VANCOUVER, B.C.–Vancity Credit Union has returned to profitability following a “strategic reset,” according to its newly released annual report.
Vancity, which was recently surpassed as Canada’s largest credit union by Servus CU, reported net income before distribution and tax of CA$14.1 million in 2024, compared with a loss of $3.3 million the previous year. It further reported $516 million in core revenue at the end of 2024, compared with $488 million in 2023, according to the News.coop.
Vancity has CA $36 billion in assets under administration and more than 570,000 members, primarily in western Canada.
Vancity CEO Wellington Holbrook, who was appointed in January 2024, described the credit union’s loss year in 2023 as “a wake-up call,” the News.coop reported.
Earning Members’ Business ‘All Over Again’
“Now we must earn, all over again, the right to be considered by members as a serious financial institution,” Holbrook was quoted as saying. “We have to be seen, once more, as a place that meets everyone’s day-to-day banking needs as well as any other bank.”
The annual report states Vancity has focused on service as a top priority, working on a new online banking platform and mobile app, which will go live at the end of this year, and is also rolling out upgrades such as online account opening and faster loan approvals.
Staff Layoffs
In addition, News.coop reported that Vancity took a number of cost-cutting measures including laying off almost 200 employees last summer. Holbrook was recently quoted as saying there would be no more job reductions.
“In its report, Vancity states that its operating context began to show signs of improvement in 2024 after four years of economic instability spurred by the Covid-19 pandemic,” News.coop reported. “But despite lower inflation and interest rates, external challenges remain, such as geopolitical and economic uncertainty, disruption in the credit union sector, and climate change and housing affordability.”
Potential Merger
Earlier this year Vancity announced it was exploring a possible merger with First Credit Union, which it says would strengthen local community banking in British Columbia.
