A bank's profitability affects its long-term survivability. Earnings can be retained by the bank, expanding its capital cushion, or be used to deal with problematic loans, potentially making the bank more resilient in times of trouble. Losses, on the other hand, take away from a bank's ability to do those things.
On Bankrate's test of earnings, Beal Bank USA scored 20 out of a possible 30, above the national average of 16.52.
Return on equity, calculated by dividing net income (profit, basically) by the total amount of equity, is one important measure of a bank's earnings. Beal Bank USA's most recent annualized quarterly return on equity was 11.96 percent, above the national average of 9.28 percent.
For the twelve months ended June 30, 2017, the bank recorded net income of $119.5 million on total equity of $2.24 billion. The bank experienced an annualized return on average assets, or ROA, of 4.52 percent, above the 1 percent deemed satisfactory in accordance with industry standards, and above the average for U.S. banks of 1.14 percent.