Business

Braidwood and Bungendore community banking a win win for all

Alex Rea 17 October 2019

The unveiling of the Baby Ben town clock on the Braidwood Community Bank in 2018. Photo: Alex Rea

The Braidwood and Bungendore community banks, operating under the Palerang Financial Services (PFSL), have announced this year’s dividend for the financial year ending June 30 is a fully franked 7.5 cents.

PFSL Chairman, Shane Holness says “The community banks in both Braidwood and Bungendore experienced challenging business conditions but we are pleased with our results.”

“I would like to salute our greatest assets who are our customers and our excellent staff. I thank them wholeheartedly for their commitment and contributions.

“This dividend represents an excellent return on investment for our shareholders, who are mainly local to our community.”

Chairman of Palerang Financial Services Ltd Mr Shane Holness. Photo: Alex Rea

Mr Holness added that “The financial sector as a whole faced challenges over the year, due in large part to the effects experienced from the Royal Commission into Banking and Financial Services.”

“Our bank was affected which resulted in a more competitive market. So in this context, the result does reflect a sound outcome for the year ended 30 June 2019.”

This year’s results delivered an operating profit noting that this overall result includes a significant allocation of community funding in donations, sponsorships and grants to the value of $454,000 for the year.

“Whilst we have seen a good start to 2019-20, a number of factors that produced slower business activity in 2018-19 remain,” Mr Holness says.

“Moving forward we have adopted strategies to develop growth in the business, whilst also continuing to deliver outcomes for our customers, shareholders and communities.”

The Braidwood Community Bank was founded in 2002 and has been well received, helping to establish the Bungendore Community Bank in 2006 under the PFSL name.

“The Company remains in a healthy position with a strong connection to the communities it services in the Braidwood and Bungendore region, and both community bank branches and the company maintain a collaborative relationship with the Bendigo Adelaide Bank,” Mr Holness says.

“The fully franked dividend of $0.075 is based on Registered Shareholders as at 31 October, 2019 to be paid in December 2019.”

Mr Holness re-emphasised that “the more people that bank with us, the more we are able to return to community organisations and shareholders through increased profits.”

“Since we commenced operations in 2002, we have returned $3.3m to the community and paid just over $800k in shareholder dividends.

“This is a win: win: win for everyone.”

Braidwood Community Bank Manager Nick Fry attending a Youth Week event. Photo: Alex Rea

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