A bank's ability to earn money affects its safety and soundness. Earnings can be retained by the bank, increasing its capital cushion, or be used to deal with problematic loans, potentially making the bank better able to withstand financial trouble. Banks that are losing money, however, are less able to do those things.
Wells Fargo Bank South Central, National Association scored 30 out of a possible 30 on Bankrate's test of earnings, beating the national average of 15.12.
Return on equity, calculated by dividing net income (essentially, profit) by total equity, is one widely used measure of a bank's earnings. Wells Fargo Bank South Central, National Association's most recent annualized quarterly return on equity was 26.76 percent, above the national average of 8.10 percent.
For the twelve months ended December 31, 2017, the bank recorded net income of $366.5 million on total equity of $1.32 billion. The bank had an annualized return on average assets, or ROA, of 4.18 percent, above the 1 percent deemed satisfactory in accordance with industry standards, and above the average for U.S. banks of 1.00 percent.