How profitable a bank is affects its long-term survivability. Earnings may be retained by the bank, boosting its capital buffer, or be used to address problematic loans, likely making the bank better able to withstand economic trouble. However, banks that are losing money are less able to do those things.
Evergreen National Bank received below-average marks on Bankrate's earnings test, achieving a score of 4 out of a possible 30.
One widely used way to measure a bank's earnings is return on equity, calculated by dividing net income (profit, basically) by total equity. Evergreen National Bank's most recent annualized quarterly return on equity was 1.43 percent, below the national average of 8.10 percent.
For the twelve months ended December 31, 2017, the bank reported net income of $139,000 on total equity of $9.5 million. The bank reported an annualized return on average assets, or ROA, of 0.13 percent, below the 1 percent deemed satisfactory in accordance with industry standards and below the average for U.S. banks of 1.00 percent.