SBS Bank has reported a 37 percent rise in its full-year profit, off the back of higher deposits and lending growth.
The Southland-based bank's net profit in the year to March rose to $27.4 million, compared with $20m last year.
The bank said the bank itself contributed to much of the growth, with a rise in lending and deposits, but its three subsidiaries - Finance Now, FANZ and Southsure - also beat targets.
Its lending rose 19 percent to $3.4 billion, while retail deposits grew 9 percent to $3bn, reflecting competitive interest rates in the market.
Chair John Ward said competition was tense.
"This result validates the progress we are making on realising our growth strategy by simplifying products, services and processes, providing tangible member benefits, and leveraging synergies across the SBS Group," he said.
Mr Ward said the economy was in good shape, but there were housing market and dairy sector risks in the 2018 financial year.
"SBS Bank is robustly capitalised which allows the executive and board to focus on a strategic framework that will continue to protect members' interests and enhance outcomes for them," he said.