14th June 2016
Earl Shilton Building Society has reported positive results for the last financial year, with post-tax profit rising to over £600,000, overall growth of 2.27% and mortgage balances increasing to over £91m. It also recorded an increase of 28% in new mortgage lending by value and reported a rise in overall balances held by savers of just under £2m.
The Society’s performance over the last 12 months, returning a robust profit and attaining growth, is made all the more impressive by the continuing economic uncertainty both domestically and overseas.
A proactive approach to retaining mortgage borrowers, particularly those whose product has matured, played a major role in securing the Society’s ongoing growth. Over £11m of balances were transferred onto a replacement mortgage product over the year to March 2016. The increase in profit, meanwhile, is a result of an increase in the difference between average mortgage rates and average savings rates, with the Society’s sale of superfluous commercial property adding to its annual profits.
Ahead of Earl Shilton Building Society’s Annual General Meeting on Wednesday, July 13th, the Society can report that its total assets have increased by 2.27% on last year’s figure to £123.95m, whilst its post-tax profit for the year amounted to £622,473 – an increase of over £55,000 on last year’s figure.
It saw a total of £21.88 million (2015 £17m) advanced to borrowers to build, buy, refinance or improve their properties. Total mortgage balances at the end of the year amounted to £91.52m (2015 £90.3m) before provisions and mortgage balances increased in the year by £1.22m (2015 £2.69m).
As well as reporting impressive financial results, the Society has also made a number of alterations to its procedures and services, to ensure that the products and facilities available to its members remain at the highest standard. Among the improvements is the introduction of electronic scanning of documents, to improve both retrieval and security.
Richard Krasucki retired from the Board as a Non-Executive Director in early 2016, while Christopher G Packham, the Society’s Vice-Chairman, will retire at this year’s Annual General Meeting in July. As part of the Society’s Succession Plan, Ian M Dale was appointed to the Board in May 2015 and he is seeking election at July’s AGM.
Looking ahead, the Society’s healthy financial position means it is well placed to continue to develop and grow prudently in the interests of its members.
Chief Executive, Paul Tilley, commented, “The Society has performed well over the last 12 months, returning robust profit, growth in both mortgage and savings balances, and controlling costs in what continue to be unusual economic conditions.
“We are proud to remain a community building society offering a friendly, personal service, and our staff in both our Earl Shilton and Barwell branches deserve many plaudits for their hard work and dedication. These excellent results are a testament to them.”