Banking News – No need to compromise service for value says Co-operative Bank CEO

Source: Co-operative Bank

The Co-operative Bank CEO Mark Wilkshire says he’s proud of the results that have been confirmed today because they demonstrate that New Zealand banking customers can have excellent service without having to compromise on the value they receive from their bank.

The Directors have today released the Annual Report and Disclosure Statement for the year ended 31 March 2023.

Highlights include being rated first in all 13 service categories in the Consumer People’s Choice Award as well as 8% growth in mortgage lending and 5% growth in deposits.

The bank posted an underlying profit before rebates and tax of $20.6m which Wilkshire says is a ‘fair and reasonable profit’, of which $2.5m will be returned to customers via a rebate, adding to the $15m returned to customers since 2013.

“Because our customers are our owners, they are our top priority.” Wilkshire says. ”Not having overseas shareholders whose main interest is in maximising their own return has enabled The Co-operative Bank to focus on offering fair, competitive rates on both lending and deposits, making it possible for our customers to get both award winning service and a very competitive price.”

Wilkshire says that The Co-operative Bank is built around a purpose of growing together and sharing the gains with customers, and that more New Zealanders could benefit from a better way to bank.

“Our focus is on building long term relationships with our customers, supporting them into their homes and through retirement.

“This year the bank has grown the depth of their customer relationships, with more customers using The Co-operative Bank for multiple products and services, as well as helping New Zealanders into their first homes through our First Home Loans product.”

The Co-operative Bank has been B Corp certified since January 2021 and business operations are carbon neutral for the third year in a row. This year, in partnership with the environmental agency Toitū, the bank is also a certified net carbon-zero organisation.

Financial highlights FY23 FY22 Underlying Profit before rebates and tax* $20.6m $18.0m Reported Profit before rebates and tax $18.8m $20.2m Rebates returned to customers $2.5m $2.5m Mortgage Loans $2,783m $2,579m Customer Deposits $2,834m  $2,691m Capital ratio 17% 17%   *Underlying result excludes valuation gains and losses on financial instruments.   View the FY23 Annual Report and Disclosure Statement here About The Co-operative Bank The Co-operative Bank is the only bank in New Zealand that is directly owned by and shares its profits with, its customers. We offer what you’d expect from a bank – accounts, lending, insurances and more but we’re truly different from other banks in that we share profits with our customers. Since 2013 we have shared over $15m with our customer shareholders in the form of rebates. We have around 172,000 customers from all over New Zealand.