HONOLULU–Hawaii State FCU said it closed 2018 with a 108% in net income to $9.84 million compared with $4.72 million in 2017. Hawaii State FCU said it also saw strong growth in total assets and membership, and marked its 21st consecutive quarter of loan growth.
“Hawaii State FCU’s 2018 earnings were driven by strong loan growth, up 14%, which outperformed the local market,” said Andrew Rosen, president and CEO of Hawaii State FCU. “We surpassed our initial projections for the year, and as a not-for-profit organization we feel it’s only right to return profits to our membership by way of higher savings rates. We know it’s also a way to help keep more money in Hawaii as interest rates are trending up across the nation.”
Hawaii State FCU said its 2018 performance includes:
- $9.84 million in net income, a 108% increase from $4.72 million in 2017
- $1.58 billion in assets, a 3.3% increase from $1.53 billion in 2017
- $977 million in loan balances, a 14.3 percent increase from $855 million in 2017
- 106,601 members, a 6.2% increase from 100,370 members in 2017
One of the ways Hawaii State FCU said it has returned profits to members is through the introduction of a new savings account product that offers an average percentage yield (APY) that is up to 10 times higher than Hawaii’s traditional bank savings average. Relationship MAX – a high-yield account for larger balances – pays an industry-leading 1.50% APY.
To help members maximize their earnings potential as quickly as possible, the credit union began proactively auto-converting qualified member accounts to the higher yielding Relationship Max account at the end of last year.
“Our success as a financial cooperative isn’t solely measured by our financial performance, rather we define success by our ability to provide long-term value to our members,” added Rosen. “Unlike traditional banks, we are a financial cooperative that strongly believes in returning our profits to our members even it means we’ll be making less in the long run.”