How profitable a bank is affects its safety and soundness. A bank can retain its earnings, boosting its capital buffer, or put them to work addressing problematic loans, likely making the bank better prepared to withstand economic trouble. Conversely, losses lessen a bank's ability to do those things.
The Bank of Tioga scored 24 out of a possible 30 on Bankrate's test of earnings, exceeding the national average of 15.12.
One widely used measure of a bank's earnings is return on equity, or net income (profit, basically) divided by total equity. The most recent annualized quarterly return on equity for The Bank of Tioga was 18.15 percent, above the national average of 8.10 percent.
For the twelve months ended December 31, 2017, the bank earned net income of $5.3 million on total equity of $34.5 million. The bank experienced an annualized return on average assets, or ROA, of 1.52 percent, above the 1 percent deemed satisfactory in accordance with industry standards, and above the average for U.S. banks of 1.00 percent.