Q3 CU trends reveal the industry is in ‘solid shape’
“Industry results from the third quarter show that in terms of immediate safety and soundness concerns, the industry is in solid shape. That is exemplified by the fact that the net worth ratio climbed above 11 percent for the first time since the pandemic,” said NAFCU Chief Economist and Vice President of Research Curt Long in response to recent call report data.
“Nevertheless, if ongoing headwinds in critical areas like fee income are allowed to persist, they could lead to issues down the road.”
NAFCU’s latest CU Industry Trends report showed member growth and loan growth continued to slide downward in the third quarter of 2023, while share growth is leveling off on a year-over-year basis. Notably, the industry consolidation rate sits roughly at its 10-year average; the industry has lost 2,000 credit unions over the past decade.
In addition, NAFCU’s member-only CU Performance Benchmark and Operating Expense reports were recently sent to credit unions and are now available for download. These reports provide credit unions with individualized financial performance and expense analyses based on the most recent call report data.
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