How profitable a bank is has an effect on its safety and soundness. A bank can retain its earnings, boosting its capital cushion, or use them to deal with problematic loans, potentially making the bank more resilient in tough times. Banks that are losing money, however, have less ability to do those things.
Guardian Savings Bank, A Federal Savings Bank received above-average marks on Bankrate's earnings test, achieving a score of 26 out of a possible 30.
One widely used measure of a bank's earnings is return on equity, calculated by dividing net income (essentially profit) by total equity. The most recent annualized quarterly return on equity for Guardian Savings Bank, A Federal Savings Bank was 18.88 percent, above the national average of 8.10 percent.
The bank earned net income of $18.9 million on total equity of $106.5 million for the twelve months ended December 31, 2017. The bank experienced an annualized return on average assets, or ROA, of 2.04 percent, above the 1 percent deemed satisfactory in accordance with industry standards, and above the average for U.S. banks of 1.00 percent.