Arrowhead Reports $7M First Quarter Net Profit, 7.69% Net Worth
According to first quarter 2012 financials posted on the NCUA’s website, the $715 million Arrowhead Central CU has safely returned back into well capitalized territory and reported a $7 million net income.
Arrowhead, which bottomed out at just 3% net worth in June 2010 after NCUA officials seized the credit union June 25, 2010, reported 7.69% net worth as of March 31, 2012. Loan quality improved to 4.57% in the first quarter–still well above the fourth quarter 2011 peer average of 2.5%–but, a significant improvement from a high of 10.79% in third quarter 2009.
Provision for loan/lease losses dropped to $1.1 million annualized, down from nearly $4 million in first quarter 2011 and a high of nearly $80 million at year end 2009, a figure that was challenged by former CEO Larry Sharp and others shortly after the conservatorship.
Return on average assets was 4.04%, up from 2.27% one year prior and a low of -6.97% in third quarter 2009. The institution is also flush with cash, reporting more than $250 million, up from $144 million as of first quarter 2011. Investments fell to $34.6 million as of March 31, down from more than $50 million one year prior.