$1.2m profit for credit union

Hawke's Bay-based credit union NZCU Baywide has reported a "solid" profit result for the 2012 financial year to June 30.

NZCU Baywide chief executive Gavin Earle announced a $1.2 million operating profit and a $51 million increase in assets to $219 million, during the organisation's annual meeting at the Hawke's Bay Opera House last night.

Membership across the credit union's 15-branch network is now at a record 37,000 members, the result of a merger with Manchester Unity Credit Union in June this year.

Chairman Iain Taylor said the merger, coupled with strong member growth, was the reason for the solid profit result.

Mr Earle said he hoped the bank would become a key financial partner in the regions it operated in, "providing a solid and ethical banking provider for our communities".

He said 2012 had seen some positive reforms to the laws affecting credit unions.

The Friendly Societies and Credit Unions Amendment Act 2012 removed the $250,000 cap on deposits, giving NZCU Baywide an increased opportunity to remain competitive.