Central 1 Credit Union (Central 1) posted a profit of $31.0 million in 2012’s first quarter, an increase of $12.7 million from $18.3 million in the same quarter last year.
Central 1 is the central financial facility and trade association for the B.C. and Ontario credit union systems.
It cited improved financial markets on the heels of stronger-than-expected U.S. economic data and continued support from the European Central Bank to EU financial institutions as factors in the strong results.
As a result, the organization had gains of $29 million on its financial instruments, compared with net gains of $14.4 million a year ago.
Bolstering its positive results, Central 1 also noted its return on equity was 16.7%, compared with 12.6% a year ago; total assets at the end of the quarter were $14.5 billion, compared with $14.1 billion in 2011; and operating expenses fell $0.5 million to $29.4 million.
Central 1’s capital ratios remain well within statutory limits.
Its borrowing multiple for federal capital adequacy purposes was 14.4:1, while its percentage of regulatory risk capital to risk-weighted assets for provincial capital adequacy purposes was 37.5%.
