How profitable a bank is affects its safety and soundness. A bank can retain its earnings, giving a boost to its capital buffer, or put them to work addressing problematic loans, likely making the bank more resilient in times of trouble. Conversely, losses take away from a bank's ability to do those things.
On Bankrate's earnings test, Vantage Bank scored 14 out of a possible 30, coming in below the national average of 15.12.
One widely used way to measure a bank's earnings is return on equity, or net income (profit, basically) divided by the total amount of equity. Vantage Bank's most recent annualized quarterly return on equity was 7.37 percent, below the national average of 8.10 percent.
For the twelve months ended December 31, 2017, the bank earned net income of $170,000 on total equity of $2.6 million. The bank had an annualized return on average assets, or ROA, of 0.72 percent, below the 1 percent deemed satisfactory in accordance with industry standards and below the average for U.S. banks of 1.00 percent.