16 BARBADOS PUBLIC WORKERS’ CO-OPERATIVE CREDIT UNION LIMITED Consolidated Financial Statement Highlights Revenues: The Group earned total interest revenue of $105.7 million (2022 - $103.5) for the financial year ended March 31, 2023, representing an increase of $2.3 million or 2.2 percent over the prior year. Deposit cost in the form of interest expense declined by $1.5 million or 5.2 percent to move from $28.4 million in 2022 to $27.0 million in 2023, as deposits continue to reprice at lower rates. Consequently, net interest income moved from $75.0 million in 2022 to $78.8 million in 2023. This represented an increase of $3.8 million or 5.1 percent over that of the prior year. Income generated from non-interest revenue items remained relatively steady at $8.0 million over the 2022 and 2023 reporting periods. Net interest income combined with noninterest income increased from $83.0 million in 2022 to $86.8 million in 2023. Net income: The Group’s consolidated net income before levies and taxes was recorded at $8.6 million (2022 - $12.2) at March 31, 2023. Operating Expenses: Total operating expenses inclusive of taxes increased from $64.5 million in 2022 to $72.2 million in 2023 primarily driven by a 19.7 percent, or $4.7 million, increase in staff cost. During the fiscal, the Group executed key aspects of its organization redesign programme and offered voluntary separation packages to its employees. Additionally, outstanding union negotiated payments for the four-year period, 2019 to 2022, were agreed and paid during the fiscal. Assets: Total assets of the Group stood at $1.95 billion at March 31, 2023. This represented an increase of $13.7 million (2022 - $103.9) or 0.7 (2022 - 5.7) percent over the previous year. At March 31, 2023, the Group’s consolidated net loans and advances stood at $1.43 billion, an increase of $26.5 million or 1.9 percent over the prior year. With the focus of allowing members to realize their dream of owning a home remaining paramount, the Group’s mortgage product continues to be the primary driver of loan growth. Consequently, net growth in mortgages was $44.4 million or 7.1 percent while net consumer loans and business decreased by $19.5 million or 2.6 percent. The Group remained highly liquid with total cash resources of $392.8 million compared to $408.4 million in the prior year, a marginal decrease of $15.6 million or 3.8 percent. 2019 2020 2021 2022 2023 Net Income Net Income 2019 2020 2021 2022 2023 Net Income Loans to members 3 Loans to Members 2019 2020 2021 2022 2023 Deposits Total Assets 2 Total Assets Management Discussion & Analysis (MD&A) (Continued)
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