Chemung Financial's Q3 net income rises on commercial loan growth

Reuters10-22
Chemung Financial's Q3 net income rises on commercial loan growth

Overview

  • Chemung Financial Q3 net income rises to $7.79 mln

  • Pretax profit for Q3 exceeds analyst estimates

  • Company announces dividend increase, reflecting confidence in future performance

Outlook

  • Company did not provide specific financial guidance for future quarters or full year in the press release.

Result Drivers

  • BALANCE SHEET REPOSITIONING - Strategic efforts led to a 9% increase in net interest income, enhancing earnings and enabling investment in quality loan opportunities

  • COMMERCIAL LOAN GROWTH - Significant increase in commercial loans, especially in real estate, boosted interest income

  • INTEREST EXPENSE REDUCTION - Decrease in interest expense on deposits and borrowed funds contributed to improved net interest margin

Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 Net Income

Beat

$7.79 mln

$7.74 mln (2 Analysts)

Q3 Net Interest Income

$22.68 mln

Q3 Pretax Profit

Beat

$10.06 mln

$9.48 mln (2 Analysts)

Q3 Basic EPS

$1.62

Q3 Provision For Credit losses

$1.06 mln

Analyst Coverage

  • The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 1 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

  • The average consensus recommendation for the banks peer group is "buy"

  • Wall Street's median 12-month price target for Chemung Financial Corp is $60.00, about 14.8% above its October 20 closing price of $51.11

  • The stock recently traded at 8 times the next 12-month earnings vs. a P/E of 8 three months ago

Press Release: ID:nGNX20xcYN

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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