A bank's profitability has an effect on its safety and soundness. Earnings may be retained by the bank, increasing its capital cushion, or be used to deal with problematic loans, likely making the bank more resilient in times of trouble. Conversely, losses lessen a bank's ability to do those things.
On Bankrate's earnings test, NBT Bank, National Association scored 18 out of a possible 30, above the national average of 15.12.
Return on equity, calculated by dividing net income (profit, essentially) by the total amount of equity, is one important measure of a bank's earnings. NBT Bank, National Association's most recent annualized quarterly return on equity was 8.22 percent, above the national average of 8.10 percent.
For the twelve months ended December 31, 2017, the bank recorded net income of $80.5 million on total equity of $995.7 million. The bank experienced an annualized return on average assets, or ROA, of 0.90 percent, below the 1 percent deemed satisfactory in accordance with industry standards and below the average for U.S. banks of 1.00 percent.