How profitable a bank is has an effect on its long-term survivability. 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 better prepared to withstand economic shocks. Banks that are losing money, however, have less ability to do those things.
SunTrust Bank scored 18 out of a possible 30 on Bankrate's test of earnings, beating the national average of 16.52.
Return on equity, calculated by dividing net income (profit, basically) by the total amount of equity, is one important way to measure a bank's earnings. SunTrust Bank's most recent annualized quarterly return on equity was 8.76 percent, below the national average of 9.28 percent.
The bank recorded net income of $1.03 billion on total equity of $23.95 billion for the twelve months ended June 30, 2017. The bank had an annualized return on average assets, or ROA, of 1.03 percent, above the 1 percent deemed satisfactory in accordance with industry standards, but below the average for U.S. banks of 1.14 percent.