How profitable a bank is affects its long-term survivability. A bank can retain its earnings, boosting its capital cushion, or put them to work addressing problematic loans, likely making the bank more resilient in tough times. Conversely, losses reduce a bank's ability to do those things.
On Bankrate's test of earnings, Home City Federal Savings Bank of Springfield scored 22 out of a possible 30, beating out the national average of 15.12.
One important measure of a bank's earnings is return on equity, or net income (profit, basically) divided by total equity. The most recent annualized quarterly return on equity for Home City Federal Savings Bank of Springfield was 14.16 percent, above the national average of 8.10 percent.
The bank recorded net income of $2.5 million on total equity of $19.1 million for the twelve months ended December 31, 2017. The bank had an annualized return on average assets, or ROA, of 1.56 percent, above the 1 percent deemed satisfactory in accordance with industry standards, and above the average for U.S. banks of 1.00 percent.