A bank's ability to earn money has an effect on its long-term survivability. A bank can retain its earnings, increasing its capital buffer, or put them to work addressing problematic loans, likely making the bank better able to withstand economic trouble. However, banks that are losing money have less ability to do those things.
U.S. Bank National Association outperformed the average on Bankrate's earnings test, achieving a score of 22 out of a possible 30.
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. U.S. Bank National Association's most recent annualized quarterly return on equity was 13.13 percent, above the national average of 8.10 percent.
For the twelve months ended December 31, 2017, the bank recorded net income of $6.04 billion on total equity of $47.51 billion. The bank experienced an annualized return on average assets, or ROA, of 1.34 percent, above the 1 percent deemed satisfactory in accordance with industry standards, and above the average for U.S. banks of 1.00 percent.