Chemung Financial Q3 profit jumps 33 percent

ELMIRA — Chemung Financial Corp. (NASDAQ: CHMG), parent of Chemung Canal Trust Company, reported net income of $3.65 million, or 76 cents a share, in the third quarter, up 33 percent from $2.75 million, or 58 cents, in the year-ago period. 

Strong loan growth that boosted interest income contributed to the profit increase, the Elmira–based banking company said in its Oct. 19 earnings report.

“Our continued focus on our customers and clients produced another quarter of strong results, recognizing solid growth in net interest income, earnings, loans, and deposits. To continue our growth in loans and deposits, we are excited to be opening a new branch in Schenectady … during the fourth quarter of 2017,” Anders Tomson, CEO of Chemung Financial, said in the report.

In the third quarter, Chemung Financial’s loans, net of deferred fees, increased by more than $88 million, or over 7 percent. Its commercial loans rose by more than $81 million, or nearly 11 percent. 

Deposits at Chemung Canal Trust increased by almost $81 million, or 5.5 percent.

Chemung Financial reported that its net interest income grew by $1.8 million, or 13 percent, in the third quarter. Its non-interest expense decreased by $200,000, or 1.4 percent, led by a $600,000 decline in pension and other employee benefits, as Chemung Financial froze accruals for its pension and post-retirement health-care plans in the fourth quarter of 2016. That was partially offset by increases in salaries and wages, marketing and advertising, and other non-interest expenses.

The banking company’s assets totaled $1.73 billion as of Sept. 30, up 4.5 percent from $1.66 billion at the end of 2016. The growth was due primarily to increases of $8.8 million in securities available for sale and the $88.5 million increase in the loan portfolio, offset by a decrease of $17.8 million in cash and cash equivalents, Chemung Financial noted.

The increase in total loans mostly resulted from increases of $81.3 million in commercial loans and $8.5 million in consumer loans, offset by a $1.3 million decrease in residential mortgages. 

The increase in securities available for sale mostly resulted from additional purchases of municipal securities and SBA loan pools, the banking company said. 

The decrease in cash and cash equivalents stemmed from an increase in securities available for sale and total loans, offset by an increase in deposits. 

Chemung Financial operates 33 bank branches through its main subsidiary, Chemung Canal Trust. Started in 1833, Chemung Canal Trust says it is the oldest locally owned and managed community bank in New York state. 

Chemung Financial is also the parent of CFS Group, Inc., a financial-services subsidiary offering mutual funds, annuities, brokerage services, tax preparation services, and insurance, as well as Chemung Risk Management, Inc., an insurance company based in Nevada.                                       

ELMIRA — Chemung Financial Corp. (NASDAQ: CHMG), parent of Chemung Canal Trust Company, reported net income of $3.65 million, or 76 cents a share, in the third quarter, up 33 percent from $2.75 million, or 58 cents, in the year-ago period. 

Strong loan growth that boosted interest income contributed to the profit increase, the Elmira–based banking company said in its Oct. 19 earnings report.

“Our continued focus on our customers and clients produced another quarter of strong results, recognizing solid growth in net interest income, earnings, loans, and deposits. To continue our growth in loans and deposits, we are excited to be opening a new branch in Schenectady … during the fourth quarter of 2017,” Anders Tomson, CEO of Chemung Financial, said in the report.

In the third quarter, Chemung Financial’s loans, net of deferred fees, increased by more than $88 million, or over 7 percent. Its commercial loans rose by more than $81 million, or nearly 11 percent. 

Deposits at Chemung Canal Trust increased by almost $81 million, or 5.5 percent.

Chemung Financial reported that its net interest income grew by $1.8 million, or 13 percent, in the third quarter. Its non-interest expense decreased by $200,000, or 1.4 percent, led by a $600,000 decline in pension and other employee benefits, as Chemung Financial froze accruals for its pension and post-retirement health-care plans in the fourth quarter of 2016. That was partially offset by increases in salaries and wages, marketing and advertising, and other non-interest expenses.

The banking company’s assets totaled $1.73 billion as of Sept. 30, up 4.5 percent from $1.66 billion at the end of 2016. The growth was due primarily to increases of $8.8 million in securities available for sale and the $88.5 million increase in the loan portfolio, offset by a decrease of $17.8 million in cash and cash equivalents, Chemung Financial noted.

The increase in total loans mostly resulted from increases of $81.3 million in commercial loans and $8.5 million in consumer loans, offset by a $1.3 million decrease in residential mortgages. 

The increase in securities available for sale mostly resulted from additional purchases of municipal securities and SBA loan pools, the banking company said. 

The decrease in cash and cash equivalents stemmed from an increase in securities available for sale and total loans, offset by an increase in deposits. 

Chemung Financial operates 33 bank branches through its main subsidiary, Chemung Canal Trust. Started in 1833, Chemung Canal Trust says it is the oldest locally owned and managed community bank in New York state. 

Chemung Financial is also the parent of CFS Group, Inc., a financial-services subsidiary offering mutual funds, annuities, brokerage services, tax preparation services, and insurance, as well as Chemung Risk Management, Inc., an insurance company based in Nevada.