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Balance Sheet

Balance Sheet

THE 2017/18 FINANCIAL YEAR Group

COMMENTARY

Credit Union

2018

2017

2018

2017

$’000

$’000

$’000

$’000

362,358

302,303

407,570

347,755

39,006

39,064

10,363

9,653

1,746,636

1,379,490

1,746,636

1,379,490

19,525

19,502

12,742

12,076

2,167,525

1,740,359

2,177,311

1,748,974

Deposits from Members

1,881,212

1,482,771

1,893,210

1,493,855

Payables and Provisions

41,126

58,015

117,139

133,649

1,922,338

1,540,786

2,010,349

1,627,504

245,187

199,573

166,962

121,470

Cash and Investments Property, Plant and Equipment Loans to Members (net of provision) Other Assets Total Assets

Total Liabilities Net Assets

Group 2017/2018

2016/2017

Gross Loans to Members

$1,749.5m

$1,382.5m

Deposits from Members

$1,881.2m

$1,482.8m

Total Assets

$2,167.5m

$1,740.4m

Net Assets

$245.2m

$199.6m

15.82%

14.31%

Capital Adequacy

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ANNUAL REPORT 2017/2018 QUEENSLAND COUNTRY CREDIT UNION LIMITED AND SUBSIDIARIES ABN 77 087 651 027

The Total Assets of both the Credit Union and the Group increased by 24.5% to $2.2 billion. Our growth excluding the assets that were transferred as a result of the Queenslanders Credit Union (Queenslanders) merger was 3.4%. Total loans grew by 26.6% to $1.7 billion - much of which was attributable to the merger with Queenslanders. Excluding the impact of the merger, total loans increased by 5.9%. This growth was pleasing, with results positively impacted by increased consumer confidence and stronger economic conditions in some parts of Queensland. The increased geographic diversity that our recent mergers provide makes our organisation less susceptible to downturns in specific regions or industries and has helped build a stronger, more resilient organisation. Queensland Country’s funding is sourced from Members. Of Member deposits, approximately 40% were held in fixed term deposits, 57% in at-call deposits and 3% from Retirement Savings Accounts. Member deposits increased by 26.7% from $1.5 billion to $1.9 billion during the year, with 21.7% of this growth attributable to the merger with Queenslanders. Total Equity for the Group increased by $45.6 million to $245.2 million. The merger with Queenslanders contributed $40.4 million in equity to the Group.

Liquidity levels remained well above prudential requirements and within Board appetite during the year, averaging 15.76% of adjusted liabilities and finishing at 14.34% at 30 June 2018. The Credit Union continues to have access to an Internal Securitisation Trust, a facility established to be used only as an emergency liquidity backstop. The Credit Union owns the floating rate notes issued by the Trust, with the senior notes eligible to be utilised as collateral in repurchase arrangements with the Reserve Bank of Australia (RBA). The total floating rate notes as at 30 June 2018 amounted to $110 million. These arrangements enable the Credit Union to raise funds from the RBA utilising its loans and advances as the underlying security. There is also a liability recognised in the accounts for this facility, which is included in the Balance Sheet as Other Borrowings. Queensland Country’s capital, which is comprised of reserves that have been accumulated from past profits and a business combination reserve (being the reserves of the merged entities) increased to $166.9 million. This resulted in an increase in the capital adequacy ratio from 14.31% to 15.82%. This percentage is well above the regulator’s minimum requirements and provides a strong buffer for the future. Petrice Gould, Chief Financial Officer

QUEENSLAND COUNTRY CREDIT UNION LIMITED AND SUBSIDIARIES ABN 77 087 651 027 ANNUAL REPORT 2017/2018

9

Profile for Queensland Country

Annual Report 2018  

Welcome to your 2017/18 Annual Report. The financial year ending 30 June 2018 has seen the successful delivery of further significant projec...

Annual Report 2018  

Welcome to your 2017/18 Annual Report. The financial year ending 30 June 2018 has seen the successful delivery of further significant projec...

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