Categories: Banks & Credit Unions

Chemung Financial Q1 profit falls 33 percent

ELMIRA — Chemung Financial Corp., parent company of Chemung Canal Trust Co., reported that its first-quarter net income fell 33 percent to $2.4 million, or 52 cents a share, from $3.6 million, or 78 cents, in the year-ago period as both net interest and noninterest income fell.

Low interest rates helped squeeze net interest margin at Chemung Financial (NASDAQ: CHMG) down to 4.07 percent in the latest quarter from 4.29 percent in the first quarter of 2012.

“We are pleased that our financial performance remains strong despite the expected pressure on our net interest margin due to record low interest rates,” Ronald M. Bentley, president and CEO, said in a news release.

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Chemung Financial had assets totaling $1.28 billion as of March 31, up from $1.25 billion as of Dec. 31, 2012 as it generated increases in loans, including commercial loans.

Chemung Financial is a financial-services holding company, headquartered in Elmira, that operates 28 branch offices through its main subsidiary, Chemung Canal Trust Company, a full-service community bank with trust powers.

Established 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.

Contact Rombel at arombel@cnybj.com

Adam Rombel