How profitable a bank is affects its long-term survivability. Earnings may be retained by the bank, expanding its capital buffer, or be used to address problematic loans, likely making the bank better able to withstand economic shocks. Banks that are losing money, however, are less able to do those things.
On Bankrate's test of earnings, Clay County Savings Bank scored 10 out of a possible 30, below the national average of 15.12.
One important way to measure a bank's earnings is return on equity, or net income (profit, essentially) divided by the total amount of equity. Clay County Savings Bank's most recent annualized quarterly return on equity was 4.35 percent, below the national average of 8.10 percent.
For the twelve months ended December 31, 2017, the bank earned net income of $461,000 on total equity of $10.7 million. The bank reported 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.