Stronger Profits, Rising Capital: NCUA Data Show Solid Year For Credit Unions
By CU Today Staff —
ALEXANDRIA, Va.—Federally insured credit unions closed 2025 with stronger earnings, rising capital and continued membership growth, even as loan growth moderated and industry consolidation accelerated, according to new data released by NCUA.
The agency’s fourth-quarter performance report shows credit union net income jumped 31.5% to $18.8 billion in 2025, one of the most significant year-over-year increases in recent years, while the system’s return on assets rose to 79 basis points, up from 63 basis points in 2024. Net interest margin also expanded sharply, climbing to $80.4 billion, or 3.39% of average assets, as institutions benefited from higher yields on loans and investments.
At the same time, the industry continued to expand its footprint. Credit union membership grew by 2.4 million during the year to reach 144.7 million, while total assets increased 5.4% to $2.43 trillion. Lending also continued to grow, though at a more moderate pace, with total loans rising 4.6% to $1.72 trillion.
Beneath those headline numbers, however, the report also reflects several shifts inside credit union balance sheets. Mortgage lending and commercial loans drove most of the growth, while auto lending and student loans declined, and delinquencies edged higher to 103 basis points year over year. Meanwhile, the number of federally insured credit unions fell to 4,287, down from 4,455 a year earlier, underscoring the industry’s long-running consolidation trend.
Selected Performance Indicators
Originally reported by CU Today.