How profitable a bank is has an effect on its safety and soundness. Earnings can be retained by the bank, giving a boost to its capital buffer, or be used to deal with problematic loans, likely making the bank better able to withstand financial shocks. Conversely, losses reduce a bank's ability to do those things.
On Bankrate's test of earnings, The National Bank of Andrews scored 30 out of a possible 30, beating out the national average of 15.12.
One key way to measure a bank's earnings is return on equity, calculated by dividing net income (profit, basically) by the total amount of equity. The National Bank of Andrews's most recent annualized quarterly return on equity was 25.24 percent, above the national average of 8.10 percent.
For the twelve months ended December 31, 2017, the bank reported net income of $5.1 million on total equity of $20.0 million. The bank reported an annualized return on average assets, or ROA, of 2.85 percent, above the 1 percent deemed satisfactory in accordance with industry standards, and above the average for U.S. banks of 1.00 percent.