How profitable a bank is has an effect on its long-term survivability. A bank can retain its earnings, boosting its capital buffer, or use them to deal with problematic loans, likely making the bank better able to withstand economic shocks. Obviously, banks that are losing money are less able to do those things.
On Bankrate's test of earnings, Heritage Bank National Association scored 18 out of a possible 30, better than the national average of 16.52.
One key way to measure a bank's earnings is return on equity, or net income (profit, basically) divided by total equity. Heritage Bank National Association's most recent annualized quarterly return on equity was 8.45 percent, below the national average of 9.28 percent.
For the twelve months ended June 30, 2017, the bank reported net income of $1.7 million on total equity of $39.3 million. The bank reported an annualized return on average assets, or ROA, of 0.89 percent, below the 1 percent deemed satisfactory in accordance with industry standards and below the average for U.S. banks of 1.14 percent.