Arkansas 1Q ROA Second in Region

In the first quarter of 2005, Arkansas banks collectively had a return on their average assets (ROA) of 1.21 percent, second highest against the other seven states in the U.S. Federal Reserve Bank’s Eighth District. The district includes all of Arkansas and parts of six other states. Mississippi led the district by 0.01 percent.

Arkansas’ ROA was up 0.07 percent from the comparable quarter a year prior.

Many banks measure their success by the amount of ROA they make annually. The Federal Deposit Insurance Corp. defines ROA as “net income after taxes and extraordinary items (annualized) as a percent of average total assets.”

As of June 30, Fayetteville-chartered Arvest Bank had a 1.13 percent ROA; The Bank of Fayetteville N.A. had a 0.94 percent ROA; Rogers-chartered Simmons First Bank of Northwest Arkansas had a 0.92 percent ROA; and United Bank in Springdale had a 1.43 percent ROA.

The collective return on average assets for the district was 1.21 percent and the U.S. average was 1.37 percent.