CHCH BLDG SOCIETY

Press, Volume CXIII, Issue 33383, 15 November 1973, Page 18

CHCH BLDG SOCIETY

Year of growth and records The membership of the Christchurch Mutual Building Society rose 45 per cent and the net profit for the year to September 30 was 27.5 per cent higher the annual report shows. The net profit rose $36,444 to $169,144. The society increased its membership through the issue of redeemable and subscrip t i o n shares the chairman (Mr C. H. Perkins) said in the annual report. The growth in membership and a record increase in deposits enabled the society to advance a record $1,828,785 in 267 loans on mortgage for the purchase or construction of owner-oc-cupied homes during the year.

In the previous year 197 loans totalling $1,116,877 were issued. “A tightening of liquidity was evident towards the end of the financial year and the directors expect a continuing shortage of mortgage funds for housing in the ensuing period,” Mr Perkins said. In the five years since the merger of the Christchurch Building Society and the Mutual Benefit Building Society, total assets have increased 136 per cent from more than $2.5m to more than s6m. During the year s7.Bm was received from members and depositors and $6.7m was repaid. A dividend of 5 per cent has been recommended on the society’s “A” shares, making the dividend for the year 8) per cent, compared with 8 per cent for the previous year.

Shareholders’ funds were increased $405,203 to $2.2m. The earning rate on average funds rose from 8.2 per cent to 8.6 per cent.