A bank's earnings performance affects its long-term survivability. Earnings can be retained by the bank, expanding its capital cushion, or be used to address problematic loans, likely making the bank better able to withstand economic shocks. Losses, on the other hand, diminish a bank's ability to do those things.
Glenwood State Bank (Incorporated) scored 28 out of a possible 30 on Bankrate's earnings test, above the national average of 15.12.
Return on equity, calculated by dividing net income (profit, basically) by total equity, is one important way to measure a bank's earnings. The most recent annualized quarterly return on equity for Glenwood State Bank (Incorporated) was 19.37 percent, above the national average of 8.10 percent.
For the twelve months ended December 31, 2017, the bank recorded net income of $4.9 million on total equity of $25.7 million. The bank experienced an annualized return on average assets, or ROA, of 1.87 percent, above the 1 percent deemed satisfactory in accordance with industry standards, and above the average for U.S. banks of 1.00 percent.