A bank's ability to earn money has an effect on its long-term survivability. A bank can retain its earnings, expanding its capital cushion, or put them to work addressing problematic loans, potentially making the bank better able to withstand economic trouble. Losses, on the other hand, diminish a bank's ability to do those things.
On Bankrate's test of earnings, Freedom Bank scored 30 out of a possible 30, exceeding the national average of 15.12.
Return on equity, calculated by dividing net income (profit, basically) by total equity, is one important measure of a bank's earnings. Freedom Bank's most recent annualized quarterly return on equity was 21.91 percent, above the national average of 8.10 percent.
The bank recorded net income of $8.9 million on total equity of $41.8 million for the twelve months ended December 31, 2017. The bank experienced an annualized return on average assets, or ROA, of 2.29 percent, above the 1 percent deemed satisfactory in accordance with industry standards, and above the average for U.S. banks of 1.00 percent.