial mortgages and equipment financing, grew from $2.7 billion in 2013 to $2.9 billion, an increase of 7.9 per cent
- Retail and business deposits increased by $0.3 billion. Deposit growth helped maintain stable core liquidity levels of 11.1 per cent at the end of the year
- Total assets under administration increased to $15.1 billion from $14.8 billion in 2013
- Regulatory capital ratio increased from 15.3 per cent to 16.4 per cent, positioning Coast Capital as one of the best capitalized credit unions in the province
Coast Capital is part of the strong and vibrant credit union system in BC that has contributed to the growth of the province’s communities. From its early days, it has grown to more than two million members and more than $62 billion in assets.
As one of the largest and oldest credit unions in BC, continuing the tradition of making financial services more readily available to British Columbians and strengthening local communities will be a prime focus of Coast Capital as it celebrates its 75th anniversary this year.
“Helping our members achieve their financial goals and being a contributing partner in the communities we serve is part of our DNA,” said Coulter. ”Maintaining our community involvement and investment, deepening relationships with members to help them improve their financial well-being and focusing on what really matters, providing simple financial help, will continue to be at the heart of our credit union’s future and ongoing success.”
Coast Capital Savings is Canada’s largest credit union by membership, owned by its 522,000 members. It has 50 branches in the Metro Vancouver, Fraser Valley and Vancouver Island regions of British Columbia and has exciting plans to grow. Product innovations include Canada's first free chequing account from a full-service financial institution. Coast Capital is one of Canada's 10 Most Admired Corporate Cultures™ and was named one of 2014’s BC Top Employers. It is a member of Canada's Best Managed Companies Platinum Club and an Imagine Canada Caring Company. To learn more, visit www.coastcapitalsavings.com.
For more information, please contact:
Corporate Communications Advisor
Coast Capital Savings