Profit dips more than 6 percent at Chemung Financial

ELMIRA — Chemung Financial Corp. earned more than $2.4 million in the second quarter, down 6.7 percent from a year earlier.

Earnings per share for the period totaled 53 cents, down from 57 cents in the second quarter of 2011. Lower noninterest and net interest income helped push profit down, Chemung Financial President and CEO Ronald Bentley said in a news release.

Lower operating costs and a dip in the banking company’s loan-loss provision partially offset the lower income totals, he added.

“Despite the decrease in second quarter earnings, our year-to-date earnings have improved significantly,” Bentley said.

Net income for the first six months of 2012 rose 41.4 percent from the same period in 2011 to more than $6 million.

Earnings improved as a result of a decrease in acquisition costs and gains from insurance related to assets lost during the flooding last year of the company’s Owego and Tioga offices, Bentley said. Chemung Financial’s acquisition of Capital Bank and Trust Co. in the Albany area in April 2011 has also helped results, he added.

Headquartered in Elmira, Chemung Financial is the holding company for Chemung Canal Trust Co., which has $1.27 billion in total assets and 28 offices in eight New York counties as well as Bradford County, Pa. Chemung Financial’s CFS Group, Inc. financial-services subsidiary provides mutual funds, annuities, brokerage services, tax preparation, and insurance.

Contact Tampone at ktampone@cnybj.com