Mortgage balances increased £21m and total profits (before tax) reached £3m.
Paul Winter, chief executive of the Ipswich, said: “We are offering an alternative to large financial institutions, challenging the status quo by committing to a branch network and offering members products you’d be hard-pressed to find elsewhere.
“We’re improving performance and working to plan. We continue to offer a helping hand to our communities. Business leaders should not focus solely on profits.
“A healthy business is related to a community which supports and appreciates the products it offers.”