How profitable a bank is has an effect on its long-term survivability. Earnings may be retained by the bank, giving a boost to its capital buffer, or be used to deal with problematic loans, potentially making the bank more resilient in tough times. Obviously, banks that are losing money have less ability to do those things.
Citizens State Bank of La Crosse exceeded the national average on Bankrate's test of earnings, achieving a score of 30 out of a possible 30.
Return on equity, calculated by dividing net income (profit, essentially) by the total amount of equity, is one widely used measure of a bank's earnings. Citizens State Bank of La Crosse's most recent annualized quarterly return on equity was 29.46 percent, above the national average of 8.10 percent.
The bank earned net income of $5.7 million on total equity of $20.8 million for the twelve months ended December 31, 2017. The bank reported an annualized return on average assets, or ROA, of 2.45 percent, above the 1 percent deemed satisfactory in accordance with industry standards, and above the average for U.S. banks of 1.00 percent.