How profitable a bank is has an effect on its safety and soundness. Earnings may be retained by the bank, giving a boost to its capital cushion, or be used to deal with problematic loans, likely making the bank more resilient in tough times. Obviously, banks that are losing money are less able to do those things.
Time Federal Savings Bank scored 8 out of a possible 30 on Bankrate's test of earnings, below the national average of 15.12.
One important way to measure a bank's earnings is return on equity, or net income (essentially profit) divided by total equity. The most recent annualized quarterly return on equity for Time Federal Savings Bank was 3.16 percent, below the national average of 8.10 percent.
For the twelve months ended December 31, 2017, the bank recorded net income of $4.1 million on total equity of $131.1 million. The bank experienced an annualized return on average assets, or ROA, of 0.68 percent, below the 1 percent deemed satisfactory in accordance with industry standards and below the average for U.S. banks of 1.00 percent.