Montana Credit Unions

Member engagement deteriorated significantly as growth decelerated to -0.54% in Q3 2025 from positive 0.23% in Q2 2025. This represents a sharp 0.77 percentage point quarterly decline, though Montana credit unions still outperformed the national average of -0.61% by 7 basis points.

Profitability showed mixed signals with ROA increasing to 0.88% from 0.81% quarter-over-quarter but declining from 0.99% year-over-year. NIM remained stable at 3.70% from 3.66% quarterly while improving from 3.57% annually. Montana credit unions maintained a 10 basis point ROA advantage over national benchmarks.

Growth momentum remained solid with asset growth stable at 4.86% quarter-over-quarter, significantly exceeding national levels by 2.31 percentage points. However, both loan growth decelerated to 2.19% from 2.25% quarterly and deposit growth decelerated to 4.79% from 5.00%, though both still substantially outpace national benchmarks.

Risk metrics showed deterioration as delinquencies increased to 0.74% from 0.54% quarter-over-quarter and from 0.62% year-over-year, representing a 0.20 and 0.12 percentage point increase respectively. Net worth strengthened to 12.45% from 12.28% quarterly and remained stable from 12.42% annually, though trailing national levels by 1.23 percentage points.

Portfolio composition shifted toward certificates, increasing to 17.66% from previous levels while remaining below the national 19.60%. First mortgage concentration at 20.18% decreased 1.80 percentage points year-over-year, and indirect auto lending at 6.13% declined 1.88 percentage points annually, both trailing national benchmarks significantly.