How profitable a bank is has an effect on its safety and soundness. Earnings can be retained by the bank, giving a boost to its capital cushion, or be used to address problematic loans, potentially making the bank more resilient in tough times. Conversely, losses lessen a bank's ability to do those things.
On Bankrate's earnings test, Centrue Bank scored 2 out of a possible 30, below the national average of 16.52.
Return on equity, calculated by dividing net income (profit, basically) by the total amount of equity, is one widely used measure of a bank's earnings. The most recent annualized quarterly return on equity for Centrue Bank was 0.62 percent, below the national average of 9.28 percent.
For the twelve months ended June 30, 2017, the bank reported net income of $451,000 on total equity of $178.8 million. The bank reported an annualized return on average assets, or ROA, of 0.09 percent, below the 1 percent deemed satisfactory in accordance with industry standards and below the average for U.S. banks of 1.14 percent.