Elmira Savings Bank Q2 profit edges up 1 percent

ELMIRA — Elmira Savings Bank (NASDAQ: ESBK) reported that its net income inched up 1 percent in the second quarter, led by a reduction in tax expense.

The banking company generated net income of $1.37 million for the three months ended June 30, an increase of $16,000 over the same period in 2012. Elmira Savings Bank said it cut its tax expense by $476,000 in the second quarter. That was offset by a decline in noninterest income and net interest income of $129,000 and $60,000, respectively, a reduction in the provision for loan losses of $57,000, and an increase of $328,000 in noninterest expense, according to the report.

Elmira Savings Bank’s earnings per share totaled 44 cents a share in the second quarter, up from 40 cents a share in the year-ago period.

The bank posted a net interest margin of 3.24 percent in the second quarter compared to 3.37 percent in the year-earlier period.

Total assets decreased by 4 percent to $516 million as of June 30, compared to $537 million as of Dec. 31. Loans receivable increased by 2 percent to $384 million on June 30, 2013, compared to its Dec. 31 total.

“During the first half of 2013, our loan production remained strong and has allowed us to grow our loan portfolio and avoid participating in the historically low yield investment market,” Thomas M. Carr, president and COO of Elmira Savings Bank, said in the earnings report.

Elmira Savings Bank, with $516.1 million in total assets, is a state-chartered bank with six branches in Chemung County, three offices and a loan center in Tompkins County, two branches in Steuben County, one office in Cayuga County, one branch in Schuyler County, and a loan center in Cortland County.

Contact Rombel at arombel@cnybj.com