Vancity, Canada's largest credit union, reported a 7.5% increase in net earnings in 2009, resulting in the second highest annual profit in the institution's history.
Despite the economic downturn, net earnings rose to $50.3 million from $46.8 million on revenue of $75.1 million, which fell slightly from $75.6 million.
Much of the profit gains were made from corporate streamlining that led to a $17 million decline in its operating expenses for the year. One-time revenue also offset one-time expenses and one-time losses from its investments in asset-backed commercial paper and commercial real estate.
It also reported a stronger balance sheet with its capital base at 13.73%, above the regulatory minimum of 8%. Part of the increase came from the $65 million it gained from the sale of its insurance business and retail accounts at its online-based subsidiary Citizens Bank.
Vancity also reported a 116% increase in its retail deposits for the year to $1.2 billion from $574 million. Membership growth also rose 1.8% to 414,377 from 407,121.