Independent Auditors' Report To the Members of : The accompanying summary consolidated financial statements, which comprise the summary consolidated s

Transcription

1 Summary Consolidated Financial Statements For the Year Ended 2016

2 Independent Auditors' Report To the Members of : The accompanying summary consolidated financial statements, which comprise the summary consolidated statement of financial position as at 2016, and the summary consolidated statements of comprehensive income, changes in members equity and cash flows for the year then ended are derived from the audited consolidated financial statements of for the year ended We expressed an unmodified audit opinion on those consolidated financial statements in our report dated March 20, The summary consolidated financial statements do not contain all the disclosures required by International Financial Reporting Standards. Reading the summary consolidated financial statements, therefore, is not a substitute for reading the audited consolidated financial statements of Management s Responsibility for the Summary Consolidated Financial Statements Management is responsible for the preparation of the summary consolidated financial statements in accordance with International Financial Reporting Standards. Auditors' Responsibility Our responsibility is to express an opinion on the summary consolidated financial statements based on our procedures, which were conducted in accordance with Canadian Auditing Standard (CAS) 810, Engagements to Report on Summary Financial Statements. Opinion In our opinion, the summary consolidated financial statements derived from the audited consolidated financial statements of Noventis Credit Union Ltd. for the year ended 2016 are a fair summary of those consolidated financial statements. Winnipeg, Manitoba March 20, 2017 Chartered Professional Accountants 1

3 Summary Consolidated Statement of Financial Position As at Funds on hand and on deposit 40,138,274 69,185,703 Investments 50,432,500 30,338, ,370, ,514,676 Assets Members' loans 2,728,198 1,872,549 13,214,059 12,927,852 5,851,112 6,265, , ,734, ,237, ,357, ,693,475 4,044,203 5,212,431 47, , , ,094, ,552,571 Members' shares 7,955,583 8,457,214 Retained surplus 32,924,868 29,468,555 49,639,868 46,685, ,734, ,237,757 Other assets Property and equipment Goodwill and intangible assets Income taxes recoverable Liabilities Members' savings and deposits Accounts payable and other liabilities Income taxes payable Deferred taxes Members' equity Contributed surplus Approved on Behalf of the Board Signed Paul Cuthbert, Director Signed Bragi Simundsson, Director 2

4 Summary Consolidated Statement of Comprehensive Income Year ended 2016 Three months ended ,146,145 6,203,452 1,658, ,031 26,804,303 6,639,483 Cost of funds 11,067,907 2,836,569 Financial margin 15,736,396 3,802,914 Operating expenses Administration 4,520,920 1,300,156 Member security 646, ,279 2,027, , , ,891 9,502,394 2,342,869 Gross operating expenses 17,160,979 4,382,399 Other revenue Banking service charges, fees, and commissions (4,055,581) (1,031,272) (2,309,315) (332,306) 6,364,896 1,363,578 10,796,083 3,018,821 Income from operations before provision for impaired loans and income taxes Provision for impaired loans 4,940, , ,093 30,000 Income before provision for income taxes Provision for income taxes 4,166, , , ,250 Income and comprehensive income for the year 3,456, ,843 Financial income Interest from members' loans Investment income Occupancy Organizational Personnel Insurance commissions Net operating expenses 3

5 Summary Consolidated Statement of Changes in Members Equity Members' shares Retained surplus Contributed surplus Total Balance, September 30, ,336,557 28,855,712 35,192,269 Income and comprehensive income Issuance of member shares Redemption of member shares Business combination 1,610 (41,841) 2,160, , ,843 1,610 (41,841) 10,920,305 Balance, 2015 Income and comprehensive income Issuance of member shares Redemption of member shares 8,457,214 7,895 (509,526) 29,468,555 3,456,313 46,685,186 3,456,313 7,895 (509,526) Balance, ,955,583 32,924,868 49,639,868 4

6 Summary Consolidated Statement of Cash Flows Year ended 2016 Three months ended 2015 Cash provided by (used for) the following activities Operating activities Interest received from members' loans 25,104,241 6,424,938 Interest received from investments 1,694, ,708 Income taxes paid (530,449) (181,240) Interest paid to members (11,427,790) (2,699,053) Net operating expenses paid (17,762,663) (3,694,143) 6,364,896 1,363,578 3,442,787 1,777,788 Other income received Investing activities Net change in members' loans (47,587,889) (6,862,146) (20,130,568) (245,811) (1,294,423) (1,144,588) (69,012,880) (8,252,545) 37,024,295 (4,880,763) 7,895 1,610 (509,526) (41,841) 36,522,664 (4,920,994) (29,047,429) (11,395,751) Funds on hand and on deposit, beginning of year 69,185,703 80,581,454 Funds on hand and on deposit, end of year 40,138,274 69,185,703 Net change in investments Purchase of property and equipment Financing activities Net change in members' savings and deposits Issue of members' shares Redemption of members' shares Decrease in funds on hand and on deposit 5

7 Notes to the Summary Consolidated Financial Statements For the Year Ending Reporting entity information merged with Starbuck Credit Union Limited on October 1, 2015 and changed its year end to December Compliance with minimum capital and liquidity requirements (the Credit Union ) is in compliance with the capital and liquidity reserve requirements at 2016 established by the Regulations to The Credit Unions and Caisses Populaires Act of Manitoba. Readers of the summary consolidated financial statements are advised that in order to appropriately interpret the Credit Union s capital and liquidity, the reader must refer to the audited consolidated financial statements and notes for the year ending December 31, 2016, which contain the information detailing the calculation. 6