A bank's earnings performance has an effect on its safety and soundness. A bank can retain its earnings, boosting its capital cushion, or use them to address problematic loans, likely making the bank better prepared to withstand economic trouble. Losses, on the other hand, lessen a bank's ability to do those things.
On Bankrate's test of earnings, Quad City Bank and Trust Company scored 24 out of a possible 30, beating the national average of 15.12.
Return on equity, calculated by dividing net income (profit, essentially) by total equity, is one important way to measure a bank's earnings. Quad City Bank and Trust Company's most recent annualized quarterly return on equity was 17.08 percent, above the national average of 8.10 percent.
For the twelve months ended December 31, 2017, the bank reported net income of $23.8 million on total equity of $149.9 million. The bank had an annualized return on average assets, or ROA, of 1.62 percent, above the 1 percent deemed satisfactory in accordance with industry standards, and above the average for U.S. banks of 1.00 percent.