A bank's profitability affects its long-term survivability. A bank can retain its earnings, giving a boost to its capital cushion, or use them to address problematic loans, potentially making the bank more resilient in tough times. Banks that are losing money, however, have less ability to do those things.
Calhoun County Bank, Inc. scored 10 out of a possible 30 on Bankrate's test of earnings, lower than the national average of 15.12.
One important measure of a bank's earnings is return on equity, or net income (profit, basically) divided by total equity. Calhoun County Bank, Inc.'s most recent annualized quarterly return on equity was 4.67 percent, below the national average of 8.10 percent.
For the twelve months ended December 31, 2017, the bank reported net income of $629,000 on total equity of $13.2 million. The bank had an annualized return on average assets, or ROA, of 0.48 percent, below the 1 percent deemed satisfactory in accordance with industry standards and below the average for U.S. banks of 1.00 percent.