LAS VEGAS — Silver State Schools Credit Union reported net income of $3 million for the third quarter of 2014 — marking the 10th consecutive profitable three-month period for an institution that was battered by the recession.
Net income for the first nine months of this year for the $644 million credit union was $10.5 million. The CU noted the results compare favorably with 2013 numbers, when SSSCU reported third quarter net income of $2.2 million and year-to-date net income of $10.9 million. The 2013 year-to-date net income included a $5 million one-time, non-operating gain.
As the Southern Nevada economy has recovered, Silver State Schools said improvement in credit quality continues to be a "significant factor" in its financial performance. Loan delinquencies declined from $15.6 million as of Sept. 30, 2013 to $6.9 million as of Sept. 30, 2014. The provision for loan losses was decreased from $3.8 million for the nine months ended Sept. 30, 2013, to a credit of $2.4 million for the same period in 2014.
In December 2013 the CU's allowance for loan losses was $18.8 million.
CEO Andy Hunter said in a statement that the management team is "pleased that our third quarter results mark 10 consecutive quarters in which we have reported positive net income."
"Our overall financial performance reflects improvement in the local economy," Hunter said. "Our regulatory net worth has now reached 7.53% of total assets and we expect continued steady progress for the rest of this year and into 2015."
As of Sept. 30, 2014, SSSCU reported deposits of $594.6 million, total assets of $644.8 million, loans of $417.9 million and regulatory net worth of $48.6 million.
Silver State Schools had $1 billion in assets prior to the financial crisis, but plummeted to $622 million at the end of 2012. The credit union is privately insured by American Share Insurance.
In 2009, Silver State Schools lost $50.8 million, followed by a loss of $21.4 million in 2010 and $8.4 million in 2011. After a much smaller net loss of $670,000 in 2012, the CU reported $13.55 million in net income for full year 2013, including a one-time, non-operating gain of $5 million during the third quarter.