Insured shares and deposits grew 7.8% to $78 billion. The faster pace of loan growth led the loan-to-share ratio to reach 79.7%, up from 77.8% a year earlier.

The improvement in net income came as net interest income rose 8.1% to $8.4 billion, fees rose 7.4% to $2.1 billion, and other operating income rose 3.8% to $2.4 billion.

Costs grew slower: Employee compensation and benefits rose 7% to $5.2 billion. Credit unions spent an average of $19,289 per full-time employee during the second quarter, up 2.7% from 2016's second quarter. Other non-interest expenses rose 5.8% to $5 billion.

The net profit came despite provisions for loan losses rising 27.2% to $1.5 billion in the second quarter.

The delinquency rate for all loans was 75 basis points on June 30, unchanged from a year earlier. Delinquencies fell 8 basis points to 47 basis points for fixed-rate mortgages. Delinquency rates rose 21 basis points to 171 for member business loans, 15 basis points to 108 on credit cards and 1 basis point to 59 on auto loans.

The net worth ratio for all credit unions stood at 10.80% on June 30, down from 10.85% a year earlier. The number of undercapitalized credit unions rose to 47 in the second quarter, up from 38 a year earlier and 43 in the first quarter. They represented $4.3 billion in assets and 310,170 members, or less than 0.3% of either.

Credit unions matching the industry average with 7% gains in loan originations included:

• Randolph-Brooks Federal Credit Union of San Antonio, Texas ($8.2 billion in assets, 690,041 members). Real estate loan grants fell 11.5% to $230.4 million, while other loans rose 16.5% to $640.6 million.
• University Federal Credit Union of Austin, Texas ($2.2 billion in assets, 225,737 members). Its 7% growth rate was same for real estate, with $276.1 million in loans granted, and other loans at $192.1 million.
• Central Florida Educators Federal Credit Union of Orlando ($1.8 billion in assets, 152,046 members). Real estate loan grants rose 15.3% to $30.2 million, while other loans rose 3.6% to $71.5 million.
• Credit Union of Colorado of Denver ($1.4 billion in assets, 117,133 members). Real estate loan grants fell 7.2% to $38.7 million, while other loans rose 12.1% to $132.8 million.
• National Institutes of Health Federal Credit Union of Rockville, Md. ($616.9 million in assets, 39,460 members). Real estate loan grants fell 1.5% to $31.1 million, while other loans rose 36.4% to $13.1 million.
• Chicago Patrolmen's Federal Credit Union ($385.6 million in assets, 33,281 members). Real estate loan grants rose more than four-fold to $2.2 million, while other loans fell 2.7% to $16.7 million.
• Western Cooperative Credit Union of Williston, N.D. ($322.3 million in assets, 19,185 members) At Western Cooperative CU, real estate loan grants fell 26.4% to $4.3 million, while other loans rose 13.9% to $32.2 million.
• Dominion Credit Union of Richmond, Va. ($294.8 million in assets, 21,759 members) real estate loan grants were flat at $6.9 million, while other loans rose 12.1% to $10 million.

Some of the smaller credit unions with a 7% increase in loans granted during the quarter had little or no real estate loans. They included San Diego Metropolitan Credit Union of San Diego ($271 million in assets, 18,128 members); Golden Valley Federal Credit Union of Manteca, Calif. ($27.8 million in assets, 2,911 members) and Organized Labor Credit Union of Modesto, Calif. ($22.8 million in assets, 3,621 members).