mecu increases profit

The Victorian credit union mecu reported a four per cent increase in profit for the year to June, to 18 per cent, on the back of very strong asset growth.

The company reported yesterday assets grew 22 per cent to $1.8 billion. Its loan portfolio grew 27 per cent to $1.4 billion and deposits grew 24 per cent to $1.6 billion.

While mecu is in merger mode, they were effective only from the new financial year, in the case of RegionalOne Credit Union (based in country Victoria) and Maroondah (based in the city's eastern suburbs).

The credit union's quarterly prudential disclosures show a capital adequacy ratio of 20.3 per cent, one of the highest in the sector, with impaired loans and overdue loans of only $1.3 million.