A bank's earnings performance affects its safety and soundness. A bank can retain its earnings, boosting its capital buffer, or put them to work addressing problematic loans, potentially making the bank more resilient in times of trouble. However, banks that are losing money are less able to do those things.
On Bankrate's earnings test, Schaumburg Bank & Trust Company, National Association scored 12 out of a possible 30, failing to reach the national average of 16.52.
One key way to measure a bank's earnings is return on equity, or net income (essentially profit) divided by the total amount of equity. The most recent annualized quarterly return on equity for Schaumburg Bank & Trust Company, National Association was 6.12 percent, below the national average of 9.28 percent.
For the twelve months ended June 30, 2017, the bank recorded net income of $3.6 million on total equity of $122.0 million. The bank reported an annualized return on average assets, or ROA, of 0.68 percent, below the 1 percent deemed satisfactory in accordance with industry standards and below the average for U.S. banks of 1.14 percent.