b'TREASURERS REPORT BALANCE SHEET 2022ANNUAL REPORTIt is certainly a privilege to present the 2022 financial performance for Kauai Federal Credit Union. Selected Financials ($) 2022 2021 GrowthThe credit union remains a safe and well-capitalized institution with reserves well over the minimum level required by law. Our capital ratios remain strong with continued capital and asset growth. This is aBALANCE SHEETreflection of the quality of your management, staff, and volunteers striving to operate economically while providing excellent service. Loans$110,190,293 $100,368,974 9.8%Balance SheetAs a Community Development Financial Institution, we raised secondary capital by participating in the US Treasurys ECIP programincreasing our growth capacity by another $57 million. Our assets grew 14.7% to $149.7 million. Loans grew 9.8% - growth driven by residential and member business loans. With yields improving,Cash & Investments $ 31,622,315 $ 27,859,608 13.5%we invested excess funds in Treasuries and mortgage-backed securitiesgrowing the investment portfolio by 35%. The asset growth was funded by a 9.8% growth in member deposits, subordinated debt, and wholesale borrowings.Total Assets $149,653,118 $130,519,770 14.7%The strength of our balance sheet as measured by Net Worth remained strong, with Net Worth improving 39% for an overall Net Worth-to-Assets Ratio of 13.5%Income StatementGross Income (including grants) of $9.6 million was up 17.3% year-over-year, despite pressure onMember Shares $122,040,244 $111,158,523 9.8%interest and investment income. Net Income contribution for the year was $1.5 million. Overall, we generated a 1.2% return on assets. Net Worth excl/$ 20,239,118 $ 14,511,047 39.5%Unrealized Gains NCUA DEF.Your Credit Union Board of Directors and Staff remain committed to providing value to our membership through competitive loan and deposit rates and offering products and services that meet our needs. Again, we thank for yourNet Worth to Assets Ratio 13.50% 11.1%business this past year and look forward to an exceptional 2023.INCOME STATEMENTRespectfully submitted,Kenneth VillabrilleGross Income $9,584,092 $ 8,170,09217.3%Treasurer Operating Expenses$ 7,073,775 $ 5,896,42720.0%Provision for Loan Losses$ 198,003 $ 197,975-0.0%Net Income$ 1,728,071 $ 1,486,53916.2%'