UNI demonstrates its financial strength
UNI demonstrates its financial strength
Moncton, May 24, 2024 —The year 2023 was one of transition and learning for UNI. It was a reminder of how important it is for a major Acadian financial cooperative to remain close to its members and clients.
UNI demonstrated its financial strength by maintaining capital and liquidity levels above regulatory standards, while investing in the transition and the banking platform. As of December 31, 2023, total assets stood at $5.3 billion, a slight decline of 1.3% compared with 2022. Significant non-recurring investments and expenditures were made in 2023. Consolidated financial results therefore showed a decline. Results before other items ended with a loss of $3.7 million. The member loan portfolio grew by $94 million, or 2.3% compared with 2022. UNI maintained its commitment to the community, paying out $2.4 million in collective benefits.
Investments over the past year have positioned the institution well for the future. "The technological changeover offers a number of advantages, including strategic independence and decision-making autonomy, leading to growth opportunities. It has cost $140 million, of which $45 million has already been spent, leaving $95 million to be amortized over 15 years, representing our investment in the platform and in our future," added Camille H. Thériault, President and CEO of UNI.
As of December 31, 2023, we had 184,400 members and clients, 4,000 members left us and we had a gain in new clients, so the net is a decrease of 2,800 members and clients.
For Vice-President Finance Éric St-Pierre, UNI's financial strength is demonstrated by its balance sheet of nearly $600 million in cash and investments, which translates into a liquidity ratio of 211%, more than double regulatory thresholds. UNI's shareholders' equity is stable at nearly $474 million as of December 31, 2023. "It is this liquidity and equity that enables UNI to pursue its business development and continue to prosper with confidence," noted Mr. St-Pierre. "The financial losses reflect the transition year and the additional investments needed to stabilize operations. In view of these results, no individual dividends will be paid this year. I can also share that the current year's indicators are showing progress, allowing me to be confident for the future."
Service to members improves
The year 2023 was a difficult one for our teams across all departments due to the transition. That said, UNI employees stood out. Today, we are back to stability in our service offerings. However, we recognize that we need to exceed our members' expectations, and we still have work to do.
An enduring community footprint
UNI's social commitment also stood out, with nearly $2.4 million in community benefits awarded in donations, sponsorships and scholarships. “We could very well have reduced our financial commitment to our communities; instead, we decided to continue our work. At UNI, our communities count,” concluded Mr. Thériault.
— 30 —
About UNI Financial Cooperation
UNI Financial Cooperation is an important lever and active contributor to the economic development ecosystem in New Brunswick and beyond. Working together for the sustainable prosperity of UNI and its members and clients, the financial cooperative is driven by its values of commitment, solidarity, responsibility and courage. For more information, visit www.uni.ca.
Media Relations
Annie LeBlanc-Levesque
Communications Advisor
annie.leblanc-levesque@uni.ca | 506 724-0193