A bank's profitability affects its safety and soundness. Earnings can be retained by the bank, boosting its capital cushion, or be used to deal with problematic loans, potentially making the bank better able to withstand financial shocks. Losses, on the other hand, lessen a bank's ability to do those things.
On Bankrate's test of earnings, Sunwest Bank scored 22 out of a possible 30, better than the national average of 16.52.
Return on equity, calculated by dividing net income (profit, basically) by total equity, is one key measure of a bank's earnings. Sunwest Bank's most recent annualized quarterly return on equity was 12.76 percent, above the national average of 9.28 percent.
For the twelve months ended June 30, 2017, the bank reported net income of $8.1 million on total equity of $130.9 million. The bank experienced an annualized return on average assets, or ROA, of 1.55 percent, above the 1 percent deemed satisfactory in accordance with industry standards, and above the average for U.S. banks of 1.14 percent.