Servus Credit Union supports members and remains

EDMONTON, Alta., March 3, 2021 (GLOBE NEWSWIRE) – In a year marked by a global pandemic, declining interest rates and other economic challenges, Servus’ financial performance in 2020 demonstrates the importance of focusing on member support and long-term commitment to prudent cost management and capital reserve building.

“While we did not expect a global pandemic of the magnitude we are experiencing, Servus arrived in 2020 ready to support our members while maintaining a strong financial position,” said Garth Warner, President and CEO of Servus Credit Union. “There are a lot of things that we have faced this past year that we did not expect, but I am extremely proud of our credit union, our employees and our members for the way we have all come together to overcome so many challenges.

“I am very proud of the way we have been able to support our members – both financially and personally. Financially, in addition to financial assistance programs, we were able to maintain our annual commitment to share our profits with members.

“We were also there for our members personally. While we were working to help them with their banking needs, we were also able to register personally with many members, giving them some hope and social contact. In particular, we established a program to educate seniors at the onset of the pandemic, which was recognized with a Minister’s Award for Senior Service from the Government of Alberta.

Key Performance Indicators (all numbers compare FY20 to FY19):

  • Net income (after dividends, patronage dividends and taxes) decreased 39.6% to $ 60.1 million.
  • Assets grew 5.9% to $ 17.3 billion
  • Deposits rose 5.5% to $ 13.9 billion.
  • Loans increased 2.1% to $ 14.8 billion.
  • Retained earnings increased 4.9% to $ 954.3 million and our capital greatly exceeds legal requirements.
  • The allowance for bad debts increased by 128.5% to offset the risks of increased expected losses and economic performance.

Due to the economic impacts resulting from COVID-19, net profit is down 39.6%. Despite the drop in revenues, total revenue is down only 3.4%, demonstrating that the business fundamentals remain resilient, strong and able to respond to the economic uncertainties generated by the pandemic.

The most important driver of the revenue decline is a significant increase in the allowance for credit losses – these do not indicate actual defaults, but are funds set aside for higher expected losses in the future. depending on the performance of the economy. In addition, we have also seen members’ spending habits change, resulting in reduced transaction volumes and associated revenue. Despite these revenue issues, Servus was able to continue to build on its already strong capital position, ensuring that we will remain financially viable in the long term.

Servus makes millions to members and communities of Alberta

As a testament to Servus’ commitment to its members and communities, Servus continued to share its profits with its members through its annual profit sharing program, while donating over $ 1.7 million to organizations. charities throughout 2020.

In December 2020, Servus returned $ 54.4 million to members in cash and dividends – a record $ 33.3 million in profit-sharing rewards® in cash, $ 4.7 million in investment stock dividends and $ 16.3 million in common stock dividends.

About Servus Credit Union Ltd.
At Servus Credit Union, we are building a better world, one member at a time. We’ve been shaping the financial health of Albertans for over 80 years with a full range of secure financial services. We help members manage their money wherever they are with over 100 branches in 59 communities; online, mobile and telephone banking services; and 1,900 toll-free ATMs across Canada. We reinvest our profits back into our members and the communities we serve. For more information, call 1.877.378.8728 or visit

For more information contact:

Amanda LeNeve
Manager, Media and Member Engagement
T: 587-920-9158
E-mail: [email protected]

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