Chemung Financial Corporation Reports First Quarter 2025 Net Income of $6.0 million, or $1.26 per share

Core Insights - Chemung Financial Corporation reported a net income of $6.0 million, or $1.26 per share, for Q1 2025, showing a slight increase from $5.9 million, or $1.24 per share, in Q4 2024, but a decrease from $7.1 million, or $1.48 per share, in Q1 2024 [1][2] Financial Performance - Net interest income for Q1 2025 was $19.8 million, consistent with the previous quarter, driven by a $1.0 million decrease in interest expense on deposits, offset by decreases in interest income on loans and taxable securities [5][17] - Non-interest income decreased to $5.9 million in Q1 2025 from $6.1 million in Q4 2024, primarily due to declines in wealth management fees and interchange revenue [11][24] - Non-interest expense decreased to $16.9 million in Q1 2025 from $17.8 million in Q4 2024, driven by reductions in employee benefits and salaries [14][26] Asset Quality - Non-performing loans increased to $9.9 million, or 0.47% of total loans, as of March 31, 2025, compared to $9.0 million, or 0.43%, at the end of Q4 2024 [29] - The allowance for credit losses on loans was $22.5 million as of March 31, 2025, up from $21.4 million at the end of Q4 2024, reflecting adjustments in the CECL model [31] Balance Sheet Activity - Total assets increased to $2.797 billion as of March 31, 2025, from $2.776 billion at the end of Q4 2024, driven by growth in loans and cash equivalents [32] - Total deposits rose by $36.5 million, or 1.5%, compared to the prior year-end, with significant increases in interest-bearing demand and money market deposits [37] Capital and Liquidity - Total shareholders' equity increased to $228.3 million as of March 31, 2025, from $215.3 million at the end of Q4 2024, driven by retained earnings and a decrease in accumulated other comprehensive loss [39][40] - The Corporation maintained a cash and cash equivalents balance of $53.4 million as of March 31, 2025, with a total advance line capacity at the Federal Home Loan Bank of New York of $222.3 million [41]