Bank performance ratios

Calculate the efficiency ratio, return on assets, return on equity and net interest margin from a bank's income and balance sheet figures.

Your numbers

Enter every dollar amount in the same units (dollars or thousands). Ratios do not depend on the unit.

Net income

Net interest income

Noninterest income

Noninterest expense

Average total assets

Average earning assets

Average total equity

Months covered by the income figures

Use 12 for a full year, or the number of months in a year-to-date period. Income-based ratios are annualized.

Results

Efficiency ratio (lower is better) 63.5%

Return on average assets (ROA)0.54%

Return on average equity (ROE)5.25%

Net interest margin (NIM)3.63%

Equity to average assets10.26%

Efficiency ratio = noninterest expense divided by (net interest income + noninterest income). ROA, ROE and NIM use the average balances you enter and are annualized from the months entered. Net interest margin is often reported on a tax-equivalent basis; this uses the figures as entered. Regulatory definitions can differ, so use this for analysis, not filings.

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