A bank's earnings performance affects its safety and soundness. Earnings may be retained by the bank, boosting its capital buffer, or be used to address problematic loans, potentially making the bank better able to withstand economic trouble. Losses, on the other hand, diminish a bank's ability to do those things.
Urban Partnership Bank scored 26 out of a possible 30 on Bankrate's test of earnings, above the national average of 15.12.
One important measure of a bank's earnings is return on equity, calculated by dividing net income (essentially profit) by total equity. The most recent annualized quarterly return on equity for Urban Partnership Bank was 19.45 percent, above the national average of 8.10 percent.
For the twelve months ended December 31, 2017, the bank reported net income of $7.4 million on total equity of $42.9 million. The bank had an annualized return on average assets, or ROA, of 1.45 percent, above the 1 percent deemed satisfactory in accordance with industry standards, and above the average for U.S. banks of 1.00 percent.