Virginia Credit Unions

Member engagement showed mixed signals in Q4 2025. While member growth accelerated quarter-over-quarter from -1.26% to -0.93%, the annual comparison reveals a dramatic deceleration from 4.95% growth in 2024-Q4 to current contraction of -0.93%. This 5.88 percentage point annual decline indicates significant membership retention challenges despite quarterly improvement.

Profitability metrics remained stable in Q4 2025. ROA held steady at 0.62%, essentially unchanged both quarter-over-quarter (down 4 basis points) and year-over-year (up 4 basis points). NIM strengthened to 3.85%, stable from Q3 but increased 12 basis points annually, now running 13 basis points above the national benchmark of 3.72%.

Growth momentum accelerated significantly in Q4 2025. Asset growth accelerated to 2.59% from 1.59% quarter-over-quarter, though decelerated slightly from 2.67% year-over-year. Deposit growth accelerated to 2.27% from 1.93% quarterly, while loan growth accelerated to -0.51% from -1.27%, remaining 1.03 percentage points below national levels.

Risk metrics showed favorable trends in Q4 2025. Delinquencies decreased to 1.00% from 1.08% quarter-over-quarter and remained stable year-over-year from 1.04%. Net worth strengthened to 13.67%, stable quarterly but increased 37 basis points annually, matching the national benchmark of 13.68% and indicating strong capital adequacy.

Portfolio composition shifted toward real estate lending in Q4 2025. First mortgage concentration increased to 21.59% from 21.29% quarterly and 20.95% annually. Certificate deposits decreased to 18.27% from 18.77% quarterly, while indirect auto lending declined modestly to 9.62%. The mortgage focus aligns with higher-yielding asset strategies.