A credit union's profitability affects its safety and soundness. Earnings can be retained by the credit union, boosting its capital buffer, or be used to address problematic loans, likely making the credit union more resilient in times of trouble. Conversely, losses diminish a credit union's ability to do those things.
TWINSTAR exceeded the national average on Bankrate's earnings test, achieving a score of 16 out of a possible 30.
The credit union had an earnings ratio of 7.00 percent in our test, higher than the average for all credit unions, suggesting that it's beating its peers in this area.