How profitable a bank is has an effect on its safety and soundness. Earnings can be retained by the bank, expanding its capital buffer, or be used to deal with problematic loans, potentially making the bank more resilient in tough times. Losses, on the other hand, reduce a bank's ability to do those things.
On Bankrate's test of earnings, Oregon Trail Bank scored 0 out of a possible 30, lower than the national average of 15.12.
Return on equity, calculated by dividing net income (profit, basically) by the total amount of equity, is one widely used measure of a bank's earnings. The most recent annualized quarterly return on equity for Oregon Trail Bank was -0.15 percent, below the national average of 8.10 percent.
For the twelve months ended December 31, 2017, the bank earned net income of $-6,000 on total equity of $4.1 million. The bank experienced an annualized return on average assets, or ROA, of -0.02 percent, below the 1 percent deemed satisfactory in accordance with industry standards and below the average for U.S. banks of 1.00 percent.