How profitable a bank is affects its safety and soundness. A bank can retain its earnings, giving a boost to its capital cushion, or put them to work addressing problematic loans, likely making the bank more resilient in tough times. Obviously, banks that are losing money are less able to do those things.
On Bankrate's test of earnings, SOLUTIONS NORTH BANK scored 20 out of a possible 30, exceeding 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. SOLUTIONS NORTH BANK's most recent annualized quarterly return on equity was 11.18 percent, above the national average of 8.10 percent.
The bank earned net income of $2.8 million on total equity of $25.1 million for the twelve months ended December 31, 2017. The bank had an annualized return on average assets, or ROA, of 1.26 percent, above the 1 percent deemed satisfactory in accordance with industry standards, and above the average for U.S. banks of 1.00 percent.