A bank's ability to earn money has an effect on its safety and soundness. A bank can retain its earnings, boosting its capital cushion, or use them to deal with problematic loans, likely making the bank more resilient in tough times. Conversely, losses diminish a bank's ability to do those things.
On Bankrate's test of earnings, CBI Bank & Trust scored 18 out of a possible 30, beating out the national average of 15.12.
One important measure of a bank's earnings is return on equity, or net income (essentially profit) divided by total equity. CBI Bank & Trust's most recent annualized quarterly return on equity was 8.56 percent, above the national average of 8.10 percent.
The bank recorded net income of $5.1 million on total equity of $60.2 million for the twelve months ended December 31, 2017. The bank experienced an annualized return on average assets, or ROA, of 0.94 percent, below the 1 percent deemed satisfactory in accordance with industry standards and below the average for U.S. banks of 1.00 percent.