Missouri Credit Unions

Member engagement deteriorated markedly in Q2 2026. The member growth rate decelerated to -1.10% from -0.52% in Q1 2026 (a -0.58 pp QoQ swing) and from -0.34% in Q2 2025 (a -0.75 pp YoY swing), marking the fifth consecutive quarter of negative membership growth — a streak unbroken since Q1 2025's last positive reading of +1.62%. At -1.10%, Missouri credit unions trail the national average of -0.69% by 40 basis points, suggesting the cohort is losing members at a faster pace than peers nationwide. Reversing this trend is the cohort's most pressing strategic challenge.

Profitability improved on both timeframes in Q2 2026. ROA increased to 0.74% from 0.63% in Q1 2026 (+0.11 pp QoQ) and from 0.69% in Q2 2025 (+0.05 pp YoY), reflecting meaningful earnings recovery. The gap to the national benchmark of 0.89% remains, at 15 bps below. NIM held steady at 3.83%, essentially stable both QoQ (+4 bps from 3.79%) and YoY (+3 bps from 3.80%), and notably sits 9 bps above the national average of 3.74% — a relative strength. Margin discipline is supporting earnings even as membership headwinds persist.

Balance sheet growth was broadly robust in Q2 2026. Loan growth accelerated sharply to 1.45% from 0.21% in Q1 2026 (+1.24 pp QoQ) and from -0.68% in Q2 2025 (+2.13 pp YoY), extending a positive streak now in its third consecutive quarter. Missouri's 1.45% loan growth leads the national benchmark of 0.22% by 1.24 pp. Deposit growth also accelerated to 3.84% from 3.51% in Q1 2026 (+0.33 pp), outpacing the national 2.21% by 1.63 pp. Asset growth remained stable at 4.00% (vs. 4.02% in Q1 2026), but accelerated 0.58 pp YoY from 3.42%, maintaining a nine-quarter positive streak and exceeding the national 2.63% by 1.37 pp.

The risk profile showed modest deterioration in Q2 2026. Delinquency increased to 0.86% from 0.77% in Q1 2026 (+0.09 pp QoQ) and from 0.79% in Q2 2025 (+0.07 pp YoY), though it remains 2 bps below the national benchmark of 0.88% — a thin buffer. Net worth strengthened to 12.07% from 11.74% in Q1 2026 (+0.33 pp QoQ) and from 11.83% in Q2 2025 (+0.25 pp YoY), a positive capital trajectory. However, at 1.74 pp below the national 13.81%, capitalization remains a structural gap. Rising delinquency alongside still-below-national capital levels warrants disciplined credit monitoring.

Portfolio composition shifted modestly in Q2 2026. First mortgage concentration edged up to 16.09% from 15.90% in Q2 2025 (+0.20 pp YoY), but declined from 16.23% in Q1 2026 (-0.14 pp QoQ); at 16.09%, Missouri trails the national 22.22% by a wide 6.13 pp, indicating a structurally lighter mortgage footprint. Indirect auto concentration fell to 9.89% from 10.51% a year ago (-0.63 pp YoY), yet still exceeds the national 7.71%. Share certificate concentration rose to 18.30% from 17.77% in Q2 2025 (+0.53 pp YoY) and from 18.07% in Q1 2026 (+0.22 pp QoQ), approaching but still 1.72 pp below the national 20.02%, reflecting continued member appetite for fixed-rate savings.