How profitable a bank is has an effect on its long-term survivability. A bank can retain its earnings, boosting its capital buffer, or put them to work addressing problematic loans, potentially making the bank more resilient in tough times. Conversely, losses diminish a bank's ability to do those things.
Thomas County Federal Savings and Loan Association did above-average on Bankrate's earnings test, achieving a score of 26 out of a possible 30.
One key measure of a bank's earnings is return on equity, calculated by dividing net income (profit, basically) by total equity. Thomas County Federal Savings and Loan Association's most recent annualized quarterly return on equity was 18.01 percent, above the national average of 8.10 percent.
For the twelve months ended December 31, 2017, the bank reported net income of $6.1 million on total equity of $37.6 million. The bank had an annualized return on average assets, or ROA, of 2.36 percent, above the 1 percent deemed satisfactory in accordance with industry standards, and above the average for U.S. banks of 1.00 percent.