How profitable a bank is affects its long-term survivability. A bank can retain its earnings, expanding its capital buffer, or put them to work addressing problematic loans, potentially making the bank better able to withstand financial shocks. Banks that are losing money, however, are less able to do those things.
On Bankrate's earnings test, The First National Bank and Trust Company of Broken Arrow scored 12 out of a possible 30, coming in below the national average of 16.52.
Return on equity, calculated by dividing net income (profit, essentially) by the total amount of equity, is one widely used measure of a bank's earnings. The most recent annualized quarterly return on equity for The First National Bank and Trust Company of Broken Arrow was 5.62 percent, below the national average of 9.28 percent.
For the twelve months ended June 30, 2017, the bank reported net income of $504,000 on total equity of $18.2 million. The bank reported an annualized return on average assets, or ROA, of 0.55 percent, below the 1 percent deemed satisfactory in accordance with industry standards and below the average for U.S. banks of 1.14 percent.