How profitable a bank is has an effect on its long-term survivability. A bank can retain its earnings, increasing its capital cushion, or put them to work addressing problematic loans, potentially making the bank better prepared to withstand financial trouble. Conversely, losses diminish a bank's ability to do those things.
HSBC Bank USA, National Association underperformed the average on Bankrate's test of earnings, achieving a score of 0 out of a possible 30.
Return on equity, calculated by dividing net income (profit, essentially) by total equity, is one important measure of a bank's earnings. The most recent annualized quarterly return on equity for HSBC Bank USA, National Association was -0.98 percent, below the national average of 8.10 percent.
The bank recorded net income of $-232.8 million on total equity of $23.26 billion for the twelve months ended December 31, 2017. The bank had an annualized return on average assets, or ROA, of -0.12 percent, below the 1 percent deemed satisfactory in accordance with industry standards and below the average for U.S. banks of 1.00 percent.