What's growing, what's not: NCUA maps out state-level Q1 2018 results
June 15, 2018 3:19 PM
Growth trends continue
NCUA on Thursday released its latest Quarterly U.S. Map Review, in which the regulator tracks a variety of performance indicators, including membership, loans, shares, delinquencies and others. It said federally insured credit unions across the country, “Generally saw continued positive trends in the first quarter of 2018.”
Some highlight figures: nationally, for the year ending March 31, 2018, median loan growth in federally insured credit unions was 5.0 percent; median asset growth was 2.2 percent; the median rate of growth in shares and deposits was 2.1 percent; and the median loans-to-shares ratio was 64 percent.
Some highlight figures: nationally, for the year ending March 31, 2018, median loan growth in federally insured credit unions was 5.0 percent; median asset growth was 2.2 percent; the median rate of growth in shares and deposits was 2.1 percent; and the median loans-to-shares ratio was 64 percent.
Passman, Aaron
Median annual asset growth
Nationally, median asset growth over the year ending in the first quarter of 2018 was 2.2 percent. In other words, the regulator said half of all federally insured credit unions had asset growth at or above 2.2 percent and half had asset growth of 2.2 percent or less. In the year ending in the first quarter of 2017, the median growth rate in assets was 3.9 percent.
Vermont leads asset growth
Over the year ending in the first quarter of 2018, median asset growth was highest in Vermont (7.3 percent), followed by Idaho (6.9 percent). Vermont was second in this category in Q3 2017, and then first in Q4 2017.
Louisiana's slide continues
Median asset growth was negative in Louisiana (-0.7 percent) and New Jersey (-0.3 percent) over the year ending in the first quarter of 2018. At the median, assets grew the least in Arkansas (0.1 percent) and Kansas (0.4 percent). Louisiana also registered negative asset growth in Q4 2017.
Passman, Aaron
Median share and deposit growth
Nationally, median growth in shares and deposits over the year ending in the first quarter of 2018 was 2.1 percent. In the year ending in the first quarter of 2017, the median growth rate in shares and deposits was 4.2 percent.
Looking good in Idaho and Vermont
Over the year ending in the first quarter of 2018, median growth in shares and deposits was highest in Vermont (5.9 percent) and Idaho (5.8 percent). Vermont has been in the top two for three consecutive quarters.
Getting better in DC, Arkansas
Median growth in shares and deposits was negative in Louisiana (-1.2 percent) and New Jersey (-0.3 percent) over the year ending in the first quarter of 2018. At the median, shares and deposits grew the least in Kansas, North Dakota, and Mississippi (all 0.2 percent). Louisiana also was the dubious “leader” of this category in Q3 and Q4 2017. Good news for Washington D.C. and Arkansas not to be listed here, as those two states had been among the worst performers in this category each quarter in 2017.
Passman, Aaron
Median annual membership growth
While overall membership in federally insured credit unions continued to grow during the year ending in the first quarter of 2018, at the median, membership was unchanged for the second straight quarter. Membership declined 0.1 percent at the median over the year ending in the first quarter of 2017. Overall, almost half of federally insured credit unions had fewer members at the end of the first quarter of 2018 than a year earlier. As previously reported by Credit Union Journal, CUs with falling membership tend to be small; about 75 percent had less than $50 million in assets.
Alaska soars in membership growth
Over the year ending in the first quarter of 2018, credit unions headquartered in Alaska posted the highest median membership growth rate (3.7 percent), followed by credit unions headquartered in Vermont (3.3 percent). Vermont led this category in Q4 2017.
Pennsylvania, DC struggle for members
In 18 states, the median membership growth rate for federally insured credit unions was negative – after being negative in 20 states the previous quarter. At the median, membership declined the most in the District of Columbia (-2.1 percent), followed by Pennsylvania (-1.3 percent). CUs in the District of Columbia had the second-largest decline in Q2, Q3 and Q4 2017.
Passman, Aaron
Median annual loan growth
Nationally, the median growth rate in loans outstanding was 5.0 percent over the year ending in the first quarter of 2018. The median loan growth rate during the previous year was 4.4 percent.
On a tear in the Pacific Northwest
The highest median growth rate in loans outstanding was in Oregon (11.0 percent), followed by Washington (10.3 percent). Oregon and Washington also were 1-2 in this category in Q4 2017.
New Jersey's loan struggles continue
Over the year ending in the first quarter of 2018, at the median, loans outstanding rose in each state but New Jersey, where it declined 0.3 percent. In 2017, New Jersey was tied for slowest median loan growth in Q2, was second-slowest in Q3 and had the slowest growth in Q4. In Q1 2018, median loan growth was slowest in Hawaii (1.7 percent), followed by Arkansas (1.9 percent).
Passman, Aaron
Median delinquency rate
At the end of the first quarter of 2018, the median total delinquency rate among federally insured credit unions was 60 basis points, compared to 63 basis points in the first quarter of 2017.
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Garden State CUs continue to struggle with on-time payments
At the end of the first quarter of 2018, the median delinquency rate was highest in New Jersey (142 basis points), followed by the District of Columbia (117 basis points). New Jersey has been atop this category for eight straight quarters.
New Hampshire the new leader for low delinquency rates
The median delinquency rate was lowest in New Hampshire (22 basis points), followed by Oregon (23 basis points). Oregon had the lowest median delinquency rate the previous three quarters.
Passman, Aaron
Loans-to-shares ratio relatively steady
Nationally, the median ratio of total loans outstanding to total shares and deposits (the loans-to-shares ratio) was 64 percent at the end of the first quarter of 2018, down slightly from 66 percent the previous quarter. At the end of the first quarter of 2017, the median loans-to-shares ratio was 62 percent.
Idaho's strong run continues
For the third straight quarter, the median loans-to-shares ratio was highest in Idaho (88 percent), followed by Vermont (86 percent). Idaho was first or second in this category in all four quarters in 2017.
Delaware's poor performance continues
The median loans-to-shares ratio was lowest in Delaware (47 percent), followed by New Jersey (48 percent). Delaware has been among the lowest performers in this category for nine straight quarters.
Passman, Aaron
ROA on the rise
Nationally, the median annualized return on average assets at federally insured credit unions was 48 basis points during the first quarter of 2018, compared to 32 basis points during the first quarter of 2017.
Nevada on top
Nevada (89 basis points) had the highest median return on average assets during the first quarter of 2018, followed by South Carolina (88 basis points). The Silver State has been the leader in this category for five consecutive quarters.
ROA lowest in mid-Atlantic, New England regions
New Jersey (29 basis points) had the lowest median return on average assets, followed by Massachusetts and Connecticut (both 34 basis points). New Jersey also was the dubious “leader” in this category in Q4 2017. Good news for Washington, D.C., which had been in the bottom two the previous three quarters.
Passman, Aaron
Positive net incomes on the rise
Nationally, 83 percent of federally insured credit unions had positive net income during the first quarter of 2018, compared to 77 percent during the first quarter of 2017. At least 60 percent of credit unions in every state had positive net income during the first quarter of 2018.
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Net incomes surge in Oregon, Idaho and beyond
The share of federally insured credit unions with positive net income was highest in Oregon (97 percent), followed by Idaho, Wisconsin, and Maine (all 96 percent).
Still struggling in DC
The share of federally insured credit unions with positive net income was lowest in the District of Columbia (64 percent), followed by Louisiana (73 percent). D.C. has been the dubious “leader” of this category for four straight quarters. Good news for Arkansas, which had been in the bottom two for six consecutive quarters.
