A bank's ability to earn money has an effect on its long-term survivability. Earnings may be retained by the bank, increasing its capital buffer, or be used to deal with problematic loans, potentially making the bank better able to withstand economic shocks. Obviously, banks that are losing money are less able to do those things.
American State Bank & Trust Company of Williston outperformed the average on Bankrate's earnings test, achieving a score of 28 out of a possible 30.
One widely used measure of a bank's earnings is return on equity, calculated by dividing net income (essentially profit) by the total amount of equity. The most recent annualized quarterly return on equity for American State Bank & Trust Company of Williston was 19.23 percent, above the national average of 8.10 percent.
The bank earned net income of $12.3 million on total equity of $65.9 million for the twelve months ended December 31, 2017. The bank experienced an annualized return on average assets, or ROA, of 2.05 percent, above the 1 percent deemed satisfactory in accordance with industry standards, and above the average for U.S. banks of 1.00 percent.