ONEIDA — Oneida Financial Corp. (NASDAQ: ONFC), the parent company of Oneida Savings Bank, on Friday announced net income of $1 million, or 15 cents per diluted share, for the third quarter ending Sept. 30.
The figure is up from the $65,000, or 1 cent per diluted share, during the same quarter in 2012, the banking company said in a news release.
The increase in net income is “primarily” the result of an increase in noninterest income, an increase in net-interest income, an increase in the fair value of equity investments, an increase in net-investment gains, and the absence of any impairment charges during the current period.
(Sponsored)
The New Rule for Independent Contractors – Are You Ready?
Effective March 11, 2024, the US Department of Labor will change the analysis it uses to determine whether an individual is an employee or independent contractor under the Fair Labor
Can a Generative AI Use Policy for the Workplace Help Protect Sensitive Data?
Artificial intelligence is a buzzword for many industries. It has good and bad effects on the future of creating content, finding information, and other uses. So, what does this mean
Higher amounts in noninterest expense and income-tax provision partially offset the other increases, Oneida Financial said.
Oneida Financial reported net-interest income of $5 million in the third quarter, up from $4.9 million in the year-earlier quarter. Noninterest income was $7.1 million, up from $6.1 million during the third quarter of 2012.
The company also saw an increase in the fair value recognized on trading (equity) securities of $127,000 in the third quarter, compared to a decrease in fair value of $147,000 in the year-earlier quarter.
The banking company also reported an increase in noninterest expense to $10.9 million in the third quarter, compared to $9 million during the same quarter in 2012.
Oneida Financial attributed the higher figure to an increase in compensation and employee-benefits expense, combined with the financial impact of the previously announced acquisition of a Schenectady Insurance Agency of Schenectady, N.Y. which the firm completed on December 31, 2012, the company said.
Oneida Financial Corp. has continued its “strong” record of cash-dividend payments to shareholders while it defines the distinction between Wall Street banking and Main Street banking, Michael Kallet, president and CEO of Oneida Financial Corp., said in the earnings news release.
“This distinction will be further reinforced later this year with our investment advisory, trust and pension-services units operating cohesively as Oneida Wealth. The result is a strong and vital financial institution, fully prepared to meet the economic challenges of the future,” Kallet said.
Net income through nine months of this year demonstrate an earnings increase of more than 12 percent on an annualized basis, while the company continues to invest and build its businesses for “future success,” Kallet said.
Oneida Savings Bank completed the acquisition of the Schenectady Insuring Agency located in Schenectady on Dec. 31, 2012, representing its eighth insurance-agency acquisition since entering the business in October 2000, Kallet said.
“Our insurance and financial services subsidiaries continue to post impressive results with revenue growth of 13.6 percent,” Kallet added.
During the third quarter, Oneida reported a $180,000 provision for loan losses, the same as a year ago.
Net charge-offs during the current quarter were $51,000, compared with net charge-offs of $45,000 in the same period last year. Oneida Financial continues monitoring the adequacy of the allowance for loan losses given the risk assessment of the loan portfolio and current economic conditions, the company said.
Oneida Financial reported total deposit accounts of more than $608 million at Sept. 30, an increase of more than $40 million from Dec. 31, 2012.
Net loans receivable totaled more than $334 million at Sept. 30, up from more than $311 million at Dec. 31, 2012, and more than $301 million at Sept. 30, 2012, the company said.
Oneida Financial is the parent company of The Oneida Savings Bank, State Bank of Chittenango, Bailey, Haskell & LaLonde Agency, Benefit Consulting Group, and Workplace Health Solutions, and Oneida Wealth Management.
The Oneida Savings Bank has 11 branches in Madison and Oneida counties, the company said.
Contact Reinhardt at ereinhardt@cnybj.com
