A bank's earnings performance affects its long-term survivability. A bank can retain its earnings, expanding its capital cushion, or put them to work addressing problematic loans, potentially making the bank better able to withstand financial shocks. Banks that are losing money, however, have less ability to do those things.
On Bankrate's earnings test, Argentine Federal Savings scored 6 out of a possible 30, lower than the national average of 16.52.
One important measure of a bank's earnings is return on equity, or net income (profit, basically) divided by the total amount of equity. The most recent annualized quarterly return on equity for Argentine Federal Savings was 2.21 percent, below the national average of 9.28 percent.
For the twelve months ended June 30, 2017, the bank reported net income of $79,000 on total equity of $7.2 million. The bank had an annualized return on average assets, or ROA, of 0.31 percent, below the 1 percent deemed satisfactory in accordance with industry standards and below the average for U.S. banks of 1.14 percent.