A bank's ability to earn money has an effect on its long-term survivability. Earnings can be retained by the bank, boosting its capital cushion, or be used to deal with problematic loans, potentially making the bank more resilient in times of trouble. Conversely, losses lessen a bank's ability to do those things.
On Bankrate's test of earnings, RCB Bank scored 22 out of a possible 30, beating the national average of 15.12.
One key measure of a bank's earnings is return on equity, calculated by dividing net income (profit, basically) by the total amount of equity. RCB Bank's most recent annualized quarterly return on equity was 12.94 percent, above the national average of 8.10 percent.
The bank reported net income of $34.4 million on total equity of $273.6 million for the twelve months ended December 31, 2017. The bank reported an annualized return on average assets, or ROA, of 1.23 percent, above the 1 percent deemed satisfactory in accordance with industry standards, and above the average for U.S. banks of 1.00 percent.