Brookfield-based RidgeStone Bank is among the 15 best-run community banks in the country in terms of return on average assets and efficiency ratio, according to an analysis by Raleigh, N.C.-based financial information company Sageworks.
The analysis included data from 4,566 community banks with $100 million to $10 billion in assets as of June 30. ROAA measures how effectively a bank generates income on its available assets, while efficiency ratio evaluates a bank’s ability to generate revenue from its non-funding related expense base.
RidgeStone came in seventh place, with 3.4 percent ROAA and 46 percent efficiency ratio. RidgeStone has total assets of $384.3 million.
Dallas-based State Bank of Texas, Prinsburg, Minn.-based PrinsBank and Saint Cloud, Minn.-based Stearns Bank National Association took the top three spots.
“These institutions have been spending less overhead to earn each dollar and have generated higher profits utilizing their internal assets, which speaks volumes on how well these institutions are being run this year,” said James Noe, Sageworks analyst.
