A bank's earnings performance has an effect on its long-term survivability. A bank can retain its earnings, increasing its capital buffer, or put them to work addressing problematic loans, likely making the bank more resilient in tough times. Losses, on the other hand, reduce a bank's ability to do those things.
On Bankrate's test of earnings, AB&T scored 0 out of a possible 30, less than the national average of 15.12.
Return on equity, calculated by dividing net income (essentially, profit) by the total amount of equity, is one important way to measure a bank's earnings. AB&T's most recent annualized quarterly return on equity was -5.67 percent, below the national average of 8.10 percent.
For the twelve months ended December 31, 2017, the bank earned net income of $-1.0 million on total equity of $17.1 million. The bank experienced an annualized return on average assets, or ROA, of -0.63 percent, below the 1 percent deemed satisfactory in accordance with industry standards and below the average for U.S. banks of 1.00 percent.